Trump administration pauses $2.1 billion for Chicago infrastructure projects

WASHINGTON — On Friday, the Trump administration revealed its decision to pause $2.1 billion allocated for infrastructure projects in Chicago, marking another attempt to impact cities governed by Democrats amid the government shutdown.

Russell Vought, the Office of Management and Budget director, mentioned on X that the fund suspension specifically impacts the “Red Line Extension and the Red and Purple Modernization Project.” He explained that the pause is to ensure funds are not allocated through race-based contracting.

This funding delay follows the Department of Transportation’s interim rule from this week that prohibits “race- and sex-based contracting requirements in federal funding.” The department sent notifications to the Chicago Transit Authority on Friday, indicating that the projects are being reviewed administratively to confirm compliance with constitutional practices.

In its statement, the department emphasized, “The public is indifferent to the race or gender of construction workers, pipefitters, or electricians. Their primary concern is that these substantial projects are completed swiftly and effectively.”

A CTA Red Line train approaches the 95th Street station as heavy traffic travels along the Dan Ryan Expressway toward the Loop on Aug. 30, 2022.

A CTA Red Line train nears the 95th Street station in Chicago.Antonio Perez / Chicago Tribune via Getty Images

Additionally, the department noted that the shutdown has “hindered the Department’s capacity to carry out this significant analysis” due to reduced staffing resources.

The release urged, “Congressional Democrats should cease leveraging the federal budget deadlock so the USDOT can resume serving the American populace effectively.”

Illinois Gov. JB Pritzker’s office didn’t immediately respond to a request for comment.

President Donald Trump and administration officials warned that they planned to target programs favored by Democrats during the government shutdown. The White House didn’t respond to a request for comment on what cities the administration might be planning to target next, referring NBC News to the Office of Management and Budget for further information.

The halt in Chicago rail project money comes after Vought announced on Wednesday, the first day of the government shutdown, that the administration was putting $18 billion for two infrastructure projects in New York City on hold. They include a new commuter rail tunnel under the Hudson River and an expansion of the Second Avenue subway line.

Freezing money for the projects stands to impact constituents of Senate Minority Leader Chuck Schumer and House Minority Leader Hakeem Jeffries, who are leading the Democratic opposition in Congress to the Republican short-term government funding bills.

Separately, the Department of Energy announced Thursday that it was terminating $7.56 billion in financial awards for 223 energy-related projects. Democrats on the House Appropriations Committee said that the funding targeted 16 Democratic-led states, including 108 congressional districts represented by Democrats and 28 represented by Republicans.

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