Trump Administration Freezes Infrastructure Funds Amid Shutdown

Washington, Oct 3 (AP) – The Trump administration has decided to halt USD 2.1 billion earmarked for infrastructure projects in Chicago, escalating funding disputes that have affected Democratic strongholds amid the ongoing government shutdown.

The funding freeze impacts the long-anticipated extension of Chicago's Red Line train. White House budget director Russ Vought announced on social media Friday that the allocation was "put on hold to ensure funding is not flowing via race-based contracting." This announcement mirrors a similar decision earlier this week in New York, where USD 18 billion in infrastructure funding, including for a new rail tunnel under the Hudson River, was also paused.

The withholding of these funds poses a significant challenge to Chicago's transit ambitions. The Red Line extension, aimed at adding four stations on the city's South Side, is intended to improve access for disadvantaged communities.

Additionally, a broader modernization initiative for the Red and Purple lines, also targeted by Vought, seeks to enhance stations and eliminate a bottleneck where different lines converge.

In New York, the Transport Department under Trump's administration stated it has been examining potential "unconstitutional practices" related to the major infrastructure projects, but the government shutdown, initiated on Wednesday, has led to the furloughing of staff responsible for the review.

These funding suspensions are seen as measures directed at Senate Democratic leader Chuck Schumer of New York, whom the White House blames for the gridlock. Schumer argued that freezing the funds would adversely affect commuters.

"Obstructing these projects is foolish and counterproductive because they generate tens of thousands of quality jobs and are vital for a robust regional and national economy," Schumer remarked on X. (AP)

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