White House Deputy Chief of Staff James Blair will visit the Federal Reserve on Thursday to review its $2.5 billion renovation project, which is being funded by the Federal Reserve.
The visit follows President Trump’s criticism of Fed Chair Jerome Powell over the project’s rising costs. Powell previously told lawmakers the cost overruns stem from unforeseen construction issues and rising inflation.
“There’s no new marble,” Powell told members of the Senate Banking Committee in June. “There’s no special elevators. They’re old elevators that have been there. There are no new water features. There’s no beehives and there’s no roof garden terraces.”
In July, OMB Director Russell Vought criticized the Fed’s renovation as “an ostentatious overhaul” in a letter to Chair Jerome Powell, who responded with a rebuttal of his own. Powell defended the Fed’s $2.5 billion renovation, citing urgent structural repairs, asbestos and lead removal, and upgrades to electrical, plumbing, and safety systems.
Meanwhile, tensions with Trump continue to rise over Fed policy. Trump has demanded rate cuts to save “hundreds of billions,” while Powell maintains the key rate at 4.25%–4.5%, taking a cautious stance amid Trump’s tariffs. Trump recently slammed Powell’s performance, calling him “lousy” and claiming many have asked to replace him. The president said he likely won’t fire Powell before his term ends next May but wouldn’t “rule out anything.”
SCORCHING REBUKE: Trump rips into Federal Reserve chair Jerome Powell
