California sues Trump administration for canceling high-speed rail funds

California has filed suit against the Trump administration for canceling a nearly $1 billion federal grant awarded in 2010 for the state's high-speed rail program.

State and California High-Speed Rail Authority (CHSRA) officials filed the suit May 21 in federal court in San Francisco, according to Reuters. The filing claims the U.S. Department of Transportation lacks authority to withhold the $929 million in federal funds previously awarded to the high-speed rail program.

Meanwhile, Gov. Gavin Newsom announced yesterday that he reached an agreement with the Trump administration to not redirect the funds to other projects while the state's lawsuit against the federal government moves forward.

"California and the Trump administration came to an agreement overnight that the federal government will not immediately re-obligate the funds to another project elsewhere in the United States,” the governor’s office said in a statement, the Los Angeles Times reported.

In a May 16 letter to CHSRA Chief Executive Officer Brian Kelly, the Federal Railroad Administration said it was terminating its agreement to obligate the $929 million in funding to California because the state had not made "reasonable progress on the project" to build a high-speed rail line between Los Angeles and California.