By Alison Healey
The California High-Speed Rail Authority is planning to issue a request for qualifications in December for a private partner, The Bond Buyer reported, citing remarks from the authority’s chief executive Ian Choudri.
CHSRA is aiming to select a co-development partner by mid-2026 for the long-stagnating project as it evaluates the possibility of a public-private partnership backed by private capital. The private partner would enter a co-development agreement with the potential to design, build, operate, finance and maintain one or more segments of the high-speed rail programme, the report said.
Choudri said an updated 2026 business plan will provide a “clear path forward” for the project. CHSRA said it may enter a P3 backed by a securitisation of future cap-and-trade revenue. The funds would be enough to complete an initial US$37bn, 171-mile stretch in the Central Valley but not enough for the entire San Francisco to Los Angeles rail line. Private investment is the key to building the entire line, Choudri said. That funding need could be as much as US$99bn, according to the report which cites figures from watchdog group California High-Speed Rail Peer Review Group.
In June, the authority issued a request for expressions of interest and received more than 30 responses. Most of the respondents were “particularly interested in design-build-finance-maintain or design-build-finance-operate-maintain structures with availability payments”, according to the report. Meridiam, ACS, Sacyr and Plenary were among the interested companies.
Donald Trump’s administration revoked US$4bn in federal grants for the project earlier this year. The funding remains in limbo amid litigation.
