Skip to main content
PulseWire News
PoliticsThe Trump administration has announced the withholding of $2.1 billion for Chicago infrastructure projects, focusing on the extension of the Red Line train, amidst funding disputes during the government shutdown. Similar funding suspensions are affecting New York's infrastructure, stirring political tensions.

Trump Administration Halts $2.1 Billion for Chicago Infrastructure Amid Shutdown

The Trump administration has paused funding for key infrastructure projects in Chicago and New York, exacerbating tensions during the ongoing government shutdown.

Source: AP1 min read
Trump Administration Halts $2.1 Billion for Chicago Infrastructure Amid Shutdown
Image via AP

In brief

In an extension of funding disputes during the government shutdown, President Trump's administration will withhold $2.1 billion destined for infrastructure projects in Chicago, including a critical Red Line extension. This follows an earlier announcement regarding an $18 billion funding freeze for similar projects in New York. The budget director cited concerns over race-based contracting as the reason for the halt.

WASHINGTON (AP) — President Donald Trump’s administration will withhold $2.1 billion for Chicago infrastructure projects, the White House budget director said Friday, expanding funding fights that have targeted Democratic areas during the government shutdown.

The pause affects a long-awaited plan to extend the city’s Red Line train. The money was “put on hold to ensure funding is not flowing via race-based contracting,” budget director Russ Vought wrote on social media.

Vought made a similar announcement earlier this week involving New York, where he said $18 billion for infrastructure would be paused, including funding for a new rail tunnel under the Hudson River.

Trump, a Republican, has embraced Vought’s tactics. On Thursday night, he posted a video depicting him as the reaper, wearing a hood and holding a scythe.

Losing the money would be a significant setback for Chicago’s transportation plans. The Red Line extension is slated to add four train stops on the city’s South Side, improving access for disadvantaged communities.

In addition, a broader modernization project for the Red and Purple lines, which Vought said was also being targeted, is intended to upgrade stations and remove a bottleneck where different lines intersect.

In New York’s case, Trump’s Transportation Department cited a review of whether any “unconstitutional practices” were occurring in the infrastructure projects during the government shutdown.

The suspension of funds for the Hudson River tunnel project and a Second Avenue subway line extension is believed to target Senate Democratic leader Chuck Schumer, whom the White House is blaming for the impasse. Schumer stated that the funding freeze would harm commuters.

“Obstructing these projects is stupid and counterproductive because they create tens of thousands of great jobs and are essential for a strong regional and national economy,” Schumer said on X.

Topics

More on this story