Federal Government Pauses $2.1 Billion for Chicago Infrastructure Plans
The national freeze on billions earmarked for the city of Chicago transit initiatives was revealed on Friday, according to OMB Director Russ Vought.
Impacted Plans
Among the plans impacted by the funding freeze involve the public transit expansion, which was scheduled to begin construction in 2026 and extend transportation services to underprivileged communities in the metropolis.
Moreover, modernization work on a variety of rail lines were also paused.
Reasoning for the Halt
Vought declared on online platforms that the financing was “frozen to ensure funding is not flowing via race-based contracting.”
This declaration follows a comparable action in recent days involving New York City, where the official stated that $18 million for transportation would be paused, including money for a proposed rail tunnel under the Hudson River.
National Stoppage Background
The move occurs as the federal government closure continues into its third day, with the upper chamber scheduled to hold a vote later in the day.
Despite the anticipated vote in the Senate, there is little hope that a resolution is near, as opposition lawmakers insist on a set of health-related compromises.
Broader Effects
Additionally, a rising amount of national offices and employees are explicitly accusing Democrats for the closure.
This partisan communication by offices is potentially a breach of the government ethics law, which prohibits public servants from engaging in political campaigning.
Laid-off public servants at various departments have been instructed to set out-of-office messages stating that they are not working because Democrats triggered a shutdown.
A far left has chosen to shut down the United States government in the name of reckless spending and obstructionism,” the treasury department’s website states.
Even, advisories over economic impact don’t appear to be encouraging negotiation attempts.
A report by an economic analyst indicated that every seven-day period the shutdown lasts will mean a $7bn impact to the US economy.
