Ernst Urges DOT to Recover $14 Billion from Costly Rail Initiatives

In a bold move to address federal spending, Senator Joni Ernst, a Republican from Iowa, is pressing the Department of Transportation to reconsider $14 billion in funding allocated to rail projects she views as inefficient and over budget.

According to Breitbart, in a letter to Transportation Secretary Sean Duffy, Ernst seeks to redirect or cancel funds from various transportation initiatives, spotlighting a recent audit that led to the termination of $4 billion for California’s high-speed rail project.

Ernst’s initiative began with her recent correspondence to Secretary Duffy, highlighting her concerns over what she terms as wasteful spending in federal transportation projects. This push for accountability stems from her authorship of a provision in the bipartisan infrastructure law, Public Law 117-58, specifically Section 11319, which mandates oversight of such projects. Under this provision, the Department of Transportation released a detailed 315-page report on California’s high-speed rail endeavor, exposing significant issues.

California Rail Project Under Fire

The audit revealed a troubling pattern of delays, mismanagement, and escalating expenses in the California high-speed rail project, originally promoted to voters in 2008. Back then, it was pitched as a $33 billion rail line linking San Francisco and Los Angeles, with a completion target of 2020. However, costs have ballooned to $128 billion, and as of the latest report, no high-speed tracks have been laid.

DOT Findings Highlight Major Failures

The Department of Transportation found that the California project did not adhere to federal grant conditions, citing missed deadlines and budget deficits. Additionally, the audit criticized the use of exaggerated ridership forecasts to justify funding. Following these findings, Secretary Duffy canceled $4 billion in federal support for the project, a decision Ernst praised in her letter.

Ernst Calls for Wider Scrutiny

Ernst commended Duffy for releasing the long-overdue audit and urged him to extend similar examination to other federally supported transportation efforts. She specifically mentioned four projects currently receiving a combined $4.5 billion in taxpayer money, including Honolulu Rail Transit in Hawaii, valued at nearly $1.94 billion. Other projects listed included the Purple Line Transit in Maryland, at $1 billion; the Transbay Corridor Core Capacity in California, at $1.34 billion; and the Queens Railroad Project in New York, at approximately $295 million.

Additional Projects Raise Concerns

Beyond these, Ernst pointed out three more initiatives that were not included in the official audit but are also over budget and delayed. These include the Subway Extension to Silicon Valley in California at over $5 billion, the San Francisco Transit Center at $3.38 billion, and the Minneapolis Light Rail project in Minnesota at roughly $939 million. The Department of Transportation has already committed $9.4 billion to these three projects, adding to Ernst’s concerns about federal spending.

Redirecting Funds for National Benefit

Ernst proposed that the total $14 billion tied up in these rail initiatives could be better used for critical infrastructure priorities or to reduce the national debt, which she noted exceeds $37 trillion.

She emphasized the need for fiscal responsibility in managing taxpayer dollars amidst growing economic challenges. In her words, she aims to address what she calls a “trail of project delays, mismanagement, waste, and skyrocketing costs” in these endeavors.

Push for Enhanced Reporting Standards

While the audit on California’s rail project spanned over 300 pages, Ernst criticized the summary of 14 other projects, which was reduced to a single-page chart. She called for more comprehensive future reports, requesting detailed data on budget overruns and scheduling setbacks. Ernst also wants information on additional transportation efforts supported by the Department of Transportation to ensure transparency.

Setting a New Accountability Benchmark

Ernst described her oversight efforts as setting “a new gold standard in accountability” for federal projects. She expressed a desire to see the number of problematic projects decrease significantly, stating her goal of “getting the number of projects listed in future reports down to zero, by whatever means necessary.” Her focus on curbing wasteful spending reflects a broader commitment to scrutinizing federal allocations.

Broader Policy Implications Explored

In recent months, Ernst has also targeted progressive rail policies, opposing mandates she views as burdensome to the industry. In May, she introduced the LOCOMOTIVES Act to prevent states like California from using Environmental Protection Agency waivers to enforce zero-emission train requirements by 2030. The proposed legislation included measures to limit train idling and restrict the use of older railcars, alongside new expenditure rules for operators.

California Withdraws Controversial Request

Following Ernst’s legislative push, California withdrew its request for an EPA waiver related to the zero-emission train mandate. This withdrawal marked a policy shift, aligning with Ernst’s efforts to reduce what she sees as overreaching regulations. Her actions underscore a consistent stance against projects and policies she labels as “boondoggle” rail initiatives.

Future of Rail Funding Uncertain

As Ernst continues her campaign for accountability, she remains firm on reevaluating projects that cannot be salvaged through improved oversight. She warned, “If these can’t be salvaged with better management, they too should be canceled.” The outcome of her initiative could reshape how federal transportation funding is allocated in the coming years.

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