In his first State of the State address since his election as governor, Newsom told a joint session of the California legislature that he was significantly downsizing the state's commitment to High Speed Rail, but that he would continue to support construction of the Bakersfield-to-Merced phase currently underway. That link, he said, can play a major role in the Central Valley's economic emergence.
"I know that some critics will say this is a 'train to nowhere,'" Newsom said. "But that’s wrong and offensive. The people of the Central Valley endure the worst air pollution in America as well as some of the longest commutes. And they have suffered too many years of neglect from policymakers here in Sacramento. They deserve better."
If ever a California governor has spoken truer words about that longstanding neglect, the moment eludes us now.
"High-Speed Rail is much more than a train project," Newsom said. "It’s about economic transformation and unlocking the enormous potential of the Valley.
"We can align our economic and workforce development strategies, anchored by High-Speed Rail, and pair them with tools like opportunity zones, to form the backbone of a reinvigorated Central Valley economy."
We'll want to hear more about these opportunity zones, but Newsom's words sound like a starting point for discussion about Kern County's reliance on the two industries that seem to be under assault in the Central Valley: agriculture and especially oil and gas. Economic diversification is essential, given the obstacles those industries, for better or worse, have been facing.
"Merced, Fresno, Bakersfield, and communities in between are more dynamic than many realize," Newsom said. "The Valley may be known around the world for agriculture, but there is another story ready to be told. A story of a region hungry for investment, a workforce eager for more training and good jobs, Californians who deserve a fair share of our state’s prosperity."
Newsom said the state, under his pick for the next chair of the High-Speed Rail Authority, Lenny Mendonca, his Economic Development Director, would continue with regional projects north and south. HSR will finish Phase 1 environmental work.
"We’ll connect the revitalized Central Valley to other parts of the state, and continue to push for more federal funding and private dollars," he said.
Newsom said the cost of simply walking away from the project are too high.
"Abandoning high-speed rail entirely means we will have wasted billions of dollars with nothing but broken promises and lawsuits to show for it," he said. "And by the way, I am not interested in sending $3.5 billion in federal funding that was allocated to this project back to Donald Trump. Nor am I interested in repeating the same old mistakes."
Newsom offered a new set of transparency measures he hopes will keep costs down and expectations high.
"We’re going to hold contractors and consultants accountable to explain how taxpayer dollars are spent – including change orders, cost overruns, even travel expenses," he said. "It’s going online, for everybody to see."
"... At the end of the day, transportation and economic development must go hand in hand," the governor said.
We'll be expecting Newsom to lay out his vision for economic development in the Central Valley in the coming days, but his words Tuesday are encouraging. The hard part will be making it actually happen, but this is a start.
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