The Federal Railroad Administration and Amtrak canceled the grant that would have funded, in part, private company Texas Central Partners’s route, which links two major Texas cities by high-speed rail. Transportation Secretary Sean Duffy called the project “a waste of taxpayer funds.”
“If the private sector believes this project is feasible, they should carry the pre-construction work forward, rather than relying on Amtrak and the American taxpayer to bail them out,” Duffy said in a press release. “My department will continue to look for every opportunity to save federal dollars and prioritize efficiencies.”
Early estimates said the project would cost $30 billion, but federal officials said on Monday the cost had increased to more than $40 billion.
Texas Central said in a statement to WFAA that the agreement to cut the grant funding “is good news for the overall project.”
SEAN DUFFY SEEMS PRETTY HAPPY HE WASN’T INVITED TO SIGNAL GROUP CHAT
“We agree with Secretary Duffy that this project should be led by the private sector, and we will be proud to take it forward,” the company said. “This project is shovel-ready and will create significant new jobs and economic growth for Texas as part of President Trump’s efforts to boost the U.S. economy.”
The project to connect the 240 miles between Houston and Dallas via a high-speed rail line has been in the works for years. Amtrak entered the project in 2016 and has worked with Texas Central. Former President Joe Biden’s administration supported the project, awarding it the $63.9 million grant in September 2024.
