News

Rail authority CEO to resign

Roelof van Ark announces plan to step down in two months

California's quest to build the nation's first high-speed rail took another unexpected twist Thursday when the the man charged with leading the project announced he will resign in two months.

Roelof van Ark, who was appointed to lead the California High-Speed Rail Authority in May 2010, announced his resignation at Thursday's meeting of the rail authority's board of directors. At the same meeting, board Chair Thomas Umberg announced he will step down from his position as chair but remain on the board.

Shortly after the board meeting, which took place in Los Angeles, Umberg released a statement praising van Ark's work with the rail authority.

"With admiration, I would like to thank Mr. van Ark for his service to California and the high-speed rail project," Umberg said in a statement. "The announcement of his resignation will resonate throughout the State. His energy, passion and dedication to this critically important project are a testament to his character and his professionalism. We are extremely lucky to have his continued counsel and advice as we move to implement high-speed rail in California. I remain grateful for his professionalism and friendship."

Van Ark's resignation comes at a time when the project is facing severe criticism from state lawmakers and nonpartisan analysts over its recently released business plan, which showed the price tag of the rail project swelling to $98.5 billion. The estimated cost has more than doubled since 2008, when California voters approved $9.95 billion for the project.

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Last month, a peer-review group recommended that legislators not fund the project until the rail authority addresses a series of flaws in its business plan, including uncertainty over funding sources and possible failure to comply with Proposition 1A.

While Gov. Jerry Brown remains supportive of the high-speed rail project, many legislators have turned against it and several introduced a bill earlier this week to halt all funding for the project.

Van Ark was one of several rail officials who attended a meeting on the project in Palo Alto last November. At that meeting, he defended the rail's business plan, which proposes to start construction of the line in Central Valley and which acknowledges that the project would not receive any private investment until after the first segment of the line is built.

He also defended the rail authority's controversial decision to start construction in Central Valley.

"This is the way the experts in the rest of the world have implemented the high-speed-rail systems in other countries," van Ark said at the November meeting.

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Before becoming the rail authority's first CEO, van Ark had served as president of Alstom Transportation, a subsidiary of the French company Alstrom SA, which built TGV, France's high-speed rail system. He had also previously spent 20 years at Siemens, including a stint as president and CEO of Siemens Transportation Systems.

According to the Sacramento Bee, Van Ark cited personal reasons for his resignation.

"I need to focus myself more on my family, and maybe some other interests," he told board members.

Dan Richard, who was recently appointed by Brown to the rail authority's board of directors, is expected to replace Umberg as board chair next month, the Bee reported.

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Gennady Sheyner
 
Gennady Sheyner covers the City Hall beat in Palo Alto as well as regional politics, with a special focus on housing and transportation. Before joining the Palo Alto Weekly/PaloAltoOnline.com in 2008, he covered breaking news and local politics for the Waterbury Republican-American, a daily newspaper in Connecticut. Read more >>

Follow on Twitter @paloaltoweekly, Facebook and on Instagram @paloaltoonline for breaking news, local events, photos, videos and more.

Rail authority CEO to resign

Roelof van Ark announces plan to step down in two months

California's quest to build the nation's first high-speed rail took another unexpected twist Thursday when the the man charged with leading the project announced he will resign in two months.

Roelof van Ark, who was appointed to lead the California High-Speed Rail Authority in May 2010, announced his resignation at Thursday's meeting of the rail authority's board of directors. At the same meeting, board Chair Thomas Umberg announced he will step down from his position as chair but remain on the board.

Shortly after the board meeting, which took place in Los Angeles, Umberg released a statement praising van Ark's work with the rail authority.

"With admiration, I would like to thank Mr. van Ark for his service to California and the high-speed rail project," Umberg said in a statement. "The announcement of his resignation will resonate throughout the State. His energy, passion and dedication to this critically important project are a testament to his character and his professionalism. We are extremely lucky to have his continued counsel and advice as we move to implement high-speed rail in California. I remain grateful for his professionalism and friendship."

Van Ark's resignation comes at a time when the project is facing severe criticism from state lawmakers and nonpartisan analysts over its recently released business plan, which showed the price tag of the rail project swelling to $98.5 billion. The estimated cost has more than doubled since 2008, when California voters approved $9.95 billion for the project.

Last month, a peer-review group recommended that legislators not fund the project until the rail authority addresses a series of flaws in its business plan, including uncertainty over funding sources and possible failure to comply with Proposition 1A.

While Gov. Jerry Brown remains supportive of the high-speed rail project, many legislators have turned against it and several introduced a bill earlier this week to halt all funding for the project.

Van Ark was one of several rail officials who attended a meeting on the project in Palo Alto last November. At that meeting, he defended the rail's business plan, which proposes to start construction of the line in Central Valley and which acknowledges that the project would not receive any private investment until after the first segment of the line is built.

He also defended the rail authority's controversial decision to start construction in Central Valley.

"This is the way the experts in the rest of the world have implemented the high-speed-rail systems in other countries," van Ark said at the November meeting.

Before becoming the rail authority's first CEO, van Ark had served as president of Alstom Transportation, a subsidiary of the French company Alstrom SA, which built TGV, France's high-speed rail system. He had also previously spent 20 years at Siemens, including a stint as president and CEO of Siemens Transportation Systems.

According to the Sacramento Bee, Van Ark cited personal reasons for his resignation.

"I need to focus myself more on my family, and maybe some other interests," he told board members.

Dan Richard, who was recently appointed by Brown to the rail authority's board of directors, is expected to replace Umberg as board chair next month, the Bee reported.

Related stories:

Simitian seeks to postpone high-speed-rail funding

Comments

Paul Losch
Community Center
on Jan 12, 2012 at 5:43 pm
Paul Losch, Community Center
on Jan 12, 2012 at 5:43 pm

Another nail in the proverbial coffin.

I cannot understand why Jerry Brown, as spartan as he is, continues to support this effort.

It clearly is in a downward spiral, and rightly so.

How much onger should this thing be kept on life support before we let it go?


Dave
Duveneck/St. Francis
on Jan 12, 2012 at 5:47 pm
Dave, Duveneck/St. Francis
on Jan 12, 2012 at 5:47 pm

"I cannot understand why Jerry Brown, as spartan as he is, continues to support this effort."

Oh come on, Paul. Jerry Brown is in the pocket of the labor unions. You know this, as well as I do. Why pretend?


Resident
Another Palo Alto neighborhood
on Jan 12, 2012 at 6:04 pm
Resident, Another Palo Alto neighborhood
on Jan 12, 2012 at 6:04 pm

I can perfectly understand why Van Ark, a European rail expert, can't be bothered with trying to work out Californian political and local NIMBYism any more. He tried, but California doesn't make sensible moves to bring any type of rail up to worldwide standards.

Pathetic, we have lost the best chance we had.


John
Fairmeadow
on Jan 12, 2012 at 6:53 pm
John, Fairmeadow
on Jan 12, 2012 at 6:53 pm

Cashing out.

This was never going to be. All it is a pay check for out of work connected politicians and union cronies.

Blaming "nimby" whatever that means, deflects from the con.


glad im out of cali
another community
on Jan 13, 2012 at 2:31 am
glad im out of cali, another community
on Jan 13, 2012 at 2:31 am

And when war in the middle east raises the price of oil and subsequently gasoline, your all gonna wish you had a way to travel around the state at a fairly affordable price.


Crescent Park Dad
Crescent Park
on Jan 13, 2012 at 5:35 am
Crescent Park Dad, Crescent Park
on Jan 13, 2012 at 5:35 am

Natural gas vehicles are on the near horizon.


Crescent Park Dad
Crescent Park
on Jan 13, 2012 at 5:37 am
Crescent Park Dad, Crescent Park
on Jan 13, 2012 at 5:37 am

And at the current price tag, HSR is hardly affordable!!!


Crescent Park Dad
Crescent Park
on Jan 13, 2012 at 5:51 am
Crescent Park Dad, Crescent Park
on Jan 13, 2012 at 5:51 am

Sorry for the multiple posts - but one last point:

$100 Billion & climbing, plus a guarantee of an endless need for taxpayer supplemental funding to support operating costs is not what anyone would call affordable.


Perspective
Adobe-Meadow
on Jan 13, 2012 at 6:18 am
Perspective, Adobe-Meadow
on Jan 13, 2012 at 6:18 am

I suspect Van Ark now gets pension and health care for the rest of his life from his one year stint.

Does anyone know?


peninsula commuter
another community
on Jan 13, 2012 at 8:28 am
peninsula commuter, another community
on Jan 13, 2012 at 8:28 am

The *Boondoggle* claims another, high-profile victim. The reality is that HSR will never be built in its present form, because the state, federal and local governments can not afford it. The voters do not want to sacrifice education or basic government services to build this pipe dream.


Scott
Old Palo Alto
on Jan 13, 2012 at 9:52 am
Scott, Old Palo Alto
on Jan 13, 2012 at 9:52 am

Shut down the whole boondoggle. How many $$ have been wasted to date?
California can't afford it. California doesn't need it. Write your state assembly person and senator today.


Scholar
Menlo Park
on Jan 13, 2012 at 10:15 am
Scholar, Menlo Park
on Jan 13, 2012 at 10:15 am

When the going gets tough....


George
Leland Manor/Garland Drive
on Jan 13, 2012 at 1:23 pm
George, Leland Manor/Garland Drive
on Jan 13, 2012 at 1:23 pm

Like rats off a sinking HSR ship, CEO Roelof van Ark and Board Chair Thomas Umberg BOTH announced their resignations.

A ticket out of town should be your parting gift for no credibility. God knows, the High Speed Rail Authority has earned its reputation for no credibility in report after report, in spin statement after spin statement.

HSR is heading down that dark siding to nowhere. Good riddance.


music
Southgate
on Jan 13, 2012 at 1:25 pm
music, Southgate
on Jan 13, 2012 at 1:25 pm

Kick this thing out our town.Senator,be brave.


Stan Hutchings
Old Palo Alto
on Jan 13, 2012 at 7:04 pm
Stan Hutchings, Old Palo Alto
on Jan 13, 2012 at 7:04 pm

Has anyone started collection signatures for a proposition to halt the HSR? I'd like to sign it...
There are already better, faster, cheaper ways to get around the State and Country. The HSR is too limited in destinations for the high cost.


Wilt
Community Center
on Jan 13, 2012 at 7:58 pm
Wilt, Community Center
on Jan 13, 2012 at 7:58 pm

And another high profile resignation from the CA HSR Authority. Van Ark extracted what, $200,000 to $300,000 each year he was there, and as pointed out, may have a generous life time pension as his reward for steering the state into a fiscal hole,all at the tax payers expense. No doubt a global search will be announced soon. Qualifications:

A great poker face, must be able to repeatedly lie to the citizens, tax payers, and all levels of local, state, and Federal govt.

No particular expertise other than the poker face is required. Since no actual credible engineering, land use planning, economic analysis or planning, budgeting, or anything what so ever of value to anyone or anything has, or ever will be done by the CA HSR, no useful skills are required!

A bank account where your pay check can be deposited.

Politically well connected is a plus, termed out has-been politicians especially encouraged to apply.


galen
Ventura
on Jan 14, 2012 at 10:57 am
galen, Ventura
on Jan 14, 2012 at 10:57 am

This travesty has got to end. Van Ark has milked the taxpayers for millions and will continue to suckle at the public teat for the rest of his life. We can't afford to educate our children because we need to line the pockets of labor unions and politicos. This is disgusting.


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