California's long-delayed high-speed rail project was once billed as a cleaner, more connected future for transportation. However, an investigation has fueled outrage over how public money was spent even though no tracks have been laid.
Here's what to know
Uber trips to gyms were among the expenses California's High-Speed Rail Authority reimbursed to consultants, along with rides to nightlife and entertainment spots, such as a nightclub, tiki bar, cigar lounge, and escape room, according to Jalopnik.
Those charges were part of nearly $600,000 in travel spending the state's high-speed rail inspector general questioned over a two-year period.
At least $685,500 was paid out to four consulting firms before the authority had approved their travel and expense requests, Jalopnik reported, citing CalMatters. The firms included KPMG LLP and the AECOM-Fluor and SYSTRA/TYPSA joint ventures, and none responded to CalMatters' requests for comment.
The reimbursements are drawing even more attention because the rail project has long been mired in delays. Its estimated cost has climbed from an original $33 billion to $126 billion, and the line was initially supposed to be finished by 2020.
More background
According to Jalopnik, the report described premium rideshare trips between a restaurant, bar, and nightclub that took place between 9:40 p.m. and 2:30 a.m. It also noted repeated travel to Planet Fitness locations after a supervisor had written that "the state does not cover ride share to gyms."
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The investigation also cited $118,000 in reimbursed international travel, despite contract terms that explicitly prohibited international trips.
What's being done?
California officials are under pressure to tighten oversight. A bill to expand the inspector general's oversight of the authority is awaiting action from Governor Gavin Newsom, who must approve or veto it by September 30, according to Jalopnik.
The inspector general's office also issued recommendations aimed at improving how the agency enforces its travel and expense policies.
The inspector general's office will conduct another evaluation of the authority's finances, suggesting this review is unlikely to be the final word.
The dispute over the findings has already become especially sharp. According to CalMatters, "The authority insisted it didn't need to justify each consultant's trip, prompting the inspector general to reply: 'We explained to the Authority that this interpretation is fundamentally incorrect.'"
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