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Trump Administration Withholds $7B Transit Grants, Delays NYC, Chicago Projects

7/28/2026

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Story summary
  • President Donald Trump’s administration caused the Federal Transit Administration to sign no Capital Investment Grants, leaving over $7 billion unallocated.
  • The stalled grants affect major projects such as the Second Avenue Subway extension in New York and the Red Line extension in Chicago.
  • The administration’s attempt to halt payments to the New York and Chicago projects prompted court intervention, which Steve Davis said reflects a deliberate slowdown that leaves final-phase projects delayed.