Today Thomas Enterprises could lose funding for the Railyards project if the developer can’t prove it has the money to continue the job. The state of California has said it will pull $30 million in grant funding if developer Thomas Enterprises cannot clear a notice of default with investor Inland American.
There is also another $50 million grant as well as another $35 million allotted from the state transportation commission, putting more than $100 million in funding at risk. Inland American says it will work to protect the state grant funds, with or without Thomas Enterprises. (CBS13)