White House Pressed on Project 2025 as Administration Pauses $2.1B in Chicago Projects
White House officials were pressed after President Trump invoked "Project 2025" and OMB Director Russell Vought — a co‑author of the Heritage‑linked blueprint — moved to initiate reductions in force and warned of mass federal layoffs amid the shutdown. At the same time the administration paused roughly $2.1 billion for Chicago’s Red Line extension and Red & Purple modernization, citing concerns about race‑based/DEI contracting, part of a broader freeze that has withheld nearly $30 billion in infrastructure funding and threatened jobs and local development.
Politics
Government/Regulatory
Economy
Government
📌 Key Facts
- OMB Director Russell Vought has begun issuing mass reductions in force (RIFs) during the shutdown; the administration and White House press secretary Karoline Leavitt warned layoffs could be “likely…in the thousands,” and Vought said layoffs would begin “in a day or two” as OMB and the president decide which agencies to cut.
- Legal experts and policy analysts say a lapse in appropriations removes statutory 'payroll floors,' giving the administration discretion to issue RIF notices and reduce staff while still meeting legally required program services.
- Russ Vought is a co‑author of the roughly 900‑page Heritage Foundation blueprint Project 2025; President Trump has publicly invoked Project 2025—posting he will meet with Vought, “he of PROJECT 2025 fame”—a reversal from earlier denials and one that drew criticism from officials including Shalanda Young and Ammar Moussa.
- OMB has withheld nearly $30 billion in federal infrastructure funding since the Oct. 1 shutdown, including a pause on about $2.1 billion for Chicago’s Red Line extension and Red & Purple modernization; the White House said the Chicago funds were paused over concerns about race‑based/DEI contracting and framed the moves politically.
- The Chicago Red Line extension is a 5.5‑mile project to 130th Street (Altgeld Gardens) projected to cut travel times by up to 30 minutes, create roughly 12,500 construction jobs, and spur nearly $2 billion in real‑estate development; the CTA says it remains “fully committed” and describes the freeze as a “temporary pause in payments.”
- Beyond Chicago, the administration also put $18 billion in New York City infrastructure funds on hold and announced $8 billion in Department of Energy climate projects would be canceled in more than a dozen Democratic‑leaning states.
- Reporting notes no immediate signs of progress in shutdown talks; the president has signaled he is digging in, the White House says decisions on cuts and layoffs are made by the president, his team and Cabinet secretaries, and administration officials say they may use “all manner of authorities” to pursue their agenda.
📚 Contextual Background
- Russell Vought served as the Director (chief) of the Office of Management and Budget (OMB).
- OMB is the abbreviation for the Office of Management and Budget, an office within the executive branch of the United States federal government responsible for assisting the President in preparing the federal budget and supervising its administration in executive agencies.
📊 Analysis & Commentary (1)
DEI Cuts Causing Black Unemployment to Surge
"An opinion piece criticizing the administration’s Project 2025‑linked pauses and DEI rollbacks, arguing they are politically driven and are causing a measurable rise in Black unemployment by cutting contracting pipelines and local infrastructure jobs."
📰 Sources (10)
Funding Freeze Threatens an Economic Lifeline in Chicago
New information:
- CTA states it remains “fully committed” to the Red Line extension and describes the freeze as a “temporary pause in payments.”
- Scope and benefits detailed: a 5.5‑mile Red Line extension from 95th Street to 130th Street (Altgeld Gardens) projected to cut travel times by up to 30 minutes.
- City estimates the project would create about 12,500 construction jobs and spur nearly $2 billion in real‑estate development near new stations.
- Neighborhood context: targeted South Side areas have roughly 24% of residents below the poverty line; early preparatory work (e.g., 111th Street upgrades) is visible with major construction slated for next year.
- Additional federal actions noted: after the Oct. 1 shutdown, the administration also put $18 billion in NYC infrastructure funds on hold and said $8 billion in DOE climate projects would be canceled in more than a dozen Democratic‑leaning states.
‘RIFs have begun.’ Vought announces start of mass firings during government shutdown
New information:
- OMB has initiated mass federal RIFs during the shutdown, per Russ Vought’s announcement.
- OMB characterizes the layoffs as "substantial," advancing beyond earlier consideration of reductions in force mentioned in prior reporting.
GOP senators back Russ Vought's hardball shutdown strategy as standoff intensifies
New information:
- Introduces a broader tally that OMB has withheld nearly $30B in infrastructure funding, expanding beyond the previously reported $2.1B in Chicago projects.
White House pressed about Trump seemingly changing his tune on Project 2025
New information:
- White House press secretary Karoline Leavitt said in a press briefing that funds for the Chicago Red Line extension and Red & Purple modernization (about $2.1 billion) were paused due to concerns about race‑based/DEI contracting.
- Leavitt emphasized that decisions on layoffs and cuts are made by the president, his team and Cabinet secretaries, and referenced a public tweet from OMB Director Russell Vought about paused projects.
- The article republishes prior on‑the‑record context: Trump’s July 2024 denial of knowledge about Project 2025 and his recent Truth Social post calling Vought 'PROJECT 2025 Fame.'
Amid shutdown fight, Trump no longer distancing himself from Project 2025
New information:
- Trump posted on Truth Social on Oct. 3, 2025 saying he will meet with OMB Director Russ Vought, 'he of PROJECT 2025 Fame,' to determine which agencies to cut and whether cuts will be temporary or permanent.
- The article quotes White House spokesperson Abigail Jackson responding to criticism and names Shalanda Young and Ammar Moussa as specific critics reacting to the reversal.
- The piece reiterates that Project 2025 is a ~900-plus-page Heritage Foundation blueprint and contrasts Trump's prior 2024 denials of involvement with the project.
Trump threatens mass firings as shutdown continues with no signs of potential deal
New information:
- The article reports President Trump invoked the name 'Project 2025' in connection with his warnings about mass firings.
- PBS notes there were 'no signs of progress between lawmakers on Thursday,' ensuring the government would remain shut down another day.
- The report frames the president as 'digging in' and warning of far-reaching consequences tied to the shutdown stalemate.
The agency staff Vought might recommend cutting and whether the cuts will be permanent
New information:
- Quotes and wording from President Trump's Truth Social post saying he will meet with Russell Vought to decide which agencies to cut and whether cuts will be temporary or permanent.
- A named policy analyst (Richard Stern of the Heritage Foundation) explaining legally how a lapse in appropriations removes 'payroll floors' and enables the administration to issue RIF (reduction in force) notices to cut staff.
- Explicit description in the article of the mechanism: that statutory program requirements remain but funding-floor constraints tied to appropriations lapse, allowing the administration discretion to reduce staff while still meeting legally required services.
Who is Russ Vought? What to know about Trump's OMB director ahead of shutdown layoffs
New information:
- Profile details on Russ Vought: CBS reports Vought is a co‑author of Project 2025 and authored the Heritage‑linked chapter on the executive office of the president.
- Direct reporting that Vought told Republicans federal layoffs would begin in 'a day or two.'
- Quoted Vought line to Fox Business: administration will use 'all manner of authorities' to pursue agenda, including reducing government size and scope (reiterated in CBS piece).
White House says federal layoffs could hit 'thousands' ahead of Trump, Vought meeting
New information:
- Direct quote from White House press secretary Karoline Leavitt saying layoffs are 'likely... in the thousands.'
- Confirmation that OMB is actively 'gaming out' layoffs and that OMB Director Russell Vought will meet with President Trump to discuss which agencies may face cuts and whether they are temporary or permanent.
- Contextual political quote/claim from Leavitt accusing Democrats of blocking funding to keep the government open and alleging they support taxpayer-funded healthcare for illegal immigrants (political framing included in the report).