NEWS RELEASE: High-Speed Rail Investment Continues to Spur Economy

Jan 21 2021 Sacramento

The California High-Speed Rail Authority’s yearly economic impact analysis released today underscores the growing value of California’s investment in high-speed rail amid the economic uncertainty of the COVID-19 pandemic.

Since 2006, the Authority has created between 54,300 and 60,400 job years of employment throughout California and invested more than $7.2 billion in planning and construction of the nation’s first high-speed rail system. Approximately 97% of the expenditures are to contractors, consultants and small businesses in California.

“The economic impact of high-speed rail in the Central Valley cannot be overstated,” said Authority Chief Executive Officer Brian Kelly. “Our progress on the construction and planning of clean, fast, reliable electrified high-speed rail continues to provide work and opportunities, despite the pandemic-related challenges of the last 10 months.”

From vendors and contractors to local California businesses benefitting from the investment, the analysis further highlights the value of indirect and induced benefits. The project’s total direct labor income earned by workers on the project is between $3.9 and $4.4 billion and project total economic activity is estimated between $10.5 and $11.4 billion.

“The jobs created by this project are substantial,” said Brian Annis, the Authority’s Chief Financial Officer. “And the more than 5,000 total construction jobs we have created are helping families throughout the economy as those construction wages get spent in communities on goods and services that spur more economic growth from housing construction to restaurant employment.”

More than 560 certified small businesses throughout the state are also contributing to the high-speed rail program. The Authority has also paid more than $300 million to certified Small Businesses, Disadvantaged Business Enterprises and Disabled Veteran Business Enterprises in California for work on the project. And 55% of total project expenditure occurred in disadvantaged communities throughout California, spurring economic activity in these areas.

Since the start of construction, the more than 5,000 dispatched workers have been building 119 miles of high-speed rail in the Central Valley, where there are currently 35 active construction sites. For more on job progress visit

The Authority’s economic impact analysis is updated annually and reflects data as of June 2020. An updated webpage featuring the latest 2020 Economic Impact Analysis can be found here.



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