Trump Admin 'Illegally' Freezes $18 Billion in Infrastructure Funds for New York City

A senior Trump administration official said Wednesday that $18 billion in infrastructure funding for New York City is being frozen, citing diversity, equity, and inclusion concerns—however, a White House insider attributed the move to the federal government shutdown, while critics noted that both Democratic congressional leaders represent the Empire State.

White House Office of Management and Budget Director Russell Vought said on the social media site X that the $18 billion was "put on hold to ensure funding is not flowing based on unconstitutional DEI principles."

However, a Trump administration official speaking on condition of anonymity told The Associated Press that the federal government shutdown that started at midnight is to blame for the freeze, as Department of Transportation personnel tasked with reimbursing workers have been furloughed.

Some skeptical observers noted that Senate Minority Leader Chuck Schumer and House Minority Leader Hakeem Jeffries both represent New York and are both Democrats—whom Republicans are blaming for the government shutdown. Polling shows that more Americans say Republicans or both parties are to blame for the shutdown than Democrats alone.

President Donald Trump also threatened this week to cut off all federal funding to New York City if democratic socialist Zohran Mamdani wins next month's mayoral election. This, after the president threatened a federal takeover of the nation's largest city.

The withheld money is allocated for projects including the Hudson River Tunnel and Second Avenue Subway—which was first proposed in 1920 and has been under construction since 1972.

"You might as well threaten us with taking away the Dodgers."

Reacting to Vought's announcement, US Sen. Chris Murphy (D-Conn.) said on social media: "Let’s open our eyes. This isn’t a functioning democracy any longer when—in the middle of a high stakes funding fight—the president illegally suspends federal projects in states run by Democrats as a way to punish the political opposition."

New York state Sen. Andrew Gounardes (D-26) posted, "Trump Republicans are so cruel and incompetent that they're now playing games with billions in funding for critical infrastructure projects, putting the literal foundations of our city at risk."

"This is extortion, plain and simple," he added.

The radical publishing collective Strangers in a Tangled Wildnerness encapsulated the sentiment of many New Yorkers in a Bluesky post directed at Trump, or perhaps Vought:

As for Vought's stated reason for halting the funds, Trump, Republican officials, and MAGA luminaries like the late podcaster Charlie Kirk have baselessly cast diversity, equity, and inclusion (DEI)—an effort to mitigate centuries of ongoing systemic and institutional racism—and "woke" hiring practices as a catchall archvillain responsible for a host of ills ranging from transportation accidents to natural disasters.

Ripping on Vought's DEI claim, history professor Aaron Astor quipped, "Is the Queens Midtown Tunnel woke now?"