Reason Foundation: The Texas High-Speed Rail Plan Requires Caution: An Updated Analysis
If project is built and put into operation, Texas Central could default on its loans, require a taxpayer bailout, or both.
This updated analysis of the Texas Central’s proposed Dallas-to-Houston privately financed high-speed rail line in Texas finds that despite the potential advantages of private high-speed rail service, including project innovation, less susceptibility to political interests, and increased customer-oriented service, there are several cautions and concerns regarding Texas Central’s project.
Specifically, conclludes this policy brief, there is a significant probability that if this project is built and put into operation, Texas Central will default on its loans, require a taxpayer bailout, or both. This would be a devastating outcome for Texas, its residents, taxpayers, and proponents of private high-speed rail in the United States.