Particle.news
Download on the App Store
15 ARTICLES
·
yesterday

Trump Administration Probes Fed Renovation Costs as Grounds to Remove Powell

Federal Reserve has refreshed its online FAQ to counter White House allegations of mismanagement on the $2.5 billion renovation project.

Construction on the Marriner S. Eccles Federal Reserve building in Washington, DC, on June 25.
Image
U.S. Federal Reserve Chair Jerome Powell testifies before a Senate Banking, Housing and Urban Affairs Committee hearing on "The Semiannual Monetary Policy Report to the Congress," on Capitol Hill in Washington, D.C., U.S., June 25, 2025. REUTERS/Kevin Mohatt/File Photo
White House national economic council director Kevin Hassett in the James Brady Press Briefing Room at the White House, on Feb. 20, 2025.

Overview

  • National Economic Council Director Kevin Hassett said Sunday that President Trump could fire Fed Chair Jerome Powell “if there’s cause,” confirming a legal review of removal authority following budget director Russell Vought’s inquiry.
  • Office of Management and Budget Director Russell Vought launched a formal probe on July 10 into cost overruns and compliance with the National Capital Planning Act for the Fed’s headquarters renovation, framing it as potential mismanagement.
  • The Fed updated its public FAQ page on July 11 to refute claims of luxury features—including VIP dining rooms and rooftop gardens—and to attribute higher costs to design changes, asbestos removal and inflation.
  • Jerome Powell has resisted calls to resign, telling Congress there are no special elevators, marble or water features in the project and asserting he will serve his full term through May 2026.
  • Bipartisan lawmakers warn that using renovation allegations to oust a Fed chair would undermine the central bank’s legal independence and risk financial market instability.