Trump Admin Freezes $2.1B Chicago Infrastructure Funds, Sparking Legal Battle
President Trump's administration has decided to withhold $2.1 billion earmarked for Chicago's infrastructure projects, escalating funding disputes during the ongoing government shutdown. This move has been met with strong criticism from local and state officials, who argue it directly harms the city, its residents, and the economy.
The U.S. Department of Transportation is currently reviewing the funding to ensure it aligns with federal laws and regulations. However, the freeze could potentially undermine Chicago's efforts to promote diversity and inclusion in the project's equity goals, particularly for women- and minority-owned businesses.
Mayor Brandon Johnson expressed disappointment, highlighting that the project would have brought around 25,000 jobs and billions in new development to the Chicago area. The loss of these funds would be a significant setback for Chicago's transportation plans, as the Red Line extension is crucial for improving access to public transit for disadvantaged communities. Gov. JB Pritzker also criticized the move, stating it hurts the economy and working people who rely on public transit.
The funds, which include a long-awaited plan to extend the city's Red Line train from 95th Street to 130th Street, were paused due to concerns about 'race-based contracting', according to budget director Russ Vought. The city, however, plans to fight back legally to restore the funding for the Red Line extension project.
The withholding of these funds has sparked a legal battle, with the city planning to challenge the decision in the United States District Court for the Northern District of Illinois in Chicago. The outcome of this dispute will have significant implications for Chicago's infrastructure development and economic growth.