Brightline, the company building the country’s first privately owned high-speed rail system, has asked the Trump administration for a $6 billion loan to help with rising construction costs on its line between Las Vegas and Southern California.
The project’s price tag has jumped from $12 billion to $21 billion, according to federal documents, and the extra cost was one reason the company in September applied for a loan from the Federal Railroad Administration.
Brightline CEO Michael Reininger defended the move as necessary in the current economic environment. In an interview with POLITICO’s E&E News, he said his company wasn’t the only one contending with higher construction costs.
“We’ve definitely seen the impacts of a challenging construction market, and we’re not alone — many others are experiencing cost increases as well,” he said. “We work every day to be as smart as possible in finding ways to mitigate the consequences of those cost increases, so that we can continue to advance the project.”
