The Texas Central Railroad project aims to make travel time in Dallas and Houston less than 90 minutes. Fully electric, it could have run on dedicated tracks, based on Japan's bullet train system, similar to the ongoing high-speed rail failure in California. -CCD Editor
The U.S. Department of Transportation announced Monday that it will end a grant to help fund the Texas high-speed rail project, saving U.S. taxpayers more than $60 million.
Transport Minister Sean Duffy made the announcement, saying The Federal Railroad Administration (FRA) and Amtrak reached an agreement to terminate the $63.9 million grant.
The grant was awarded to Amtrak under the corridor identification and development program of Amtrak Texas High Speed Corrotor, formerly known as the Texas Central Rail Project.
“I am pleased to announce that FRA and Amtrak agree that underwriting the project is a waste of taxpayer funds and diversify Amtrak's core mission to improve its existing Subpar Services,” Duffy said.
“If the private sector believes the project is feasible, then they should continue to move forward before construction rather than relying on Amtrak and U.S. taxpayers to rescue them. My department will continue to look for every opportunity to save the federal government and prioritize efficiency. ”
The Texas Central Railroad project was originally announced as a private enterprise, but its cost estimates have increased dramatically, relying on the development of federal dollars and Amtrak.
DOT said the project's capital cost was considered to be over $40 billion, adding that the price made the construction unrealistic. The cost also makes the project a taxpayer risky adventure.
Although Amtrak has struggled with an operating deficit since the pandemic, despite the recovery of passenger volume.
Major U.S. rail companies have also experienced operational challenges, including the loss of their horizon coach fleet and delays in the Northeast Corridor.
FRA makes the issue of FIX AMTRAK a top priority.
Dot said Amtrak, under the Biden administration, believes that large-scale loans and grants under the U.S. government are able to engage in construction activities.
The project leaving Texas allows Amtrak to focus on much-needed improvements to be more reliable for its ridersaccording to the point.
“Connecting Dallas and Houston remains one of the most exciting opportunities for new passenger railroads in the U.S.,” said Kyle Fields, FRA’s chief legal counsel. “Today’s announcement reflects Amtrak and FRA’s endorsement that the federalized Texas Central Railroad proposal is not the best use for taxpayer funds.”
Top image of Texas Central Railroad
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