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Audit Initiated of FRA’s High-Speed Rail Grant Risk Mitigation and Oversight of Expenditures

Requested By
Requested by the Chairman of the House Transportation and Infrastructure Committee’s Subcommittee on Railroads, Pipelines, and Hazardous Materials
Project ID
File Attachment

Since 2009, Congress has appropriated over $10 billion for the High Speed Intercity Passenger Rail (HSIPR) Program. As of December 2017, the Federal Railroad Administration (FRA) had disbursed $8.6 billion of those funds. Nearly 39 percent of HSIPR program funding to date has been dedicated to California’s high-speed rail corridor between San Francisco and Los Angeles, managed by the California High-Speed Rail Authority (CHSRA). Given the significant funds provided to the CHSRA for high-speed rail, Congress requested that we review FRA’s risk mitigation and oversight of expenditures. Accordingly, we plan to initially focus our work on California’s high-speed rail project and specifically assess FRA’s (1) risk analysis, assessment, and mitigation efforts—particularly regarding the availability of non-Federal matching funds, business plans, and financial reporting—and (2) procedures for determining whether Federal funds expended complied with applicable Federal laws and regulations.