From Washington Examiner: Office of Management and Budget Director Russ Vought ratcheted up pressure on Federal Reserve Chairman Jerome Powell on Thursday, accusing him of having “grossly mismanaged” the central bank.
Vought sent a letter to Powell probing him with questions over the renovation of the Fed’s headquarters in Washington, D.C. The letter said that President Donald Trump is “extremely troubled” by his management of the Fed and called the overhaul of the headquarters “ostentatious.”
The letter and accompanying post on X is the latest salvo in the Trump administration’s war against Powell, who was originally appointed by Trump, but has since faced immense pressure from the president over his handling of monetary policy and interest rates.
“While continuing to run a deficit since FY23 (the first time in the Fed’s history), the Fed is way over budget on the renovation of its headquarters,” Vought wrote in a post on X.
“Now up to $2.5 billion, roughly $700 million over its initial cost,” Vought wrote.
“These renovations include terrace rooftop gardens, water features, VIP elevators, and premium marble. The cost per square foot is $1,923 — double the cost for renovating an ordinary historic federal building. The Palace of Versailles would have cost $3 billion in today’s dollars!”
Chairman Jerome Powell has grossly mismanaged the Fed.
While continuing to run a deficit since FY23 (the first time in the Fed’s history), the Fed is way over budget on the renovation of its headquarters.
Now up to $2.5 billion, roughly $700 million over its initial cost.… pic.twitter.com/lHK4cWlAvf
— Russ Vought (@russvought) July 10, 2025
Trump has repeatedly asked the Fed chairman to lower interest rates, but the chairman hasn’t listened.
Vought’s letter has sparked questions about Trump’s intentions towards Powell, NBC reports that he may “seek to remove Powell for cause, at least ostensibly.”
Trump has reportedly considered firing Powell before his term ends next spring.
The Examiner reports that Trump has narrowed down his list of possible successors.
“The top contenders include two Kevins, a top Cabinet secretary, and two members of the Fed’s board of governors, according to senior White House officials and veteran Republican strategists with close ties to the White House,” the Examiner reported.
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