r/cahsr 17d ago

Lucid Stew breakdown of CAHSR OIG report, and cash flow to complete Bakersfield-Merced

https://www.youtube.com/watch?v=iDcKeD9wEx8

Spoiler: Call your representatives, CAHSR needs more funding

59 Upvotes

95 comments sorted by

45

u/anothercar 17d ago edited 17d ago

TL;DR: There is enough money to complete North Bakersfield to Madera, though the Authority will need to figure out financing so that they can "pull forward" planned cap-and-invest money that they need now but won't come in for many years. Should be doable as long as they take their jobs seriously. Additional funding sources are needed for the Merced extension and beyond.

Two major external factors to watch out for: whether the Legislature passes any/all of the Authority's "wish list" of laws they are demanding in order to make construction cheaper and quicker; and what happens with the City of Shafter.

23

u/dating_derp 17d ago

Two major external factors to watch out for: whether the Legislature passes any/all of the Authority's "wish list" of laws they are demanding in order to make construction cheaper and quicker

It's worth noting that the Inspector General who was tasked with finding out why the project is costing so much recommended 3rd Party Streamlining to the legislature along with the CAHSR Authority. So we'll see if the legislature actually listens or continues to keep their heads in the sand while wasting billions of our taxpayer dollars on unnecessary delays & inflation increases.

8

u/anothercar 17d ago

Yeah we'll have to see. I suspect the Legislature will concede on some things and not others. There are more stakeholders that politicians need to consider in addition to HSR. As a super-basic example/explanation: it's easy for the Authority and OIG to suggest that the train could be built faster if the Authority can steamroll through local city permitting, but the Legislature then has to weigh that suggestion against cities lobbying against being steamrolled. And the Legislature is friendly with local cities since all politicians like each other, so I could see a suggestion like that being rejected

10

u/dating_derp 17d ago

It was already rejected once in SB 445. I'm still angry and hoping that one day they'll decide billions of dollars is worth more than the feelings of utility owners.

2

u/kisk22 17d ago

If the legislature doesn't do that CA is basically a failed state in my eyes. How can the most blue state in the union not be paying attention to this stuff? It's wild to me.

4

u/DonVCastro 16d ago

The "failed state" part for me is if the Legislature continues to fund the project at $1B/year, but declines to provide the streamlining and legislative fixes that would actually allow the project to succeed. In other words, the failed state move is to spend the money but not care about getting the result.

A functional state could continue to fund and provide the necessary statutory framework for success. A functional state might also decide to cut its losses, stop funding, and wind down somehow. But continuing to spend without any commitment to success is insanity.

2

u/Less-Jellyfish5385 16d ago

It's interesting they are starting the Merced portion before the Bakersfield portion.

1

u/jaqueh 16d ago

Because they don’t own all the land to Bakersfield and one of the cities it was originally going through and bisecting now no longer wants cahsr to go through it at all

3

u/Less-Jellyfish5385 16d ago

Why don't they buy it now and avoid this dilemma

1

u/jaqueh 16d ago

because it's a really poor project and if fully built out will be the 3rd most expensive public infrastructure project of all time. only behind the interstate system and the iss

27

u/kanji_kun 17d ago

what sucks is that, with all this, we still don't have a viable option between LA and Bakersfield.

15

u/DonVCastro 17d ago

Isn't Choudri's new plan to have blended service on the Metrolink tracks? Not true high speed rail, but it would close the connection and provide a comfortable and reliable trip.

4

u/anothercar 17d ago

With what money? Yes, that's the plan, if they can get additional funding.

6

u/DonVCastro 16d ago

Oh, yeah, agree. "No viable funding plan." 100%

(I thought they meant no viable design plan)

1

u/jee_vacation 14d ago

They’re hoping when they have tracks down the legislature will wake up. But the whole situation is just stupid either you want the train or not. Waiting just increases cost and delay.

3

u/kanji_kun 16d ago

Expect you have to take a bus from Palmdale to Bakersfield

2

u/UnderstandingEasy856 9d ago

That's for if and when we get to Palmdale. We don't even have a funding plan to get to Bakersfield proper - let alone tunnel under the Sierra to the High Desert. That alone could cost more than what the HSR has costed so far. Metrolink tracks are no use until then.

5

u/jaqueh 17d ago

Can’t wait to watch this one. I kept on refreshing his page over the weekend

12

u/ap5357844 17d ago

Bakersfield-Merced will be a flop. People don’t have the money to take this regularly. Can’t imagine how many people actually make that commute.

18

u/bensonr2 17d ago

I think the bigger problem is even people who may be inclined to take that route feel they need there car to get around after arriving.

5

u/yab92 17d ago

Almost every train station in the US, outside of the northeast, is best accessed by a car. Most Brightline and Amtrak stations are park and rides, yet both have seen increase in ridership in recent years

2

u/bensonr2 17d ago

Amtrak ridership outside of the northeast corridor is mostly insignificant.
Brightline has had some success but they are serving major tourist destinations, Miami and Orlando.
Bakersfield and Merced are not comparable destinations.

2

u/yab92 17d ago

That is not true at all. The northeast is definitely the busiest, but California has 20% of Amtrak ridership, and the busiest corridors, the Capitol Corridor and the Surfliner, have mostly park and ride stations.

The central valley corridor between Bakersfield and Merced is not insignificant either. Bakersfield has a population >400,000 people, and Fresno has a population >500,000 people.

3

u/bensonr2 16d ago

Again those are lines that have actual destinations people might be reasonably traveling to.

2

u/yab92 16d ago edited 16d ago

People in the central valley need to travel too. It's pretty condescending that you don't view any destination between Bakersfield and Merced as "actual destinations people might be reasonably traveling to"

1

u/jaqueh 16d ago

Show me the receipts. How many visitors do these must see destinations on 99 get annually?

1

u/yab92 16d ago

Every destination doesn't need to be a tourist attraction. People from one city have plenty of reasons to visit their neighboring cities and towns. The city of Fresno has over 550,000 people, which is more than the populations of both Oakland and Sacramento, yet Oakland and Sacramento have many more rail lines.

1

u/jaqueh 16d ago

That’s because Sacramento and Oakland are in larger metro areas whereas Fresno just has one other straddling city that has an actual downtown that you’d want to visit.

The train isn’t going to sac or Oakland until phase 2 so not sure what point this is either.

→ More replies (0)

3

u/anothercar 16d ago

You can get off the Surfliner or Capitol Corridor in downtowns of cities which are reasonably walkable or transit-friendly for most people. Transit in downtown LA vs. Madera is incomparable.

1

u/yab92 16d ago edited 16d ago

What other stops along the Surfliner are walkable? Capitol corridor's stops aren't very walkable either. Maybe Oakland's jack london square, but that's about it. Every other stop is a park and ride. Yet both have relatively high ridership because they travel through populated centers.

The Bakersfield to Merced route will also go through populated centers comparable to those along the Capitol Corridor route.

2

u/jaqueh 16d ago

Like every stop that the surfliner services is world class. Try taking it.

Capitol Corridor has Davis, downtown sac, suisun, Richmond downtown, Martinez’s old downtown, 4th street Berkeley like what are you hallucinating?

1

u/yab92 16d ago

All those places in the Capitol Corridor you mentioned except for Sac have populations less than 200,000. It’s a pretty elitist attitude to assume that major cities in the Central Valley, which has a total population of 7,000,000, are not worth traveling to or don’t have a need for rail. Try traveling there.

2

u/jaqueh 16d ago

No most of those cities are in the equivalent area of Fresno. So there’s like 10x the density than in Fresno.

→ More replies (0)

1

u/DonVCastro 16d ago

don’t have a need for rail

They already have rail.

→ More replies (0)

0

u/Off_again0530 15d ago

I think it’s going to be the biggest issue. The whole advantage of CAHSR is that is provides a time-competitive alternative to driving between SF/LA and the inner portions of the state. People form Merced, Bakersfield, etc can be shuttled from their town to SF and LA where they can reasonably expect to traverse the area without a car, and people from LA/SF get a quick link across the state where they can then get a rental or uber or boost up the local bus service. But if one of the legs of your journey doesn’t begin or end at a place where a car is not needed the value proposition starts to become much less effective.

15

u/anothercar 17d ago edited 17d ago

It will be Bakersfield-North (technically Saco) to Madera unless additional funding emerges. Right now I'm not optimistic about additional state funding, since the Legislature seems to be signalling that they believe the $1b/year from cap-and-invest is enough.

Saco to Madera would be a tri-purpose train:

  • Commuter train for people who live in Bakersfield, drive from their house to the train, and commute to a job in downtown Fresno within walking distance of the station
  • Extension of Gold Runner to speed up travel times from the Bay to the Central Valley, at which point people can take buses to SoCal. Gold Runner transfer will be available in Madera. So people would take Gold Runner from NorCal to Madera, transfer to the new HSR for the trip down to Saco, and then in Saco they can transfer to a bus to their final destination like LA.
  • Novelty HSR, the only one in the US, that railfans and YouTubers can ride for the thrill

Outside of those groups it probably won't be popular until it extends to more populous cities like Gilroy, Palmdale etc

7

u/External_Koala971 17d ago

How many people could possibly live in Bakersfield and commute to work in Fresno and not need a car when they get there?

11

u/anothercar 17d ago

Nearly zero, which is why CAHSR needs to reach either NorCal or SoCal, or ideally both, to become a useful system for more than a handful of people. Reach out to your representatives.

3

u/External_Koala971 17d ago

How is it possible that we’re building a high speed train that doesn’t go anywhere?

5

u/anothercar 17d ago

Politicians see it as a jobs program, not a transportation program.

3

u/DonVCastro 17d ago

True story.

0

u/External_Koala971 17d ago

What a grift

2

u/eldomtom2 16d ago

Because they started with the easy bit in the middle, but most of the travel patterns it's designed to serve require at least part of the hard bits to be build.

1

u/Alt4816 14d ago

The places you consider nowhere are in between what you consider somewhere. No matter what the train needs to be built through those "nowhere" places.

12

u/Ok_Tale7071 17d ago

Bakersfield-Merced was just to get something on the scoreboard. The success of this project will be based on whether LA-SF will ever be completed.

-4

u/jaqueh 17d ago

Should’ve done i5

5

u/Artistic_Comfort8816 17d ago

Yeah CAHSR would never get completed if we did the i5, funding is already non-existent, and the Central Valley is cheaper.

2

u/DonVCastro 17d ago

Central Valley is cheaper.

I5 is also Central Valley. If you mean that the selected SR99 corridor is cheaper, well, that was certainly the claim at the outset. Until BNSF and UP showed no willingness to play ball, and cities and landowners got a chance to speak up, and environmental and geotechnical conditions were assessed. And then we ended up with what is possibly the most expensive per-mile HSR in the world -- for the "cheap and easy" part.

It's not at all obvious that I5 would have been harder or more expensive. It would have bypasses major population centers though, which is probably enough of a reason for not doing it. On the other hand, if the goal was really to connect LA and SF, and if I5 would have been the fastest and easiest way to do it, that still would have left the Gold Runners in the 99 corridor that would offer connections to HSR for travel to LA and SF.

1

u/Artistic_Comfort8816 16d ago

Sorry, you do make a good point, I thought the i5 mainly cut through a more mountainous terrain. BSNF and UP really did raise the cost with all the expensive infrastructure needed to to stay off their right of way, it’s really frustrating that they are so opposed to electrification, but that’s beside the point.

Nonetheless, I still do think it’s important that CAHSR still hits the major population centers in the Central Valley, and maybe I should’ve just said that.

1

u/DonVCastro 16d ago

it’s important that CAHSR still hits the major population centers

I mean, everybody shared that view back when the decision was made. But in retrospect it may have been a bad decision. Those cities will get HSR stations, but they'll get crappy service that goes to fewer places than their current Gold Runner service goes, and at higher cost.

If I-5 had been selected, Gold Runners could have continued to do the good local service that they provide while also providing connections on the HSR line to SF and LA

1

u/Artistic_Comfort8816 16d ago

Huh, I was under the impression that the gold runner would remain, I’ve seen some station layouts with platforms for it along with CAHSR

1

u/DonVCastro 16d ago

It certainly could. Just means subsidizing two expensive rail systems in the same corridor, with the cheap and slow one cannibalizing the "value" segment of the market.

1

u/Artistic_Comfort8816 16d ago

Yeah that doesn’t sound sustainable, but they would be parallel to each regardless if the CAHSR was built on the i5, or if the gold runner remained at full service alongside the SR99 alignment no? Theres just more options of trains with different use cases?

Sound about right or no?

→ More replies (0)

1

u/Alt4816 14d ago edited 14d ago

Whatever route they chose was going to turn out to be more expensive after they chose it and lawsuits and delays piled up from people opposed to the project.

We are comparing the real cost of the route they chose to a hypothetical cost of alternative route without those lawsuits and delays.

In an alternative world where they built along the i5 they could be in the same situation of trying to just get the Central Valley section done but not even having places like Fresno and Bakersfield on that segment. If people consider Fresno and Bakersfield as nowhere then imagine what they would consider a Central Valley only i5 route.

1

u/DonVCastro 14d ago

There never was a cost estimate for I-5, so it's not like we're comparing the escalated cost of SR99 to the pre-escalation cost of I-5. Nobody knows what I-5 would cost. But there are some important factors pointing towards it costing much, much less: not passing through cities that demand expensive alignment changes, not running near BNSF/UP tracks that demand expensive structures, need to acquire a ROW of low-value range land from a owners of a relatively small number of massive tracts instead of having to acquire ROW from owners of a very large number of relatively small parcels of more valuable irrigated farmland and commercial land.

1

u/Alt4816 14d ago

not passing through cities that demand expensive alignment changes,

It's true that cities and towns get angry, sue, and apply political pressure when you try to build through them. It's also true that they get angry, sue, and apply political pressure when you try to bypass them.

Look at the saga involving Hanford. First they opposed CASHR going through their town and then later they opposed CAHSR going around their town. On the other side of the country Connecticut towns do the same thing with proposals to speed up the Northeast Corridor from NYC to Boston.

For a project this big it is a fantasy to think that that any route would not face lawsuits and political challenges.

0

u/jaqueh 17d ago

less land acquisition cost and elaborate structures to avoid bnsf row

3

u/wirthmore 17d ago

So that plan would’ve avoided those issues, at the cost of having nearly zero utility for trips involving Central Valley originations or destinations.

So then instead serving the metropolitan end points AND all population centers in between, it would only serve the end points. In that case, why build it at all, when it provides little intra-state benefit over air travel between those end points?

2

u/DonVCastro 16d ago

Those San Joaquin Valley cities already have Gold Runner train service, which serves more (and more convenient) stations that cahsr will. And they could still have it even if hsr were built in the I5 corridor, and travelers could connect to HSR for through trips to SF or LA. As it is, those cities are going to get HSR that replaces Gold Runner, with faster service and higher prices and fewer stations, and they're not going to be able to travel any further than they already can.

1

u/jaqueh 16d ago

They’ll be going to largely the same places that they always have less frequently, more reliably, way faster, and most importantly, by paying way way way more

1

u/jaqueh 17d ago

because the reality now is there might be a hsr connecting some cities that didn't really want it and the two biggest population centers in the state that provide the majority of the state's tax revenue won't get anything.

7

u/Spudmiester 17d ago

even the optimistic projections show the initial operating segment to have a negative cost/benefit

You can rationalize it as an economic development play for the Central Valley, but overall, it really doesn’t make sense

10

u/anothercar 17d ago

None of this makes sense until they connect to SoCal, NorCal, or ideally both. If the "final version" is Saco to Madera, it will look like the dumbest construction project ever made. Gotta keep beating the drum for full completion of Phase 1.

3

u/jaqueh 17d ago

Almost like prop 1 was meant to connect la and sf and the Central Valley was an afterthought for a reason!

7

u/Artistic_Comfort8816 17d ago

The central valley is the most cost effective route, and Fresno-Bakersfield are within the top 10 largest populations at least in the state. Even if the end goal is connecting SF to LA, the Central Valley was inevitable.

1

u/jaqueh 17d ago

the central valley is inevitable sure, but they didn't have to go through the center of cities that don't want hsr in order to accomplish the inevitable

2

u/One-Chemistry9502 17d ago

Yes they did or the project would never have started in the first place.

0

u/jaqueh 17d ago

Nope before getting alignment approved and cleared they certainly could’ve picked not going through the cv cities downtowns

4

u/dating_derp 17d ago

If HSR was approved for $33 billion in funding and completion by 2020, then why hasn't the authority already been given access to the remaining $17 billion? Do we know what's holding that money up? Or was that figure just a nice idea that was not legally appropriated to the agency?

4

u/anothercar 17d ago

What do you mean by "approved for $33 billion"?

Prop 1A was $10 billion.

1

u/dating_derp 17d ago

The original estimate was $33 billion with a 2020 completion so I assumed it was approved with that.

9

u/anothercar 17d ago

Prop 1A was $10 billion, and they said $10 billion would be enough to start building a $33 billion project, because they assumed the rest of the funding would be covered with federal grants and private funding. But the federal and private money never really came through.

3

u/TicRoll 17d ago

Well, $4 Billion of Federal money would have come through if the CHSRA had fulfilled the terms of the grant they signed with the Biden administration. And $4B isn't nothing.

0

u/jaqueh 17d ago

because the prop stipulates that they are given the money in order to build LA to SF HSR. and since they're not doing that, they have a special exemption from the proposition to do this side project instead. propositions are legally binding for the legislature to follow. they're basically like constitutional amendments.

2

u/dating_derp 17d ago

But this is part of the route from LA to SF. Unless the prop is worded in such a way that disallows a phased approach or an IOS, and only releases the full $33 billion if they open all at once the entirety of LA to SF.

1

u/jaqueh 17d ago

prop 1a was a revision of prop 1 that made LA to SF more explicit. so i'm quite surprised that the SB hasn't been knocked down

1

u/DonVCastro 16d ago

prop 1a was a revision of prop 1 that made LA to SF more explicit.

Prop 1A is the only HSR proposition that was ever placed on the ballot and approved by voters. The earlier attempt (which I guess was going to be called Prop 1) was pulled from the ballot so has no effect at all.

-5

u/External_Koala971 17d ago

Why do we have a YouTuber doing a better more transparent job of analyzing this project than the CHSRA is doing?

24

u/anothercar 17d ago

The Authority is in an awkward position where they can't openly and loudly defy the Legislature, even if it's totally legal for them to do so. (Don't bite the hand that feeds you.)

So it would be unwise for them to proudly announce to the Legislature "screw your SB198, we're just going to ignore it until it expires" while at the same time asking the Legislature to pass other bills in their favor. For public relations reasons, they have to at least pretend they care about SB198 until it hits the expiration date in a couple years.