
Labor and enviros take it to the parking lot
THIS WAY OR THE HIGHWAY: The fight over California's highway expansion efforts is entering the affordability arena.
Environmental groups and labor unions plan to fill the Sacramento Convention Center tomorrow in a face-off over roughly $600 million in funding for six highway projects ranging from the Bay Area to Los Angeles County.
The California Transportation Commission is expected to approve the slate of projects, which have been in the pipeline for years and already have sign-off from Caltrans. But environmental groups say they plan to use the moment to unveil a change in strategy: talk less about pollution, and more about keeping dollars in people's pockets.
'Driving is the most expensive way to get around,' said Jeanie Ward-Waller, director of ClimatePlan and a former Caltrans official who sued the agency after saying she was demoted for objecting to highway expansion plans. 'Owning a car, maintaining a car, putting gas in your car. There's so much focus right now on gas prices, and we're not doing anything to give people affordable options.'
It's the next chapter of a fight at the typically sleepy California Transportation Commission that started playing out last year over $200 million to widen I-15 in the Inland Empire, which ended with former commissioner Joe Lyou, president and CEO at Coalition for Clean Air, blasting his colleagues from the dais.
Greens are hoping to keep the agency in the spotlight by arguing that road-widening is part of the affordability agenda that's taken Sacramento by storm. They're tying it to the same angst around high gas prices, housing costs and food prices that's shifted the political discourse around climate from an emphasis on reducing emissions to helping Californians afford living in the state. (Look no further than the bill introduced Tuesday that takes aim at the state's emissions market for transportation fuels.)
The construction labor unions that build and maintain California's expansive highway system aren't buying it.
Michael Quigley, executive director of the California Alliance for Jobs, which represents carpenters, laborers, contractors and other construction unions, called enviros' opposition to highway projects a political ideology that's not rooted in concerns about costs.
'Historically, infrastructure has not been such a politicized issue,' Quigley said. 'I think it goes back to the philosophical disconnect between the people who have postgraduate degrees in environmentalism seeking to impose policies and programs that make it harder to live for working Californians.'
While environmental groups are leaning hard into the affordability rhetoric, they're less worried about the threat of federal funding linked to pollution standards being held up.
That's because if President Donald Trump has his way, California officials could be forced to think about their transportation infrastructure strategy sooner rather than later.
EPA could soon attempt to sanction California for failing to meet federal air quality standards under the Clean Air Act — something that's all but assured after Republicans revoked California's authority to enforce its vehicle emissions rules. That would put billions of federal highway dollars at risk, and CARB Chair Liane Randolph told lawmakers last month that the loss of the waivers would mean they'd have to think hard about spending more on public transit and things like electric vehicle incentives to reduce pollution.
From Ward-Waller's perspective, that's a potential win.
'For the funds that are being used to expand highways, good riddance,' she said. — AN
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FIRE ON THE MOUNTAIN: Could $9 million in fuel breaks have slowed the Eaton Fire enough for firefighters to evacuate Altadena residents and prevent damage to homes? It's hard to know for sure, but that's the case made by new research from analytics firm Vibrant Planet, shared exclusively with California Climate.
The findings use Vibrant Planet's wildfire behavior model to highlight how preventative landscape-scale treatments can avoid losses in the case of a fire. For example, the model determined that $15.3 million spent around Boulder, Colorado, in prescribed fire and both commercial and non-commercial vegetation trimming could reduce structure losses by 62.9 percent in case of a fire sparking in the forest, avoiding $123 million in losses.
The data is part of a pitch for more investment in wildfire prevention and fewer limits on the treatments. On Thursday, Vibrant Planet CEO Allison Wolff is scheduled to testify to Congress on wildfire technology and her support of the Fix our Forests Act, a bipartisan bill that passed the House and is pending in the Senate. — CvK
TURN ON THE POWER: Over a dozen blue states are about to have their federal electric vehicle charging taps turned back on.
A Washington federal judge late Tuesday blocked the Trump administration from freezing funding approved under President Joe Biden through the National Electric Vehicle Infrastructure program, POLITICO's James Bikales reports.
That funding won't restart immediately, as Judge Tana Lin issued a seven-day stay pending an appeal by the government.
Trump's Department of Transportation suspended all new spending through the $5 billion program in February, arguing that it was reviewing the funding criteria. That pushed some states, like Michigan and Vermont, to pause their NEVI programs, though California did not cancel its first round of nearly $33 million in awards.
California charger operators say that while the $352 million in NEVI funds the state is slated to receive is dwarfed by in-state and private resources, the program incentivizes building in less profitable rural areas. — AN
DRAMA IN THE FAST LANE: Senate Republicans' budget wonk is raising a red flag over a plan to use gas tax dollars to create temporary priority lanes for athletes and officials during the 2028 Los Angeles Olympics.
Sen. Roger Niello, vice chair of the Senate Budget and Fiscal Review Committee, said in an interview that he's not opposed to spending in support of the Olympics, but pushed back on the budget item being included late in the cycle without debate in prior committees.
Democrats' budget would tap $17 million from the State Highway Account, which is funded by gas taxes, to help Caltrans design a transportation network for the Olympics. (The agency could request up to $20 million more as needed.) That would include temporarily converting carpool and toll lanes for use only by approved vehicles, and new digital signage alerting residents to the changes.
Niello contended that gas taxes are for new construction and repairs, and suggested that the state could instead offer Los Angeles a loan to be repaid if the games prove profitable.
'I can certainly see the need for lane repurposing to help traffic move more smoothly,' Niello said. 'But the problem is it will be exactly the same transportation infrastructure once they're done.' — AN
IT'S NOT ALL BAD: The death of California's electric vehicle waiver and potential loss of federal tax credits have EV makers in a bind, but Cox Automotive analysts say it's not all doom and gloom for the market.
Stephanie Valdez Streaty, director of industry insights at Cox Automotive, said during the company's mid-year review of the auto industry Wednesday that rapid expansion of EV options on the market offers 'a bright spot that signals long-term strength.'
Streaty cautioned, however, that while more market maturity is a 'win for consumers', it does pose challenges for companies that now have to deal with more supply chain constraints in trying to build out so many different models.
But she said the tradeoff is that more car buyers can now find an EV model that fits their 'lifestyle, budget and brand preference.'
Streaty's assessment of the EV market comes amid concerns about the overall health of the auto industry. That has largely been driven by Trump's 25 percent tariff on imported cars and parts, which automakers warn will drive down supply and raise prices. — AN
— A Los Angeles County Superior Court judge ruled that California's insurer of last resort is violating state law by mishandling smoke damage claims after the Los Angeles fires.
— Tech companies have put nearly half of their data centers in water-scarce regions.
— A Houston-based startup is testing oil-eating microbes in a retired California oilfield.
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San Francisco Chronicle
21 hours ago
- San Francisco Chronicle
This California city relies on a highway that's sliding into the ocean. Fixing it will cost $2 billion
One of California's most expensive infrastructure projects is inching forward in a tiny city on the north coast, where landslides have long battered the main highway. The road in question is Last Chance Grade, a cliff-hugging stretch of U.S. 101 that links Eureka to Crescent City. Winding three miles through a redwood forest that overlooks the Pacific Ocean, the thoroughfare is beautiful and cursed. Ground tremors and winter storms send rocks tumbling from adjacent slopes, burying large sections of pavement and forcing closures. Parts of the overhang are steadily crumbling into the sea. After years of patch jobs and careful monitoring, Caltrans landed on a solution: A 6,000-foot tunnel that would bypass the landslide area, at a cost of $2.1 billion. If built, it would be the longest tunnel in state history, a bedrock lifeline for a relatively isolated place. Political leaders still aren't sure where they'll find all that money. But they see no other option. 'We're really racing against time,' said Democratic Congressman Jared Huffman, who represents a coastal span from the Golden Gate Bridge to the Oregon border. He considers Last Chance Grade the district's highest transportation priority — more urgent, even, than flood-endangered Highway 37 in the North Bay. 'Last Chance Grade is on the verge of falling into the ocean on any given day,' Huffman said, emphasizing the road's fragility, and its importance. It's an interstate artery that links Del Norte County not only to neighboring Humboldt, but to the rest of the outside world. About 6,000 vehicles travel the route daily, ranging from commuters to truckers to day-trippers. Big rigs rumble along the unsteady terrain, shipping goods from the Bay Area or Humboldt to Crescent City. The most perilous section forms a continental edge, bordered by state and national parks and the ancestral territories of multiple indigenous tribes. Caltrans has maintained the grade for years with a string of 'multimillion dollar band-aid' fixes that require squeezing the highway to one lane, Huffman noted. Neither the congressman nor the state's transportation agency think the rinse-and-repeat cycle of road repair is sustainable. And an indefinite shutdown of Last Chance Grade would paralyze the region. 'Our milk is hauled on that road every day,' said Kate Walker, an employee of Rumiano Cheese company in Crescent City, which relies on milk from 19 organic dairies, 16 of them south in Humboldt County. When the grade closes, the dairy trucks have a much longer journey, through Willow Creek and up Interstate 5 to Grants Pass. That trip can take 'hours and hours,' Walker said. Mulling the geological predicament of Last Chance Grade, Caltrans engineers have proposed many solutions, including bridges, culverts, smaller tunnels and different realignments of the road. Last year, the agency settled on a plan for the mile-long tunnel, which evidently had the most buy-in from lawmakers, local tribes, environmentalists and every other stakeholder. Building consensus was only the first step; the project is now undergoing environmental reviews as lawmakers try to rally funding. So far, Caltrans has set aside $275 million for design and engineering, with construction scheduled to begin in 2030. It's 'hugely consequential that we've gotten this far,' said Gregory Burns of the lobbying firm Thorn Run Partners, delivering a report to the Del Norte Board of Supervisors on Tuesday. Burns is the county's advocate in Washington D.C. Despite the progress, Burns conceded, 'there is a roughly $2.1 billion delta that we're going to have to deal with' between now and the project's completion in 2039. Del Norte County Supervisor Darrin Short hopes the federal government might swoop in to fill the $2 billion gap. That's happened at least once before in California. Federal emergency relief funds largely paid for the twin tunnels at Devil's Slide near Pacifica, where Highway 1 curves atop steep, eroding bluffs. The tunnels, which opened in 2013, were named for Peninsula Congressman Tom Lantos, who helped secure the money. Devil's Slide might be the most fitting analogue for the just-as-ominously-named Last Chance, despite a vast difference in project cost. The multibillion-dollar price tag for Last Chance Grade is more than quadruple the $439 million spent on the Tom Lantos bores, which also started as a big-swing idea that needed a lot of political backing — the citizen groups who saw it through became known as 'tunnelistas.' Undoubtedly, Del Norte County officials are grappling with a bigger financial drama, complicated, experts say, by inflation, rising construction costs and the remoteness of the location. Any colossal project like this one 'almost invariably requires multiple revenue streams,' said John Goodwin, a spokesperson for the Bay Area's Metropolitan Transportation Commission. In some past cases, like the replacement of the Bay Bridge eastern span, project planners combined federal, state and local funding sources. Ongoing maintenance and repairs for the Bay Bridge are paid for with incremental toll increases, which could be a model for Last Chance, albeit a daunting one. If each of the 6,000 vehicles that cross the grade daily were to pay $1, it would take 959 years to cover the estimated $2.1 billion construction cost. Huffman rejects the toll idea, citing the rural poverty in Humboldt and Del Norte counties. Instead, he's gambling on a federal mega grant program for 'inherently huge and expensive' transportation infrastructure. He and others acknowledge the challenges ahead. Costs only escalate over time, and their tunnel plan must pass through multiple presidential administrations. Short, the county supervisor, is relentlessly optimistic about the future of Last Chance. Raised in Crescent City, he's driven along the grade 'regularly' for years, and has more than one unsettling story. Decades ago, he said, his grandparents had to gingerly maneuver around a piece of road that had 'fallen away' from the three mile stretch. Had they been less attentive, he surmised, they might have fallen to the surf below. 'We're going to be groundbreaking (on Last Chance) by the end of this decade, and I think we can all feel it,' Short said, referring to the anxiety and long-shot faith among Crescent City's 6,000 residents. 'We're just hoping the state and the federal government can come together.'


Fox News
a day ago
- Fox News
High-speed rail isn't California's only expensive boondoggle
Print Close By Michael Feuz Published July 25, 2025 California Gov. Gavin Newsom is suing the Trump administration for pulling back $4 billion in federal funding for high-speed rail. But President Donald Trump hasn't actually derailed any trains. And all the lawsuit has really done is expose the trainwreck that is California's fiscal situation. For months, Newsom has bragged about California having the world's fourth-largest economy and sending back more money to Washington than it takes in. He's right, but he's also conveniently ignoring that California also boasts the nation's highest real poverty rate and a projected budget deficit as high as $20 billion. That just scratches the surface of the fiscal mess Californians deal with every day – not just in Sacramento, but at every level of government. Let's start with the high-speed rail project. Voters approved it in 2008 to run from San Francisco to Los Angeles at an approximate cost of $40 billion with a completion date of 2033. As of June of this year, the projected cost was as high as $128 billion with no track laid. CALIFORNIA'S GREEN NEW SCAM COULD COST YOU $20,000 Los Angeles residents know this kind of bureaucratic ineptitude all too well. Complex and sometimes conflicting county and state environmental regulations played an important role in the closure of the county's second-largest landfill, Chiquita Canyon, at the end of 2024. Residents now have to fund the added expense of hauling trash to a landfill farther away while local politicians obsess over "price-gouging" by those who haul and handle residents' garbage. Taxpayers are burdened enough with the political junk Sacramento sends their way; local officials would be a lot more useful if they reduced, instead of added, to the heap. Los Angeles, meanwhile, can't seem to provide essential services at any price, gouged or otherwise. Check out all of the fire hydrants that didn't work during the recent fires and the empty city-run reservoir nearby. Anyone who oversaw those failures and still has a job is gouging taxpayers with every paycheck. Paying for incompetence is bad enough, but what about corruption? That's what taxpayers across the state have funded for years as officials in state, county and city governments have colluded in a Medicaid reimbursement scheme by allowing government-owned providers to charge as much as 13 times more for certain services than the private sector is allowed to charge. CLICK HERE FOR MORE FOX NEWS OPINION Not only has this practice squeezed private providers, thereby limiting care options for non-Medicaid patients, but it has allowed California to paper over its unfunded pension obligations for government employees by pocketing the difference. And those obligations will come due faster than policymakers prefer as the nation's highest cost-of-living and top marginal tax rates continue to drive taxpayers and businesses out of the state. "Businesses that want to grow and parents who want to provide for their families have been moving out of California for a decade, especially to states like Texas and Florida that have no or minimal income taxes," said Vance Ginn, Ph.D., chief economist for the Office of Management and Budget during the first Trump administration. "And that trend isn't likely to reverse itself because lawmakers and regulators up and down the state keep spending more and regulating and taxing themselves out of residents." CLICK HERE TO GET THE FOX NEWS APP Cleaning up California's fiscal mess will take a lot more than creative accounting tricks, piecemealing federal funding grants and soaking the taxpayers – like the one-time windfall of capital gains taxes that created the temporary surplus in 2022. It requires reining in out-of-control spending while also reducing the regulatory burden on residents and businesses. That's why Newsom's lawsuit over the train funds isn't about infrastructure. It's about image. His flip on gender identity issues and sudden support for reducing California's atrocious housing regulations were sops to "the middle," but he also wants to make the Left happy by showing he can stand up to Trump. At federal taxpayer expense, of course, all the while claiming that he's keeping California "innovative" while basic governance collapses underneath. CLICK HERE TO READ MORE FROM MICHAEL FEUZ Print Close URL


Fox News
a day ago
- Fox News
High-speed rail isn't California's only expensive boondoggle
California Gov. Gavin Newsom is suing the Trump administration for pulling back $4 billion in federal funding for high-speed rail. But President Donald Trump hasn't actually derailed any trains. And all the lawsuit has really done is expose the trainwreck that is California's fiscal situation. For months, Newsom has bragged about California having the world's fourth-largest economy and sending back more money to Washington than it takes in. He's right, but he's also conveniently ignoring that California also boasts the nation's highest real poverty rate and a projected budget deficit as high as $20 billion. That just scratches the surface of the fiscal mess Californians deal with every day – not just in Sacramento, but at every level of government. Let's start with the high-speed rail project. Voters approved it in 2008 to run from San Francisco to Los Angeles at an approximate cost of $40 billion with a completion date of 2033. As of June of this year, the projected cost was as high as $128 billion with no track laid. Los Angeles residents know this kind of bureaucratic ineptitude all too well. Complex and sometimes conflicting county and state environmental regulations played an important role in the closure of the county's second-largest landfill, Chiquita Canyon, at the end of 2024. Residents now have to fund the added expense of hauling trash to a landfill farther away while local politicians obsess over "price-gouging" by those who haul and handle residents' garbage. Taxpayers are burdened enough with the political junk Sacramento sends their way; local officials would be a lot more useful if they reduced, instead of added, to the heap. Los Angeles, meanwhile, can't seem to provide essential services at any price, gouged or otherwise. Check out all of the fire hydrants that didn't work during the recent fires and the empty city-run reservoir nearby. Anyone who oversaw those failures and still has a job is gouging taxpayers with every paycheck. Paying for incompetence is bad enough, but what about corruption? That's what taxpayers across the state have funded for years as officials in state, county and city governments have colluded in a Medicaid reimbursement scheme by allowing government-owned providers to charge as much as 13 times more for certain services than the private sector is allowed to charge. Not only has this practice squeezed private providers, thereby limiting care options for non-Medicaid patients, but it has allowed California to paper over its unfunded pension obligations for government employees by pocketing the difference. And those obligations will come due faster than policymakers prefer as the nation's highest cost-of-living and top marginal tax rates continue to drive taxpayers and businesses out of the state. "Businesses that want to grow and parents who want to provide for their families have been moving out of California for a decade, especially to states like Texas and Florida that have no or minimal income taxes," said Vance Ginn, Ph.D., chief economist for the Office of Management and Budget during the first Trump administration. "And that trend isn't likely to reverse itself because lawmakers and regulators up and down the state keep spending more and regulating and taxing themselves out of residents." Cleaning up California's fiscal mess will take a lot more than creative accounting tricks, piecemealing federal funding grants and soaking the taxpayers – like the one-time windfall of capital gains taxes that created the temporary surplus in 2022. It requires reining in out-of-control spending while also reducing the regulatory burden on residents and businesses. That's why Newsom's lawsuit over the train funds isn't about infrastructure. It's about image. His flip on gender identity issues and sudden support for reducing California's atrocious housing regulations were sops to "the middle," but he also wants to make the Left happy by showing he can stand up to Trump. At federal taxpayer expense, of course, all the while claiming that he's keeping California "innovative" while basic governance collapses underneath.