California High-Speed Rail Authority CEO Resigns

Ian Choudri, the chief executive of California’s High-Speed Rail Authority, unexpectedly stepped down on Wednesday after state investigators began looking into spending practices.

His resignation comes about 20 years after California initiated its high-speed rail project, which has faced growing criticism over soaring costs with minimal progress. The proposed bullet train aims to connect northern and southern California in just a few hours, similar to Europe’s TGV service.

Choudri, who took the helm in 2024, was tasked with overseeing the construction of this high-speed train that would link various regions of the state. However, six years after initial completion estimates were made, work has only commenced on one segment—a 119-mile stretch of the nearly 500-mile network. The original project plans have seen significant reductions due to ongoing delays and budget overruns, leaving the entire endeavor in a precarious situation.

Joe Stephenshaw is set to succeed Choudri; he previously headed the state Department of Finance and worked as a policy analyst in the legislature. In a memo, Choudri stated he resigned to prioritize “important personal and family matters.”

“This has not been an easy decision, as leading the Authority has been one of the most meaningful and rewarding chapters of my professional life,” Choudri wrote.

Reports suggest that Choudri’s two-year period was marred by financial issues, project setbacks, concerns about transparency, and various scandals. This includes allegations of misusing nearly $600,000 in taxpayer funds for dubious trips taken by rail authority consultants. Under his leadership, the authority lost out on $4 billion in federal funding during the Trump administration, often due to missed deadlines associated with the funding agreements to procure trains. California initially sued for the funding but later dropped the lawsuit, citing Trump as a “not reliable partner” and seeking private investment instead.

Recent investigations revealed that the rail agency’s consultants traveled first-class, used premium transportation, and visited nightclubs, cigar lounges, and restaurants—all at taxpayer expense and at times upon Choudri’s request. Some of these trips were to Folsom, a Sacramento suburb where Choudri resides, and often occurred after hours.

Earlier this month, the board voted to restrict Choudri’s contracting authority pending the investigations, mandating that legal counsel approve any contracts under $25 million before proceeding.

In the weeks leading up to Choudri’s resignation, the board had been deliberating his possible termination. Board chair Steve Kawa remarked that Choudri’s resignation “reflects the board’s commitment to accountability and transparency, consistent with the governor’s mandate.”

“Californians deserve a project they can trust,” Kawa asserted.