The resignation of the CEO of the California High-Speed Rail Authority after a two-year run plagued by an expenses scandal, spiraling costs and project delays has prompted a renewed focus on the future of the project. In a letter sent to executives ahead of the Board of Directors' meeting on Thursday, Chief Executive Ian Choudri said he was stepping down to focus on “important personal and family priorities,” according to a copy of an emailed resignation obtained by CalMatters. Newsweek has contacted Democratic gubernatorial candidate Xavier Becerra and Republican gubernatorial candidate Steve Hilton for comment.
Appointed in 2024, Choudri’s tenure saw the authority lose more than $4 billion in federal funding under President Donald Trump's administration. In September, state investigators found that the agency paid $592,900 in travel expenses for contracted consultants that appeared to violate state rules, with reimbursed trips including a nightclub, escape room and cigar lounge. The cost of the high-speed rail project, first approved in 2008, has also ballooned from $45 billion to an expected figure between $126 billion and $231 billion, the authority reported, with tracks still yet to be laid.
His credentials speak for themselves, both as a steward of public funds and a proven leader. Most recently, he has served as Governor Newsom’s budget director for the past four years. In a few short moments, we will consider adopting the final environmental clearance for the LA-to-Anaheim segment.
And in a few months, we will begin to lay track. High Speed Rail is happening, and we have full confidence in Joe to continue moving us towards our goals.” Stephenshaw is the state’s Department of Finance director. Following the authority's report, the board voted to limit Choudri’s contracting authority, introducing legislation requiring in-house legal approval on any contracts less than $25 million.
The board reportedly has been weighing additional disciplinary action against Choudri for weeks, a source from the authority told , including the CEO’s possible termination. Earlier this year, Choudri was arrested on suspicion of domestic battery, although the charges were later dropped after a sheriff’s office cited insufficient evidence, KCRA in Sacramento reported. Choudri took a voluntary leave of absence until the matter was resolved.
Choudri's departure led to a renewed call for the project to be scrapped. Republican state Senator Tony Strickland told Newsweek in an emailed statement on Friday: “The California High-Speed Rail Authority has had four CEOs since 2010, including Ian Choudri, appointed in 2024. "Instead of reshuffling the chairs on the Titanic, it’s time to pull the plug on the high-speed fail and deliver immediate relief to struggling Californians paying the nation’s highest gas taxes.
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