Trump considers lawsuit against Powell over Fed renovation costs
President signals potential legal action against the Fed chair amid disputes over a four-billion-dollar renovation project and interest-rate stance
President Donald Trump is considering allowing a “major lawsuit” against Federal Reserve Chair Jerome Powell concerning the escalating costs of renovations to the Fed’s Washington, D.C. headquarters, according to a statement from the White House.
The project, initially approved in 2017 at an estimated cost of nineteen hundred million dollars, is now expected to reach approximately two thousand five hundred million dollars—with some estimates suggesting it could be as high as three thousand one hundred million.
Trump and Powell toured the renovation site in July, during which disagreement emerged over cost figures.
Trump asserted higher figures, while Powell clarified that the higher total included expenses from a previously renovated building and stood by the two thousand five hundred million figure.
The Fed has defended the upgrade as necessary to replace unsafe and outdated infrastructure, and has denied adding luxury features.
The renovation has been independently reviewed by the Fed’s inspector general, with Powell requesting further scrutiny.
Republican legislators have introduced perjury allegations related to Powell’s testimony under oath about the project’s features.
Trump has previously criticized Powell for maintaining high interest rates, though firing him would require “for cause” grounds, as affirmed by a recent Supreme Court ruling affirming the Fed’s independence.
The project, initially approved in 2017 at an estimated cost of nineteen hundred million dollars, is now expected to reach approximately two thousand five hundred million dollars—with some estimates suggesting it could be as high as three thousand one hundred million.
Trump and Powell toured the renovation site in July, during which disagreement emerged over cost figures.
Trump asserted higher figures, while Powell clarified that the higher total included expenses from a previously renovated building and stood by the two thousand five hundred million figure.
The Fed has defended the upgrade as necessary to replace unsafe and outdated infrastructure, and has denied adding luxury features.
The renovation has been independently reviewed by the Fed’s inspector general, with Powell requesting further scrutiny.
Republican legislators have introduced perjury allegations related to Powell’s testimony under oath about the project’s features.
Trump has previously criticized Powell for maintaining high interest rates, though firing him would require “for cause” grounds, as affirmed by a recent Supreme Court ruling affirming the Fed’s independence.
