[edit] Texas
In 1991 the Texas High Speed Rail Authority awarded a 50-year high speed rail franchise to the Texas TGV Corporation - a consortium of Morrison Knudsen (USA), Bombardier (Canada), Alstom (France/UK), Crédit Lyonnais (France), Banque IndoSuez (France), Merrill Lynch (USA), and others. Texas TGV won the franchise after more than two years of litigation instigated by a rival consortium backing German ICE technology.
The plan was to connect the "Texas Triangle" (Houston - Dallas/Fort Worth - San Antonio) with a privately financed high speed train system which would quickly take passengers from one city to the next at prices designed to compete with or beat other transport options. This was the same model Southwest Airlines used 20 years earlier to break in to the Texas market where it served exactly the same three cities.
Funding for the project was to come entirely from private sources, since Texas did not allow the use of public money. The original estimated cost was $5.6 billion, but the task of securing the necessary private funds proved extremely difficult.
Southwest Airlines, with the help of lobbyists, created legal barriers to prohibit the consortium from moving forward and the entire project was eventually scuttled in 1994, when the State of Texas withdrew the franchise.
A more recent proposal for high-speed rail in Texas is part of a larger proposed, state-wide super-infrastructure, the Trans-Texas Corridor.
In 2002, the Texas High Speed Rail & Transportation Corporation [3] (THSRTC), a grass roots organization dedicated to bringing high speed rail to Texas was established. In 2006, American Airlines and Continental Airlines formally joined THSRTC, in an effort to bring high speed rail to Texas as a passenger collector system for the airlines.
