METRO Magazine Logo
MenuMENU
SearchSEARCH

California bullet train plan shows cost increases

Increases affect each segment of the project ranging from 20% to 35% and show revised schedules that would push out delivery dates.

March 12, 2018
California bullet train plan shows cost increases

The draft business plan transparently identifies the project’s challenges, which include longer schedules and higher costs due in large part to inflation, increased contingencies and construction delays in the Central Valley.

California High-Speed Rail Authority

3 min to read


The draft business plan transparently identifies the project’s challenges, which include longer schedules and higher costs due in large part to inflation, increased contingencies and construction delays in the Central Valley. California High-Speed Rail Authority

With its new leadership in place, the California High-Speed Rail Authority release the Draft 2018 Business Plan that “transparently acknowledges the project’s challenges and outlines a sensible path forward that will continue to put thousands of Californians to work building the nation’s first high-speed rail system.”

“The Draft 2018 Business Plan presents a strategy to implement the nation’s first truly high-speed rail system in the face of challenges that projects around the world of similar magnitude and complexity faced and successfully overcome," said the authority’s CEO Brian Kelly. “The plan reflects our commitment to apply lessons learned and make organizational improvements necessary to deliver this project to initiate high-speed rail service between the Silicon Valley and the Central Valley as soon as possible, while completing environmental work and making important investments in Southern California.”

Ad Loading...

The draft business plan acknowledges cost increases affecting each segment of the project ranging from 20% to 35% and revised schedules that would push out delivery dates for the Silicon Valley to Central Valley Line and Phase 1 System. The draft plan acknowledges and responds to changed circumstances and emphasizes a new way of doing business moving forward.

In the face of these challenges, the plan proposes to continue an investment strategy that builds infrastructure, linked over time, to provide mobility, economic and environmental benefits to Californians, and initiate high-speed rail service as soon as possible, according to the authority.

Toward that end, the draft business plan identifies the following investment priorities:

  • Meet its Commitments to Federal Funding Partner: The authority will complete the 119-mile segment in the Central Valley and complete environmental review for the entire Phase 1 System between San Francisco to Los Angeles/Anaheim by 2022, as required by the federal grant agreement.

  • Extend the Valley-to-Valley Service from San Francisco to Bakersfield: The draft business plan recognizes the high ridership and revenue potential of linking the Silicon Valley with the Central Valley between San Francisco and Bakersfield.

  • Deliver 224 Miles of High-Speed Rail Ready Infrastructure for Use by 2027: The draft business plan proposes to construct high-speed rail ready infrastructure in the Central Valley (Madera to Bakersfield) and in Silicon Valley (San Francisco to Gilroy) to reduce travel times for existing passenger rail systems, expand clean, electrified service, and prepare the corridors for testing and potential early high-speed rail operations.

  • Continue Bookend Investment in Southern and Northern California: The draft business plan continues to prioritize improving Los Angeles Union Station, the Burbank to Anaheim corridor and the electrification of the Caltrain corridor in the Bay Area.

The draft business plan transparently identifies the project’s challenges, which include longer schedules and higher costs due in large part to inflation, increased contingencies and construction delays in the Central Valley.

Ad Loading...

Although high-speed rail continues to face many challenges — major progress has been made on many fronts, including:

  • 20 active construction sites with thousands of Californians working along 119 miles in the Central Valley.

  • Completion of three structures.

  • Hundreds of businesses planning, designing and building the system — including small businesses, disadvantaged businesses and disabled veteran businesses — with more than 1,699 craft laborers dispatched to work on Central Valley construction projects.

The positive economic benefits from the program are tremendous, including $6 billion in total economic activity in California to date. Once operational, high-speed rail will breathe new life into local economies by encouraging the movements of residents and visitors between the major regions of the state like never before, while at the same time, protecting California’s environment.

Ad Loading...

“Building the nation’s first high-speed rail system, consistent with the will of the California voters, remains a tremendous challenge, but it is achievable if we remain committed to getting this transformative project done,” said Kelly.

The authority is now seeking public comment as part of a 60-day public comment period that began March 9 and closes May 7, 2018.

To view the plan, click here.


More Rail

Operation Lifesaver Rail Safety Education logo over railroad tracks background, representing rail safety awareness initiatives.
Railby News/Media ReleaseMay 4, 2026

Operation Lifesaver Awards Rail Safety Outreach Funds in 12 States

Operation Lifesaver awarded $220,200 in grants to 12 states to support rail safety campaigns focused on grade crossing awareness and trespass prevention.

Read More →
Caltrain trains on tracks
Railby StaffMay 1, 2026

Caltrain Survey Shows Record-High Rider Approval

The survey showed that commute trips still make up the majority of ridership, with most riders boarding 2 to 3 days a week, reflecting hybrid work schedules. Two-thirds of Caltrain riders have access to a car, while 37% of Caltrain riders are considered low-income.

Read More →
A person working on a bus
ManagementMay 1, 2026

Data-Driven Maintenance: Focusing Effort Where It Matters Most

Advances in data and analytics are giving transit agencies new opportunities to refine maintenance practices, improve efficiency and make more informed decisions about asset performance.

Read More →
Ad Loading...
Carmen C. Cham of HNTB
Managementby Alex RomanApril 29, 2026

How Transit Architecture Is Reshaping the Rider Journey

In this Consultant Roundtable, Carmen C. Cham shares insights on how agencies can create spaces that are intuitive, connected and built for long-term impact.

Read More →
A Red Line Rendering
Railby StaffApril 27, 2026

Chicago Kicks Off Historic Red Line Extension at Michigan Avenue Station Site

The Red Line Extension Project will provide the Far South Side of Chicago with rapid rail transit for the first time by extending the Red Line by 5.5 miles from 95th Street to 130th Street, including the construction of four new Red Line stations at 103rd, 111th, Michigan, and 130th streets.

Read More →
Trains at railroad crossings
Security and Safetyby StaffApril 27, 2026

USDOT Invests $1.1B to Enhance Safety Infrastructure at Railroad Crossings

Every year, more than 2,000 incidents and 300 fatalities occur at railroad crossings nationwide. 

Read More →
Ad Loading...
Siemens and LK Comstock photo for Fulton-Liberty Lines
Security and Safetyby StaffApril 27, 2026

NYC’s Fulton–Liberty Lines Get Digital Signal Upgrade from Siemens and L.K. Comstock

The Siemens CBTC System, Trainguard MT, in compliance with New York Subway Interoperability Interface Specifications, enables trains to run as close as 90 seconds apart, using next-generation signaling and continuous communication to keep operations moving seamlessly.

Read More →
WMATA 7000-series railcars at Navy Yard
Managementby StaffApril 24, 2026

WMATA Adopts FY2027 Budget, Boosts Service Without Raising Fares

While recognizing regional economic constraints and continuing to improve service, the budget increases the jurisdictional subsidy to less than 1.8%, significantly below the inflation rate and the 3% regional target, said agency officials.

Read More →
Denver RTD's A Line with passengers
Railby StaffApril 23, 2026

Denver's RTD Celebrates 10th Anniversary of the A Line

With more than 59,400,000 boardings since the service’s debut, the A Line’s utilization surpassed that of all other RTD rail services in 2025, the agency reported.

Read More →
Ad Loading...
Passengers on a public transit vehicle.
Railby StaffApril 21, 2026

Virginia DRPT Releases Draft Six-Year Program for Transit, Rail Investments

The plan outlines funding for transit operations, capital projects, and freight and passenger rail initiatives, as state officials seek public input on priorities shaping mobility and infrastructure across the Commonwealth.

Read More →