November 23, 2014
SACRAMENTO, Calif. (AP) - Gov. Jerry Brown's proposed budget includes a provision for a $29 million loan from the state to California's bullet train agency.
The Los Angeles Times reported Wednesday on the little-noticed item in the budget plan.
The loan to the High-Speed Rail Authority would come from state transportation project accounts.
The proposed loan follows a similar $26 million advance last year from general government revenues. That prompted some lawmakers to complain that such lending would take money away from other high-priority projects.
The rail project is mired in legal challenges.
A Sacramento judge recently blocked access to $9 billion in voter-approved bonds after finding the rail agency failed to comply with legal restrictions on the bonds.
Copyright 2014 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.