The Trump administration moved Wednesday to freeze nearly $18 billion in federal funding for New York City infrastructure projects, citing the use of “unconstitutional” diversity, equity, and inclusion standards in the allocation of funds.
Office of Management and Budget Director Russ Vought confirmed the decision in a statement, noting that the projects impacted include the Hudson Tunnel project and the Second Avenue Subway extension.
“Roughly $18 billion in New York City infrastructure projects have been put on hold to ensure funding is not flowing based on unconstitutional DEI principles,” Vought wrote on X. “More info to come soon from [the U.S. Department of Transportation].”
The Hudson Tunnel project is intended to build a new passenger rail tunnel beneath the Hudson River and repair Amtrak and NJ Transit’s North River Tunnels. The Second Avenue Subway expansion would extend the Q line into Harlem with several new stations. Both projects were touted by New York Democrats as critical to modernizing the city’s aging infrastructure.
Senate Minority Leader Chuck Schumer (D-NY) has long championed the Hudson Tunnel, calling it “the nation’s largest public works project,” and helped secure billions in federal funding for it. He and House Minority Leader Hakeem Jeffries (D-NY) have also been leading the Democratic resistance to President Donald Trump’s government funding plan.
Jeffries lashed out at Vought following the announcement. “Again with this guy (and his baseless threats),” Jeffries wrote. “Russ, you are the poster child for privilege and mediocrity. Get lost.”
The freeze on infrastructure funding came amid an escalating clash between Trump and Democratic leadership as government shutdown negotiations drag on. Republicans accuse Schumer and Jeffries of holding up funding bills in pursuit of left-wing policy demands, while Democrats charge that Trump’s proposals gut healthcare protections and safety net programs.
The decision also came just days after Trump threatened to block federal funds from flowing to New York City should far-left mayoral candidate Zohran Mamdani win in November. Mamdani, a self-described socialist, has proposed billions in new city spending and currently leads the race by a wide margin.
“He is going to have problems with Washington like no Mayor in the history of our once great City,” Trump warned on Truth Social this week. “Remember, he needs the money from me, as President, in order to fulfill all of his FAKE Communist promises. He won’t be getting any of it, so what’s the point of voting for him? This ideology has failed, always, for thousands of years. It will fail again, and that’s guaranteed!”
While Trump made clear his threat against Mamdani’s agenda, the White House insisted that the $18 billion freeze is unrelated to the mayoral contest. It remains unclear which DEI requirements the administration flagged, though officials say any allocation of federal money based on race, gender, or other identity categories could run afoul of the Constitution.
New York Democrats have found themselves under increasing fire from the Trump administration in recent days. Transportation Secretary Sean Duffy blasted Democratic Governor Kathy Hochul on Tuesday over allegations the state was issuing commercial driver licenses (CDLs) to illegal immigrants with incomplete information.
“Kathy Hochul continues her campaign to make New York one of the most lawless states in the country,” Duffy posted on X. “ALL illegally issued CDLs endanger American families on the road. My recent emergency action to restrict CDLs will work to counteract these disastrous, America-Last policies.”
The freeze on funding now throws the future of New York’s signature transit projects into doubt, with construction timelines expected to be pushed back indefinitely unless Democrats strike a deal with the White House.
The post Trump Freezes $18 Billion For NYC Infrastructure Over ‘Unconstitutional DEI Principles’ appeared first on Real News Now.
About Author
