7:07 PM EST
Doug LaMalfa, R-CA 1st

Mr. LaMALFA. California just passed a recent tax known as Prop 30 last year, 2012, that was going to pay for a whole lot of things, go for a lot of different measures with perhaps schools and other infrastructure. We had talked about cap-and-trade. You can even point to truck fees, that they are all now trying to be shifted towards high-speed rail instead of other priorities. I wonder if that is what the voters' intentions were on Prop 30 or on their truck fees or weight fees, et cetera.

So I think there has been a lot of deception around this, again, on cost and on ridership. As I mentioned a minute ago, if it has been revised down to a $68 billion plan, we can only point to, for sure, approximately $13 billion from Fed stimulus and the State bond. Where does the other $55 billion go to build what is really an illegal plan? Where is it going to come from?

Mr. Denham, you mentioned we haven't seen the private-sector money from anywhere, yet you can point to, recently, a proposal came out for an east coast plan to build a maglev, magnetic levitation train, that would link east coast urban centers, and there are already interested investors from Japan on that with much more modern technology. You can say that rail isn't new technology because it is wheels still running on a steel rail. And in California, which is supposed to lead the way

in technology and innovation, we are really not leading on this at all.

So what do you see as far as the problems with that bigger funding gap? And then, bringing that back, what is that going to do for our economy?