The Trump (R) Administration is Planning to Withhold Billions of Dollars from One of the Nation’s Largest Public Works Projects in Direct Retaliation for the Government Shutdown, which Republicans are Blaming on Senate Minority Leader Chuck Schumer (D-NY) and Fellow Democrats. White House Budget Director Russell Vought (R) said Wednesday, the Administration is Withholding “roughly $18 Billion” from New York City Infrastructure Projects, because of “unconstitutional DEI Principles.” He Specifically cited Funding for the Massive Bi-State Gateway Program, which Includes a New train Tunnel under the Hudson River to Connect New York and New Jersey, and New York City’s Second Avenue Subway Line.
The Department of Transportation (DOT) had Written New York to inform the State the Two Projects were under Administrative Review to determine whether the State was Subsidizing Infrastructure Contracts with Taxpayer Money based on Discriminatory Principles, referring to DOT’s Disadvantaged Business Enterprise Program. A Spokesperson for the DOT, in a Statement, blamed Democratic Leaders in Congress for the Shutdown, and said it led to the Agency Furloughing Civil Rights Staff responsible for Conducting the Administrative Review.
“Until USDOT’s Quick Administrative Review is complete, Project Reimbursements cannot be processed, including a $300 Million Disbursement for the 2nd Avenue Subway. The remaining Federal funding for these projects totals nearly $18 billion,” the Spokesperson said. “Thanks to the Chuck Schumer and Hakeem Jefferies shutdown, however, USDOT’s review of New York’s unconstitutional practices will take more time. Without a budget, the Department has been forced to furlough the civil rights staff responsible for conducting this review.”
The DOT on Tuesday, issued an Interim Final Rule that “removes race and sex-based presumptions of social and economic disadvantage that violate the U.S. Constitution.” Schumer and House Minority Leader Jeffries (D-NY, 8th District), both Responded, but took Different Approaches: Schumer appeared to take the Threat from Vought more Seriously, While Jeffries Brushed it Off with a Dig at Vought. Schumer said Trump and Vought are Threatening Projects that would have a Monumental impact on Commuters.
“That royally screws commuters,” Schumer wrote on X. “Obstructing these projects is stupid and counterproductive because they create tens of thousands of great jobs and are essential for a strong regional and national economy.” Jeffries, on the other-hand, called the Threat by Vought “Baseless.” “Russ, you are the poster child for privilege and mediocrity. Get lost,” Jeffries posted on X.
The Gateway Development Commission, which is Overseeing the Tunnel Project, said in a Statement that it is “focused on keeping the project on scope, schedule, and budget” and called the Trump Administration’s Actions a “pause in disbursements.” The Bistate Agency spends Money Upfront and then asks for Reimbursements, so work is Continuing.
Trump Delayed the Tunnel Project during His First Term. Then President Biden (D) and Schumer (D-NY) Directed Billions of Dollars toward it in an attempt to Trump-Proof the Tunnel. For months, Trump has Not questioned the Project and Directed Hundreds-of-Millions of Dollars toward it in a Budget Proposal. It is expected to Employ Thousands of Union Laborers in New York, New Jersey, and elements of it are already under Construction.
Vought’s Announcement is expected to be Challenged in Court by Interested Parties, though it’s Not clear who will Seek an Injunction First. The New York Metropolitan Transportation Authority (NYMTA) is already bBttling the Administration over its attempt to Kill a Tolling Program meant to Fund the Agency. A Judge is expected to Rule in that Case any day.
New York Gov. Kathy Hochul (D) said Wednesday Morning, that things keep getting “worse and worse,” citing the Funding Freeze. James Talarico on Immigration, His Faith, and how Democrats are getting it Wrong. “They’re trying to make culture wars be the reason why, culture wars over the tens of thousands of jobs that we’ve created with these infrastructure projects that were literally talked about for decades,” She said.
Rep. George Latimer (D-NY, 16th District), who Represents Commuter-Rich New York City Suburbs in Westchester County, called the move an Act of Political Revenge by Trump. “Political revenge. Clearly outlined by Trump, time and again. He sees the U.S. as Blue and Red, and Blue states are enemies. As he has said many times, he hates his enemies; he is the retribution. Has he announced any rescission of any projects in Florida or Texas?” Latimer said in a Text Message.
The Transportation Department under Secretary Sean Duffy (R) has Rescinded Grants and Held-Up Funds for Projects with Components, that didn’t Align with the Administration’s Priorities, like those Geared at Promoting DEI, Bike Travel, and Green Infrastructure. Liberal Cities, including New York, have been a Constant Target for the Administration, and the move by Vought to inflict even more Pain on Democratic Strongholds during a Government Shutdown, is One of many Tools the Administration Plans to use to Pressure Congressional Democrats to reach a Deal to Fund the Government.
Rep. Rob Menendez (D-NJ, 8th District) called the Trump Administration Vindictive. “They will go after any community for any reason, and I think they’re using the shutdown as a reason to settle political score,” He said. Rep. Pete Aguilar (D-CA, 33rd District), who Chairs the House Democratic Caucus, said theMmove was about extracting Pain. “This isn’t about policy priorities for them,” He said. “This is shameful, and it’s tough, and it shows that we don’t have true negotiating partners.”
NYC Wins When Everyone Can Vote! Michael H. Drucker
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