Trump admin freezes $11B in infrastructure spending amid shutdown

NEW YORK (NewsNation) — The Trump administration has announced plans to freeze more than $11 billion in projects for the Army Corps of Engineers, many located in states governed by Democrats.

"The Democrat shutdown has drained the Army Corps of Engineers' ability to manage billions of dollars in projects," Russell Vought, director of the Office of Management and Budget, announced on social media. "The Corps will be immediately pausing over $11 billion in lower-priority projects & considering them for cancellation."

New York alone faces about $7 billion in halted funds, while Massachusetts could lose $600 million allocated for replacing bridges over the Cape Cod Canal, which serve millions of drivers each year.

The White House described the freeze as a temporary pause tied to the government shutdown. But state officials have said they haven't received formal notice, and some lawmakers argued the move is politically motivated. The administration has previously targeted what it calls wasteful or diversity, equity and inclusion-driven spending.

The announcement comes just one day after a federal judge blocked planned layoffs of government employees, prompting speculations the administration is pivoting its efforts elsewhere.

Sen. Patty Murray, D-Wash., referred to the move as “an administration run by crooks and cowards ONCE AGAIN illegally and punitively blocking funds for JUST blue states.”

The newly frozen projects add to the $28 billion already stalled since the shutdown began Oct. 1. The federal government is now in the third-longest shutdown period in U.S. history.

The administration has said reviews will continue this week, but for many of the affected projects, there's still no timeline for when or if the money will start flowing again.