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Chicago Sues Trump Over $3.1B Transit Funding Freeze

3/21/2026

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Story summary
  • Chicago filed a lawsuit against U.S. President Donald Trump over freezing $3.1 billion in transit funding.
  • The Chicago Transit Authority says the suspension has withheld $9.5 million in grants and jeopardizes critical infrastructure projects.
  • The suit calls the freeze arbitrary and capricious, violating the Administrative Procedure Act.
  • New York's Metropolitan Transportation Authority also sued for withholding nearly $60 million.
  • A federal appeals court ruled payments for the $16 billion Hudson Tunnel Project must continue.