Computer generated image of the proposed high-speed trains for use in California (Photo – California High-Speed Rail Authority).
Google made headlines recently!
By Ethan Elkind
Google bought a huge property adjacent to the future downtown San Jose high speed rail station, per the San Francisco Chronicle:
Google has been in negotiations with San Jose since June for a planned ‘village’ that would feature up to 6 million square feet of office, research and development, retail and amenity space near San Jose’s Diridon Station. The development could bring 15,000 to 20,000 jobs, Nanci Klein, San Jose’s assistant director of economic development, previously told The Chronicle.
To be sure, this property would be valuable for Google even without high speed rail, as it’s at the heart of San Jose’s light rail network. But high speed rail will only increase the value, as it would give Google employees high-speed train access to businesses to the south and through the San Joaquin Valley — and eventually Los Angeles.
So the question is, would a property owner like Google be willing to help finance high speed rail, which is badly in need of cash? It’s the old school way of funding trains: leverage the future increases in property values around the stations to finance the transportation.
Given the slow trickle of state dollars and nonexistent federal funds, high speed rail leaders will need to get creative about how to find money to keep construction going. A large company like Google could greatly help with the search.
Ethan Elkind directs the climate program at UC Berkeley Law, with a joint appointment at UCLA Law. His book “Railtown” was published by the University of California Press.
Assuming high speed rail makes it to San Jose, it will be too expensive for most potential commuters from the San Joaquin Valley without substantial subsidies. The best way for Google to help would be to give generous travel allowances to its employees, which would make it possible for them to commute by high speed rail.
Even all of Google money can not save High Speed Authority or build project as planned
A solar panel roof over the whole route could generate the power needed,
Any borrowing from the private sector for California High-Speed Rail is at a prohibitive interest rate prior to completion of the Initial Operating Segment. Cap and Trade sales have recently done very well and are providing enough funds to build the Initial Operating Segment. Once completed a concession will be sold to operate trains which is where private funding will pay for continued construction.