California sued the Trump administration over the government’s decision to withdraw a grant of almost $1 billion that would have funded a high-speed rail project in the state.

The Federal Railroad Authority cancelled the grant on May 16 while signaling its intent to reallocate money distributed to other “inter-city” rail projects. California’s lawsuit claims the FRA’s “sudden decision” violates its own procedures, and has asked a San Francisco federal court to block the government from re-obligating the funds and transferring them elsewhere.

For more context, see: “California Eyes More Bullet-Train Funds Despite Trump Clawback.”

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This article was written by Kartikay Mehrotra from Bloomberg and was legally licensed through the NewsCred publisher network. Please direct all licensing questions to legal@newscred.com.

Photo Credit: A West Japan Railway Co. bullet train travels through the Shin-Kobe station. California’s high-speed rail agency is suing the U.S. government over a $929-million grant. Tomohiro Ohsumi / Bloomberg