Ian Choudri, chief executive officer of the California High-Speed Rail Authority, has resigned following an investigation into the agency’s spending on travel expenses.
Choudri, who took over as CEO in 2024, submitted his resignation late Wednesday while the authority’s board was holding a two-day meeting.
In the emailed letter, he said he was stepping down to concentrate on “important personal and family priorities,” according to CalMatters, which obtained a copy of the correspondence.
His departure followed calls by Republican lawmakers for him to leave office after a report by the authority’s Office of Inspector General raised concerns about travel reimbursements.
The report found that the agency had paid $592,900 in consultants’ travel expenses that were not permitted under state travel regulations, the consultants’ contracts, or both.
The authority’s board formally announced Choudri’s resignation at its meeting in Anaheim, California, on Thursday.
Board Chair Steve Kawa said the development demonstrated the board’s commitment to accountability and transparency in line with the governor’s directive.
“Reflects the board’s commitment to accountability and transparency, consistent with the governor’s mandate. Californians deserve a project they can trust,” Kawa said, according to CalMatters.
The board subsequently appointed Joe Stephenshaw as interim chief executive officer.
Stephenshaw has served as director of California’s Department of Finance since 2022. Before taking up the position, he briefly worked as a senior adviser to Governor Gavin Newsom on infrastructure and fiscal affairs.
He previously held the position of staff director of the Senate Budget and Fiscal Review Committee between 2017 and 2022. His earlier legislative experience dates back to 2008.
A representative of Newsom, in a statement reported by KCRA-TV, said the governor welcomed the leadership change, describing it as “an important step” towards strengthening accountability at the authority.
“Joe Stephenshaw has spent the last four years guarding the state’s budget as director of finance,” the statement said. “The governor is grateful for that service and confident Joe is the right person to oversee the authority in the interim.”
Meanwhile, the board approved a $772.1m contract with Siemens Mobility on Wednesday for the delivery of the high-speed rail system’s first three trainsets.
The agreement also provides for up to $63.7m in additional payments to cover import duties and tariffs.
Reacting to the approval, California Transportation Secretary Toks Omishakin described the deal as “a historic step forward in building the nation’s first high-speed rail system.”
The board also endorsed the environmental document for the proposed Los Angeles-Anaheim section of the project.
The approval completes environmental clearance for the 494-mile Phase 1 route, which is planned to connect San Francisco with Los Angeles and Anaheim.
