Tag Archives: Assembly Minority Leader Kristen Olsen

Citizens and Legislators Decry Poor Oversight of California High-Speed Rail

California State Assembly Speaker Toni Atkins claimed in a November 3, 2015 letter that the Assembly would be “undertaking a broader range of oversight activities in 2016” related to California High-Speed Rail. She wrote that “oversight mechanisms have already been put in place” and “that oversight will continue in January through the Assembly Budget Subcommittee on Resources and Transportation.”

California Speaker Atkins High-Speed Rail Oversight PromiseThat promised committee oversight hearing about California High-Speed Rail referenced by Speaker Atkins happened on January 27, 2016. (See agenda and staff report here.) Representatives of Citizens for California High-Speed Rail Accountability (CCHSRA) were at this hearing of the California State Assembly Budget Subcommittee No. 3 on Resources and Transportation. (See the list of committee members here.)

As expected, the alleged “oversight” of the validity of the California High-Speed Rail Authority’s estimates of project costs and schedule was inadequate and deceptive. Citizens and state legislators concerned about the project were given minimal opportunity to challenge the “high levels of confidence” that California High-Speed Rail Authority officials claimed to have about the project.

No one from Citizens for California High-Speed Rail Accountability (CCHSRA) or any other organization critical of the project was invited to be a panelist, of course. Invited panelists were Dan Richard, Chairman of the California High-Speed Rail Authority Board of Directors, Jeff Morales, Chief Executive Officer of the California High-Speed Rail Authority, and Louis Thompson, Chairman of the California High-Speed Rail Peer Review Group.

Similar to past oversight committee meetings, the chairperson of the committee (Assemblyman Richard Bloom) limited the time of the hearing to 90 minutes and the allotted time given to public comment to one minute. Assemblyman Jay Obernolte (R-Hesperia) asked questions. After questioning various claims about the project and receiving empty answers, Assemblyman Jim Patterson (R-Fresno) futilely requested the committee chairman to allow additional time for discussion of the most expensive construction project in human history.

A chief focus of the hearing was rebutting an October 24, 2015 Los Angeles Times article ($68-Billion California Bullet Train Project Likely to Overshoot Budget and Deadline Targets). It was also emphasized that the California High-Speed Rail Authority would soon issue a new 2016 Business Plan that would essentially make the past irrelevant.

Brief public comment critical of project oversight came from Assemblywoman Patty Lopez (D-San Fernando), representatives of two train rider organizations, a representative of several communities in Los Angeles County affected by the proposed route, and five residents of the San Joaquin Valley, including multiple representatives of Citizens for California High-Speed Rail Accountability. Valley resident Shauna Green simply declared that based on her past experience with the California High-Speed Rail Authority and the testimony at the hearing, people should know that “they’re liars.”

A few professional lobbyists defended the California High-Speed Rail Authority during public comment. Prominent among them was a representative of the California Labor Federation and a representative of the State Building and Construction Trades Council of California, who praised the agency’s transparency and eagerness for oversight.

Video of the Hearing (courtesy of Derail HSR)

Assembly Budget Committee High Speed Rail Oversight Committee – January 27, 2016 – Authority Chairman Dan Richards and Assemblyman Das Williams comments

Assembly Budget Committee High Speed Rail Oversight Committee – January 27, 2016 – Assemblyman Jay Obernolte Questions

Assembly Budget Committee High Speed Rail Oversight Committee – January 27, 2016 – Assemblyman Jim Patterson Questions

Assembly Budget Committee High Speed Rail Oversight Committee – January 27, 2016 – Assemblywoman Patty Lopez Comments and Public Comments

Papers Submitted to Committee

Population Growth and the Need for High-Speed Rail – Pushing Back on the California High-Speed Rail Authority’s Myths About High-Speed Rail

4,300 Miles of Highway Lanes as an Alternative to High-Speed Rail – Pushing Back on the California High-Speed Rail Authority’s Myths About High-Speed Rail

The Green Train – Pushing Back on the California High-Speed Rail Authority’s Myths About High-Speed Rail

The Truth About Public and Private Financing for the California HSR System – Pushing Back on the California High-Speed Rail Authority’s Myths About High-Speed Rail

Letters Regarding California High-Speed Rail Oversight

Assembly Speaker Must Strengthen High-Speed Rail Oversight – Background from Citizens for California High-Speed Rail Accountability (CCHSRA) – November 11, 2015

Request to Assembly Speaker Toni Atkins for Legislative Subpoenas to Obtain Internal California High-Speed Rail Authority Documents – Assembly Minority Leader Kristen Olsen – October 28, 2015

Denial of Request for Legislative Subpoenas to Obtain Internal California High-Speed Rail Authority Documents – Assembly Speaker Toni Atkins – November 3, 2015

Letter to Assembly Speaker Toni Atkins Regarding Inadequate Legislative Oversight of California High-Speed Rail – Citizens for California High-Speed Rail Accountability (CCHSRA) – November 10, 2015

News Coverage

Bullet Train Chairman Projects Lower Cost, Longer Timeline – Associated Press (in San Francisco Chronicle) – January 27, 2016

Bullet Train May Take Longer to Build But Cost Less Than Originally Estimated, Official Says Los Angeles Times – January 28, 2016

High-Speed Rail Officials Seek to Reassure Lawmakers – KQED – January 27, 2016

Lawmakers Demand Answers from High-Speed Rail Leaders – KCRA (Channel 3) Sacramento – ‎January 27, 2016‎

High-Speed Rail Opponents Allege Conflict of Interest, Lack of OversightSan Fernando Sun – January 28, 2016

High Speed Rail Hides from Oversight – commentary by Morris Brown – Fox & Hounds – February 1, 2016

Press Releases

Assemblyman Patterson Questions Rail Officials on Major Shift in Project Plans – California State Assemblyman Jim Patterson – February 2, 2016

Vidak Calls Assembly Hearing on High-Speed Rail “Another Pitiful Whitewash” – California State Senator Andy Vidak – January 27, 2016

Assembly Speaker Must Strengthen High-Speed Rail Oversight

See a copy of this letter: CCHSRA Letter Dated November 10, 2015 to Assembly Speaker Toni Atkins on Inadequate California High-Speed Rail Oversight


November 10, 2015

The Honorable Toni G. Atkins
Speaker of the Assembly
P.O. Box 942849
Sacramento, CA 94249-0078

Dear Speaker Atkins:

We are commenting on your November 3, 2015 letter to Assembly Minority Leader Kristen Olsen about California High-Speed Rail oversight. Your letter claims that legislative oversight of the Authority planned for 2016 will be sufficient, and it rejects a request for the legislature to issue a subpoena to the Authority.

Your response, along with a law enacted in June to reduce legislative oversight, seems to indicate that the legislative branch is essentially in cahoots with the administration of Governor Brown in limiting public scrutiny of this troubled mega-project. By declining legislative oversight of the California High-Speed Rail Authority, you are evading an uncomfortable political reality and depending on the courts to reveal the truth about the status of this project.

Our extensive interaction during the past five years with the California High-Speed Rail Authority has revealed the agency’s culture. It works to conceal documents that contradict its public statements, its business plans, and other reports provided to the legislature.

It’s understandable why the California High-Speed Rail Authority avoids accountability. It cannot possibly comply with Proposition 1A. We urge you to reverse your position and take extraordinary means to obtain internal documents and public testimony from officials of the California High-Speed Rail Authority.

Our Experience with the California High-Speed Rail Authority

Citizens for California High Speed Rail Accountability (CCHSRA) was formed in 2011 by farmers, small business owners, and other residents of Kings County and rural Fresno County. It was a response to the lack of public accountability we observed firsthand from the California High-Speed Rail Authority as they planned the rail alignment through our rural agricultural communities.

Our introduction to the Authority gave us a foreshadowing of their typical conduct, which continues today. Representatives of the Authority began trespassing on our properties without notice or permission of the owners. Initially bewildered, we soon discovered these outsiders were assessing our land in preparation for the Authority to take it, either through unfairly low financial offers or through eminent domain.

Meanwhile, the Authority established a rail alignment that literally put the track through the front door and out the back door of the only livestock rendering facility south of Fresno. It was stunning. A conspiracy theorist would conclude that the path was deliberately chosen to undermine the region’s dairy industry and make an ideological statement of some sort.

We perceived the disdain of agency officials for the agricultural life and rural traditions of our community. You may not be aware that most of the 1300 parcel owners now targeted by the California High-Speed Rail Authority are resisting the government appropriation of our land. Every month, the State Public Works Board takes action to obtain that land.

After we became a visible critic of the agency’s conduct, the California High-Speed Rail Authority held some local community meetings devoid of substance in our region. To add to our frustration, someone arranged these meetings to be flooded with union construction workers from outside the area. The Authority briefly opened an office in Hanford (the county seat of Kings County) for community outreach and then shut it down without public notice, perhaps calculating it could better handle the rural communities by crushing us with political power.

For almost five years, our members have met weekly for status updates at the Kings County Farm Bureau office, attended almost every monthly meeting of the Authority board, and studied the legislative-mandated reports and public relations material available to the public. We identified numerous inconsistencies and questionable claims from the Authority to the Kings County Board of Supervisors, the California legislature, and the public. The 2014 Final Business Plan for California High-Speed Rail fails to fulfill statutory requirements and presents a false picture of the program. It’s already woefully out of date.

We hired some lawyers and policy consultants to perform detailed analysis of the performance of the California High-Speed Rail Authority, particularly in relationship to the mandates in Proposition 1A and in state laws implemented in conjunction with Proposition 1A. They confirmed our impression that public accountability is sorely lacking for the California High-Speed Rail Authority.

Some of the most devastating information obtained by Citizens for California High Speed Rail Accountability is only publicly available because of public records requests and off-the-cuff remarks made at board meetings. The discovery of unreleased internal Authority documents by the Los Angeles Times reporter isn’t surprising to us.

A Typical Example of California High-Speed Rail Authority Hiding the Truth

We surmise that your official perspective about the California High-Speed Rail Authority comes primarily from its representatives through communications such as an October 30, 2015 letter to you from the chairperson and the CEO of the California High-Speed Rail Authority. This letter rests on outdated Authority claims such as the June 2013 announcement of bid results for Construction Package 1 (civil engineering work from Madera to Fresno).

Original bidding guidelines for Construction Package 1 emphasized the importance of experience with high-speed rail construction. During the bidding process, the Chairman and the CEO of the Authority – without any public vetting nor board action – changed the bidding rules. In the end, the contract was awarded to Tutor Perini/Zachry/Parsons, a Joint Venture, which had the least amount of experience with high-speed rail construction.

You may not be aware that the California High-Speed Rail Authority has not even advertised a request for bidder qualifications yet for laying track for what is currently the Initial Construction Section (Madera to Shafter). That would be Construction Package 5.

Actual earthwork has recently begun for Construction Package 1, a bid has been awarded for Construction Package 2-3, and bidders have been prequalified for Construction Package 4. Realize that all of this work is merely civil engineering – no track, no electrification, no heavy maintenance facility, no stations – from Madera to Shafter. And Merced and Bakersfield are not incorporated into this work.

As far as electrification work for the genuine high-speed rail capability that voters expected when they voted for Proposition 1A in November 2008, it looks like they will need to settle for eventual electrification of the “bookend” track that the Authority will share with Caltrain commuter service (San Francisco to San Jose). The electrified Initial Operating Segment from Madera or Merced to somewhere in Los Angeles County is essentially a bunch of options drawn on paper.

Behind the Authority’s public relations campaign (funded by a $500,000 item in the fiscal year 2015-16 state budget), the specifics of the project’s outlook are grim.

Oversight of the California High-Speed Rail Authority Has Been Reduced

Perhaps the most egregious act to suppress accountability for the California High-Speed Rail Authority occurred this past summer. Language was inserted into a budget trailer bill (Assembly Bill 95) eliminating the requirement for the Authority to produce and submit some progress reports and reducing the frequency for the Authority to produce and submit other progress reports.

The October 30, 2015 letter to you from California High-Speed Rail top officials states that “the Legislature maintains strong oversight of the High-Speed Rail program through several mechanisms. Senate Bill 1029, which authorized expenditures for the program, contains strict reporting requirements.”

Echoing these comments, you claim in your November 3, 2015 letter that “oversight mechanisms have already been put in place.” Actually, oversight mechanisms are being removed, and you apparently condoned it as Assembly Speaker and voted for it.

We never expected the executive branch to acknowledge the California High-Speed Rail Authority’s lack of public accountability, but we expected the legislative branch to insist on it. Instead, it will be the judicial branch that fulfills its role to serve the people.

In less than six months, the California legislative leadership, the California High-Speed Rail Authority, and Governor Brown will be exposed for concealing the reality of this project. We expect a Sacramento County Superior Court judge will confirm the Authority’s lack of accountability and failure to comply with Proposition 1A through a decision in Tos v. California High-Speed Rail Authority.

Oral arguments are scheduled for February 11, 2016. You still have time to respond to Assemblywoman Olsen’s request and avoid tainting the legislature in the California High-Speed Rail scandal. We urge you to issue a subpoena to the California High-Speed Rail Authority immediately and end its continual deception of the People of California.

Sincerely,

Aaron Fukuda, CCHSRA Co-Chairman
Frank Oliveira, CCHSRA Co-Chairman

Cc:

Assemblywoman Kristen Olsen
Assemblyman Jim Patterson
Assemblyman Tom Lackey
Assemblyman Scott Wilk
Senator Andy Vidak