This afternoon, I announced that the Department of Transportation will redirect $1.195 billion in high-speed rail money originally headed for Wisconsin and Ohio to high-speed rail projects underway elsewhere. Because Wisconsin and Ohio are not moving forward on high-speed rail projects, more money is available for other states. And we are happy to help them get their high-speed rail projects off the ground.
Last year, the Obama Administration provided $8 billion to jump-start a national high-speed rail program in the American Recovery and Reinvestment Act (ARRA). For that first $8 billion investment, we received more than $55 billion in requests. We were similarly oversubscribed for the second round of awards--we received $8.8 billion worth of requests for only $2.4 billion in available funding.
I am pleased that so many states have been enthusiastic about the additional support they will now receive. But it’s no wonder. High-speed rail will modernize America’s transportation network, spur economic development domestically and jumpstart our manufacturing sector. In addition, it will keep the U.S. competitive with other leading nations.
Look, high-speed rail will transform US transportation in a way we haven't seen since President Eisenhower launched the Interstate Highway System more than a half-century ago. And, looking at the advances other nations have already achieved in high-speed rail, it's clear that our investment in this game-changing technology is long overdue.
Investing in high-speed rail will reinvigorate our manufacturing sector and put Americans back to work in good-paying jobs. Last year, we received a commitment from 30 domestic and foreign rail manufacturers that they would establish or expand their operations in the US if selected for high-speed rail contracts. More importantly, they agreed to build these rail networks with American workers using American-made materials. We're ensuring maximum economic benefit with a 100 percent "Buy American" requirement.
States set to receive high-speed rail dollars are: California, Florida, Illinois, Indiana, Iowa, Maine, Massachusetts, Missouri, New York, North Carolina, Oregon, Vermont, Washington, and Wisconsin (for its existing Hiawatha line).
The Recovery Act was designed to provide an economic boost to our nation, and that’s what we’re committed to doing. Redirecting these funds will ensure American taxpayers get a good return on their Recovery Act dollars, and that money goes to projects that will be a success.

WOOT!
Posted by: TheLadyHarley | December 09, 2010 at 03:17 PM
While I am crushed and furious that our governor-elect has killed the project here in Wisconsin, I am glad that the administration and Sec LaHood didn't allow Walker to get away with moving the money to roads, freight lines, or a line that bypassed our second largest city, as he requested.
I was still holding out hope that Walker would come to his senses, but I guess that is not to be. This decision will haunt him, and that state of Wisconsin for many years to come.
Now I can only hope that the new federal transportation bill will invest in further rail, transit, and other alternatives to driving personal motor vehicles. Yeah, I know that's a long shot, but we can still hope.
Posted by: Robbie Webber | December 09, 2010 at 03:33 PM
This probably one of the best decisions I have heard come from government in a while. I applaud your organization for being proactive on this measure.
Posted by: Isaac Barnes | December 09, 2010 at 03:38 PM
GLAD I LIVE IN A STATE WITH SO MANY FREAKING MORONS, WE DECIDE TO GIVE BACK FEDERAL "INVESTMENT" FUNDS.
I'm so sick of the "operational costs" bs argument, you people have ZERO understanding of economics and proper governance.
Posted by: Bob | December 09, 2010 at 04:04 PM
I am embarrassed and outraged by the actions (or lack there of) of Governor Elect Walker. It is going to be an excruciatingly long four years. At least we have a Mayor that understands the value of multi modal transit options. Please don't judge all of Wisconsin based on the actions of this fool.
Posted by: Jenn J | December 09, 2010 at 04:17 PM
Interesting news indeed. For more perspective, check out our news coverage of this item: http://www.earthtechling.com/2010/12/feds-yank-oh-wi-high-speed-rail-funding/
Posted by: EarthTechling | December 09, 2010 at 04:50 PM
Although I'm disappointed with the decisions of the govenors-elect of Wisconsin and Ohio to reject using the funds for passenger rail, I am very pleased with the DOT's decision to redirect the funds to passenger rail projects in other states, rather than caving to demands to allow it to be used for non-passenger rail purposes.
Posted by: Mike Christensen | December 09, 2010 at 05:00 PM
I live in Wisconsin, and Walker makes me sad. He's now proposing through an aid that high speed rail be accepted as a project, but only if it doesn't go through Madison.
It's funny, because he used to claim that no one would ride high speed rail. By forcing it to circumvent Wisconsin's second largest city (Milwaukee being the first, and it already has a rail route to Chicago), isn't he helping guarantee low ridership?
For him, it's not about what would function. It's all about politics and power, and a vendetta against Madison.
Posted by: Jaycee Ellen | December 09, 2010 at 05:39 PM
I just want to know...while this would be a great way to travel...we do have trains now...that get you across the country than driving...cheaper and without body scans...yet no one uses them. So what is the difference here? OK high speed...so instead of 70 mph they will go 110 mph. OK great...but what happens when the new fad wears off and people stop using them because they can't afford the whole family and eat? I agree we are behind Europe in our speedy public commuters...but we are also much bigger. I only hope this works, but like in upstate NY where it is only 11 miles long...not much time will actually be saved.
Posted by: James Resides | December 09, 2010 at 05:54 PM
"[G]ood-paying jobs"? Are those jobs that pay in household goods? I'd rather be paid money.
Posted by: David Toscano | December 09, 2010 at 08:05 PM
This is infuriating to me, though I may not understand what's going on in the background. This is a move to prevent Governor-elect Walker from taking any action on the money. The decision to take the money away was made by current Governor Doyle and Mr. LaHood of the DOT if I understand this correctly. It seems that you're letting Walker govern before he's actually become governor! While President Obama ran in 2008 as a candidate with the "audacity of hope", moves like this feel like the "audacity of knuckling under"!
This also appears to shift liability. The contractors who were expecting to be paid for the project don't have Governor-elect Walker to blame anymore. He has not taken any real gubernatorial action to either return the money or attempt to redistribute it. Do Governor Doyle, Mr. LaHood, and the DOT at large believe that the laws controlling the money are weak enough that they can't stop the money from being redirected to highways? Who is now going to pay the estimated $50-$100 million to shut down the Wisconsin rail project? As much as I'd like to blame Walker for this money going away, his responsibility only lies in words rather than actions.
The Chicago to Twin Cities corridor has a legacy of fast trains. We had steam-powered trains running at 90, 100, 110 mph and faster in the 1930s! Perhaps the real blame lies in the weak-kneed plans to try and run diesel trains in existing corridors only up to 110 mph. A number of people were opposed to the Wisconsin project because it didn't improve much upon the technology of 60 years ago (although, clearly, some people only used that as an excuse to oppose the project). Faster trains would have more riders bringing in more fares and giving a better payback. Electrified trains would hugely improve energy efficiency. A dedicated corridor would vastly improve safety.
As they say, "go big or go home". In this case, I hope you're going home so we can go big. Please tell me that there's a new, better plan in the works.
Posted by: Mike Hicks | December 10, 2010 at 09:25 AM
High speed rail is the leading edge in ground transportation technology. I am a member of Transit Advocates of Orange County and we had a 2 hour teleconference on developing a new five year public transportation program last night that looked mostly at improvements in Orange County but also had some discussion on high speed rail.
There were 2 high speed rail technology types: (1) steel wheels on rails and (2) meglev. It seems now like the meglev has faded away and that the technology we will be using on our California system will be steel wheels. And that is good because of the greater opportunities for interchangability in rail infrastructure that would not exist if a meglev system were chosen. The high speed rail will connect major cities between San Diego and San Francisco when fully built. But commuter rail, Amtrak, and streetcars will still be necessary and we need to created an integrated rail system as much as possible and then integrate other transportation modes into the rail. Best wishes, Michael E. Bailey.
Posted by: Michael E. Bailey | December 11, 2010 at 12:05 AM
On behalf of Vermont, New York and Massachusetts, thank you! Your decision was the best and it prevents money from being wasted on projects that were at risk of not being completed due to these Governors Elect blowhards.
Posted by: P. Strom | December 11, 2010 at 10:46 AM
Obama and the dems in general are famous for wasting money for political "vote buying" gain. Any wonder that the confiscated money ended up in California?? Most votes for the bck. In case you are wondering, look at Californias plan...they are spending billions, not millions, to build a line from nowhere to nowhere which will sit IDLE for several years. They are happy, however, to squander other peoples money. At least we in Wisconsin have the dignity not to do that. Rail is good in very densly populated areas, but no so useful in a rural state like Wisconsin. Lot's of money, a few short term jobs, almost nothing for the long run. Scott Walker made one of the first good decisions to come out of Madison in the last 8 years.
Posted by: Rick Hondlik | December 12, 2010 at 12:29 PM
It is important to note tht sending any passenger train through Wisconsin is pretty much a dismal experience. Milwaukee and Mitchell field have nasty, inadequate terminal facilities and no prospect of fixing them up to contemporary standards. They are not even able to accomodate the disabled. To put $2 Million into the Hiawatha line is pointless and is a drop in the bucket that is needed. We need leadership in the DOT, and no more of the shotgun approach.
Posted by: Rick Hondlik | December 12, 2010 at 04:58 PM