Read more on this subject: Trump Administration
News Story Source: https://www.bbc.com
President Donald Trump has continued to escalate tensions with California by calling on the state to return billions in federal funds for a high-speed rail.
His administration plans on cancelling $929m (£711m) in grants for what Mr Trump has called a "failed" project.
These federal funds account for a quarter of the California rail project.
Democratic Governor Gavin Newsom called it "political retribution" for the California-led lawsuit against Mr Trump's national emergency declaration.
The Trump administration announced on Tuesday that it is looking into cancelling the $929m grant as well as recovering a $2.5bn grant already being spent by the state.
In a tweet on Wednesday, Mr Trump again lambasted the state over the project, saying: "Send the Federal Government back the Billions of Dollars WASTED!"
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California now wants to scale back their already failed "fast train" proje
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