Trump Administration Halts NY, Chicago Infrastructure Funds Over Race Concerns
President Trump's administration has paused billions in infrastructure funds for New York and Chicago. The move aims to prevent race-based contracting and targets specific projects, causing concern and potential legal action.
In New York, $18 billion for projects like a new Hudson River tunnel and Second Avenue subway extension is on hold. Budget director Russ Vought cited concerns over race-based contracting. Meanwhile, Chicago faces a $2.1 billion setback for its Red Line extension and broader modernization plans. The funds were withheld during the government shutdown. Illinois Rep. Mike Quigley criticized the move, saying it weaponizes public transit. Both cities may now sue to argue they followed federal law in their grant-winning projects.
The paused funds could significantly delay and increase the cost of these crucial infrastructure news today. New York and Chicago may challenge the decision legally, adding another layer to the ongoing dispute.
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