A national freeze on $2.1 billion designated for Chicago's infrastructure plans was revealed on Friday, per Office of Management and Budget Director the official.
Affected Projects
Included in the plans affected by the funding freeze involve the Red Line extension, which was scheduled to start building in 2026 and improve mass transit to less served communities in the urban area.
Additionally, improvement work on a variety of rail lines were also put on hold.
Reasoning for the Halt
Vought declared on online platforms that the funds was “frozen to ensure funding is not flowing via race-based contracting.”
This declaration mirrors a parallel decision recently involving NYC, where the director stated that $18 million for transportation would be paused, including funding for a new train tunnel under the river.
Federal Closure Situation
The decision occurs as the federal government closure reaches its third day, with the upper chamber set to conduct a vote later in the day.
Despite the planned legislative action, there is little confidence that a resolution is near, as opposition lawmakers demand a set of medical concessions.
Broader Consequences
At the same time, a increasing number of government departments and staff are directly accusing Democrats for the stoppage.
This political messaging by departments may be a infraction of the federal law, which prohibits federal employees from conducting electioneering.
Laid-off government workers at certain offices have been told to set automated replies indicating that they are not working because opposition lawmakers initiated a shutdown.
A progressive wing has chosen to shut down the United States government in the name of reckless spending and obstructionism,” the treasury department’s website reads.
Additionally, warnings over economic impact don’t appear to be stimulating compromise efforts.
A report by an economic analyst said that every week the closure persists will mean a $7 billion blow to the US economy.
