As an engineer, I can see the need for the tunnel to protect the water system... but... THE COSTS!
By the time the usual costs overruns kick in, we're talking about $1,250 per INCH of tunnel! Just think about that - a month's of Bay Area rent, or a really nice laptop, or an INCH of tunnel. Something's out of whack here.
Seeing how the Dumbarton Bridge is right there, just about directly over the route in question, could they some how tie into it's infrastructure - and make the Dumbarton more quake-safe in the process - to save money?
You think the cost is high now? Perhaps you should look up the cost quoted verses the final cost of the Big Dig out in Boston.
By the time this is done I expect it to cost at least half again as much as the figures shown here. Like a mobster once said, “You think they are just going to call it quits now that it’s half done? Gouge ‘em till they bleed and then sell ‘em the band-aids.”