California High-Speed Rail Authority Releases Draft 2026 Business Plan

Plan outlines streamlined approach to delivering high-speed rail service between San Francisco and Los Angeles/Anaheim at lower projected cost.

Published on Mar. 2, 2026

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The California High-Speed Rail Authority has released its Draft 2026 Business Plan for public review, outlining a $1.7-billion reduction in projected Phase 1 costs and a focus on completing the Merced-to-Bakersfield segment, expanding service to major population centers, and generating early revenue through asset commercialization and real estate development.

Why it matters

The draft business plan represents an effort by the High-Speed Rail Authority to right-size the project and prioritize investments that would bring high-speed rail service online as quickly and economically as possible, generating early revenue and setting the stage for long-term financial strength and private-sector participation.

The details

The draft plan reflects a $1.7-billion reduction in projected Phase 1 costs, which cover the initial segment between San Francisco and Los Angeles/Anaheim. Authority officials said the savings stem from efforts to 'right-size' the project and prioritize investments that would bring service online as quickly and economically as possible. The plan envisions a combination of public funding, proposed private financing, and legislative changes to advance construction and begin revenue-generating service.

  • The 60-day public comment period runs from Feb. 28 to April 29.
  • Construction is ongoing along 171 miles between Merced and Bakersfield, with nearly 80 miles of guideway completed and close to 60 major structures finished.
  • Another 29 structures are under construction across Madera, Fresno, Kings and Tulare counties.
  • Statewide, 463 of the planned 494 miles in the San Francisco-to-Los Angeles/Anaheim system have been fully environmentally cleared and are ready for construction.
  • Since construction began, the project has generated more than 16,400 jobs, most of them filled by residents of the Central Valley.

The players

California High-Speed Rail Authority

The state agency responsible for planning, designing, building and operating the high-speed rail system in California.

Tom Richards

Chair of the California High-Speed Rail Authority Board.

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What they’re saying

“It explains how we build from progress underway, prioritize investments that produce early and durable commercial benefits, and create the conditions for long-term financial strength and private-sector participation as the system expands.”

— Tom Richards, Chair, California High-Speed Rail Authority Board (California Construction News)

What’s next

The draft business plan is available for public review and comment through April 29. The California High-Speed Rail Authority Board will discuss the plan at its March 4 meeting in Sacramento.

The takeaway

The draft 2026 business plan represents an effort by the California High-Speed Rail Authority to streamline the project, prioritize investments that can bring high-speed rail service online more quickly and economically, and lay the groundwork for long-term financial sustainability and private-sector participation.