Transportation Secretary Sean Duffy is threatening to pull federal funding on California's long-troubled high-speed rail project after a scathing report found a myriad of problems, including skyrocketing costs and budget shortfalls.

The Trump administration has notified California officials that federal funding for the state's high-speed rail project is at risk of being pulled after a four-month review concluding that the state has "no viable path" to complete the project on time or on budget.

A federal probe by the Trump Administration determined the California High Speed Rail Authority in default on terms of two federal grant awards.