By Ron Thaniel
December 20, 2010

U.S. Transportation Secretary Ray LaHood announced on December 9 that $1.195 billion in high-speed rail funds originally designated for Wisconsin and Ohio will be redirected to other states to develop high-speed rail corridors. According to the statement from the Department of Transportation, Wisconsin has suspended work under its existing high-speed rail agreement and the incoming Governors in Wisconsin and Ohio have both indicated that they will not move forward to use high-speed rail money received under the American Recovery and Reinvestment Act (ARRA). As a result, $1.195 billion will be redirected to high-speed rail projects already underway in other states.

"High-speed rail will modernize America's valuable transportation network, while reinvigorating the manufacturing sector and putting people back to work in good-paying jobs," said LaHood. "I am pleased that so many other states are enthusiastic about the additional support they are receiving to help bring America's high-speed rail network to life."

ARRA included "$8 billion to launch a national high-speed rail program that will modernize America's transportation network, spur economic development domestically and keep the U.S. competitive with other leading nations," said the statement. It noted, "high-speed rail grants announced under the Recovery Act can be used only for high-speed rail projects and not for other transportation projects."

The Federal Railroad Administration (FRA) originally announced $810 million for Wisconsin's Milwaukee-Madison corridor and $400 million for Ohio's Cincinnati-Columbus-Cleveland "3C" route. The FRA will redirect $810 million from Wisconsin and $385 million from Ohio, and will work with these states to determine whether they have already spent money under their contracts that should be reimbursed.

The $1.195 billion designated for high-speed rail projects in Wisconsin and Ohio will reallocated to projects in the following states: