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The projected cost for the new high-speed rail line between Southern California and Las Vegas has increased by nearly 35%, from $16 billion to $21.5 billion.
LOS ANGELES – Brightline West is seeking an additional $6 billion to complete its high-speed rail project that would connect Las Vegas to Southern California.
What we know:
The project's total cost has risen by more than 30%, increasing from an initial projection of $16 billion to $21.5 billion, according to a new report by the U.S. Department of Transportation.
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The increase is due to rising construction costs that are making labor and material costs more expensive, Brightline CEO Mike Reininger told Bloomberg.
Dig deeper:
Reinginer's comment is a response to the controversial California High Speed Rail Project, which has been heavily criticized by the Trump administration.
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Last month, the Trump administration, through Transportation Secretary Sean Duffy, terminated $4 billion in unspent federal funding for the project, with an additional funding cut of $175 million. This followed a $4 billion funding revocation last month.
In February, Duffy praised Brightline West's plan, describing it as "impressive" while he compared it to the CHSPR's "slow progress."
Supporters are exploring alternative revenue streams to secure funding for the project, which now is estimated to cost nearly $130 billion.
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Big picture view:
The seven-car trains will carry upwards of 450 passengers depending on final configurations and will be able to make the trip from Vegas to LA in under two hours — about half the time it takes to travel that distance by car.
Amenities for travelers include free onboard WiFi, ADA accessibility from station to train, a wide selection of food and drinks, checked luggage, and hotel check-in services.
PREVIOUS COVERAGE:
The Rancho Cucamonga station will connect to Metrolink’s regional rail network, which includes stations in Los Angeles, Riverside, Orange, San Diego, and Ventura counties.
The anticipated completion date is by summer 2028, just in time for the Olympics,
Why you should care:
The U.S. currently does not have any operational high-speed rail lines, unlike Japan, China, and Western Europe.
What’s next:
Through the Railroad Rehabilitation and Improvement Financing program, the federal government is authorized to provide up to $35 billion direct loans and loan guarantees to finance development of railroad infrastructure.
It's unknown if the DOT will provide Brightline with the $6 billion loan.
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Brightline West declined to comment.
The Source: This article is based on previous FOX 11 reports and information from a new report by the U.S. Department of Transportation. It also draws from comments from Brightline CEO Mike Reininger, who spoke with Bloomberg about the rising costs and the project’s status. Brightline West declined to provide further comment.
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