High speed rail project officially dies in Florida, sending rail money to other states

Florida Gov. Rick Scott announces his new budget during a Tea Party event in Eustis, Fla., Monday, Feb. 7, 2011. (AP Photo/Phelan M. Ebenhack)

/ AP Photo/Phelan M. Ebenhack

Plans to build a high speed rail line between Tampa and Orlando died Friday, when the Florida Supreme Court sided with Republican Gov. Rick Scott, who has argued he has no obligation to accept federal funding for the project.

The 84-mile rail line was expected to be a highlight of the Obama administration's infrastructure investments, but the new Republican governor turned down the $2.4 billion in federal funds allocated for the project. Department of Transportation Secretary Ray LaHood had tried to convince Scott to take the money, but in a statement today, LaHood confirmed the money will now go to other states investing in high speed rail.

"The Obama Administration's bold high-speed rail plan will not only create jobs and reinvigorate our manufacturing sector in the near term, it is a crucial and strategic investment in America's future prosperity," LaHood said in a statement. "I know that states across America are enthusiastic about receiving additional support to help bring America's high-speed rail network to life and deliver all its economic benefits to their citizens."

Scott announced last month he was rejecting the money because he was he believed the state could be on the hook for as much as $3 billion in cost overruns.

Democratic state lawmaker Arthenia Joyner and Republican Thad Altman subsequently filed a suit arguing that Scott was overstepping his executive authority by nixing the project. The court today, however, sided unanimously with Scott.

In response to Scott's concerns, LaHood said his department had worked with Scott to ensure that private businesses competing for the project would assume the cost overruns and operating expenses -- not the state. Additionally, the Miami Herald reports, local governments, including Orlando, Tampa, Lakeland and Miami, formed a coalition to assume responsibility for ensuring that a private company would cover any cost overruns.

Nevertheless, at the "Share a Little Sunshine" tourism kickoff in Orlando Tuesday, Scott said, "They have not convinced me that the taxpayers are not on the hook" for the project.

Scott spokesperson Brian Burgess said in a statement the governor is "gratified" by the court's decision today, the Orlando Sentinel reports.

"He is now focused on moving forward with infrastructure projects that create long-term jobs and turn Florida's economy around," he said.

Scott said today he is directing the state Department of Transportation to spend $77 million on a port dredging project so the Port of Miami can handle larger ships.

Meanwhile, lawmakers from a number of other states have lobbied for the high speed rail money, including 10 senators from northeastern states who penned a letter to LaHood on Monday arguing why they should receive it.

"With its large population and high economic activity, the Northeast Corridor is well-positioned to lead the nation into the future of high-speed rail transportation," the senators wrote. "If another project sponsor in Florida is not found, our states stand ready to put the unwanted funds to good use to improve our existing high-speed rail service, create jobs, and reduce congestion and air pollution."

[RAS08]

No bias here. Ever think of what positives might come about by rejecting this? Think people. Clearly the writer of this story, and CBS, have a clear agenda. Spend, spend, spend. Even though we don't have it.

[bacaangel]

A government run by billionares for billionares! This is the United States of America not the Corporate States of America!

Did Meet The Press David Gregory or other GOP Pundits ask Michelle Bachman about her 700 million Bridge to Nowhere -- http://wonkroom.thinkprogress.org/2011/03/01/bachmann-bridge-nowhere/ -- OR

when she and other GOP tea partiers state, they want to create jobs, just what are their plans and proposals to do so? NO! But I guess saying No to any type of job stimulation creates jobs! That is not responsible Media reporting, but I guess the break down of Charlie Scheen is...

[liberalme]

WELCOME TO FLORIDA

Walk and drive at your own risk.
Our governor doesn't believe in progress he can't pilfer from.
Rick Scott--pled the 5th 75 times.

Stupid people voted party lines and couldn't care less what this guys background was.

[nearl451]

If you have ever travelled on that top 10 death trap, HWY 4 between Tampa and Orlando, you know why such a project makes sense and would be a money maker, no matter where the money comes from.

It is akin tothe NE corridor trains between D.C. and NYC.

This move was pure folly on Fla's part. It was win:win....now gone:gone.

[nearl451]

This was a "falling off a log" money maker from the get go. Sure highspeed rail isn't for everyplace, but this corridor or expaning even from I-95 to Tampa is an investors dream. The demand is there and THINK of the annual deaths averted on HWY4.

Honestly, I don't think some get the idea of long term capital investment or infrastructure anymore. Iguess we'll just wait until more I-35 collapses in MPLS and then react.

[RobAla]

AMTRAK lost $1.2 billion this past year because Americans don't want to ride trains. This is not Europe. AMTRAK has been shrinking for years. I lot of things would be cool ideas, but we absolutely do not have the money. We are more than $14 trillion in debt, and this year it is projected that we will add another $1.65 trillion to that debt. We do not have an extra $53 billion lying around somewhere to create a new massive spending program for fast trains.

With Washington in fights over how much to cut from this massive, bloated, and wasteful federal government - there is no way in heck that anyone should propose new spending like this. We can not even afford the federal programs that we currently have. This is not an money making idea. Where did you get the notion that it would be a money maker? I wish you well.

[RobAla]

It should die everywhere in the US. We do not have an extra $53 billion sitting around for fast trains! We can't even afford the massive federal programs that we currently have. How in the world could the President suggest we add another massive program??????

[wfw3536]

I wish we had a governor like Scott who is willing to make tough decisions to save the state millions.

[jimbom121]

Tough decisions??? I guess giving away millions on dollars that would have brought jobs to your state is a tough decision.

[RobAla]

Scott understands that if the federal government built these trains, the state of Florida would be charged with maintaining the systems. Florida does not have extra money to do that. The federal government does not have $53 billion to build this train system. We are talking about doing something that requires money that we do not have - neither on the federal or state level. Scott made the right call.

[KittenMoon]

Hopefully Texas get's the money. I hate traveling 12 hours from Houston to Lubbock and 12 hours back each time. Sometimes I just put off seeing my family back in Houston because of the costs. I think some kind of link between Houston and Dallas would make my trip to Houston and back from Lubbock much more faster and cheaper.

[jimbom121]

I'm guessing Perry is too dumb to accept it.

[catmomtx]

jimborn, you would probably be right.

[dim_public]

Who do you think stood to benefit the most from a high speed rail project? The little man in the middle/working class, both in its construction and in its use! I completely understand the governor wanting this money to go back, they are many big-oil subsidies and corporate tax breaks that need further funding.

[nearl451]

Actually, there were no losers for this project. Investors (taxpayers) would have benefited as well.

[dim_public]

nearl1451, yes, the middle to lower working classes constitute, what, about 98% of the tax-paying population? A lot of people making salaries around $100,000 to $200,000 unjustifiably align their thinking as being one of the wealthy/affluent. Not hardly! If you cannot contribute millions to a politician's campaign, then you are a NOBODY to them, someone to be kicked around and ignored. Wake up people!

[crazyname]

Excellent, send the money back to washington to pay off the debt, do not give it to any other state for a debackle!

Corine Brown yapped without knowing what they were talking about! Obama has been in office for over 2 years, Our governor hs been office for 2 months and they want to know where the jobs are! Why is there a double standard for dems and republicans. What good is a high speed rail that goes 60 miles if you have to drive 200 miles to get to it? Hopefully it goes the way of the cross florida barge canal. The dems were set to make a lot of money on land purchases, guaranteed!

[not_fooled_by_Righties]

Because the Repugs campaigned on jobs and are not producing any jobs bills.

[jimbom121]

The money has already been allocated...so it will go to another state. California and New York are already asking for it.

[JayR75]

Great news for the taxpayers of Florida. Even the majority of Floridians were not in favor of spending millions of their own money on top of the $2.4 Billion the Obama Administration probably borrowed from China for an 84 mile long boondoggle. This was probably one of the stupidest ideas to come out since the invention of the Edsel.
BTW; it was reported those rail cars were to be built overseas in either Europe or China. Doubt that would have lowered the American unemployment rate.

[jimbom121]

Way to go in creating jobs scotty.

[retm-w]

Ohio refused theirs to, after survey's were done a couple of years ago under a dem governor, it would not generate enough funds to support it. The taxpayers would be stuck with another Amtrak. You can build it but you can't force people to ride it.

[jimbom121]

Actually Strickland urged Kasich not to kill it.
http://green.blogs.nytimes.com/2010/12/09/save-high-speed-rail-departing-ohio-governor-urges/

Funny how the Repub governors don't want it (Walker, Kasich & Scott). New York and California have already put in claims for Ohio's share.