Federal Reserve Chairman Jerome Powell responds to accusations of wasteful spending of $2.5 billion on renovating the historic headquarters in Washington D.C.
Mr. Powell asserts that the upgrade project aims to ensure safety and modernize infrastructure for the headquarters, denying any allegations of unnecessary luxury amenities.
MAIN CONTENT
Powell responds to accusations of wasteful spending, emphasizing transparency and public accountability.
No luxury amenities, only focusing on improvements in safety, technical capacity, and compliance with environmental standards.
Tensions between the Fed and allies of former President Trump are escalating concerning Chairman Powell's leadership.
How does Jerome Powell respond to the White House's criticism?
Fed Chairman Jerome Powell responds to the attack letter from Russell Vought – Director of the Office of Management and Budget, asserting that the renovation of the headquarters is necessary and transparent.
Mr. Powell has cited on the Fed website that full information about the project, including budget, plans, and designs, has been disclosed to ensure transparency and accountability to the public. He did not respond to personal criticisms related to management or testimony before Congress.
Transparency in decision-making and accountability to the public is the top priority of the Fed's Executive Board.
Jerome Powell, Chairman of the Federal Reserve, July 2025
Does the Fed deny allegations of luxury upgrades like private elevators and VIP dining rooms?
The Fed confirms there are no private elevators, upscale dining rooms, or rooftop gardens for entertainment in the renovation project, with the rooftop area used for placing necessary technical equipment.
The project aims to address aging infrastructure issues, including enhancing seismic resistance, upgrading electrical and water systems, and improving network security. Additionally, the project complies with federal environmental standards and enhances accessibility for people with disabilities according to the ADA.
Why is the renovation of the Fed headquarters necessary and reasonable?
Buildings over a century old at the Fed headquarters are facing many technical and safety issues. This investment aims to ensure the continuous operation of the Fed in critical tasks such as monetary policy, financial supervision, and payment systems.
Mr. Powell emphasizes that this is prudent and necessary spending to maintain the stable operation of this Central Bank for many years to come.
How is the tension between the Fed and allies of former President Trump developing?
Although Powell answered skillfully, Trump’s allies continue to increase criticism, even planning to directly inspect the construction. The accusations also include the argument that Powell provided misleading information about the project to Congress.
This is part of a campaign to undermine Powell's leadership reputation, who has previously been criticized by Trump for monetary policy decisions not aligning with his expectations.
The president is concerned that Powell does not have specific actions to support his public statements.
Russell Vought, OMB Director, July 2025
What is the major difference between Powell's viewpoint and that of the critics?
Criteria Powell's Viewpoint Critics' Viewpoint Purpose of Renovation Mandatory investment to upgrade infrastructure, increase safety, and comply with standards Wasteful luxury spending, unnecessary, wasting resources Project Information Clearly transparent on the Fed website, publicly available costs and progress Accusations of providing misleading information, lacking transparency Policy Impact Focus on renovation to support Fed operations Claims that the Fed is distracted, prioritizing renovation over addressing economic issues
Frequently Asked Questions
1. Is the Fed's headquarters renovation project a wasteful expenditure?
With the information made public and the response from Chairman Powell, the project has been assessed as necessary and planned transparently, not a wasteful expenditure.
2. Are amenities like private elevators and VIP rooms real?
The Fed denies luxury amenities such as private elevators and VIP dining rooms in the renovation project, focusing only on technical infrastructure and safety.
3. Why do allies of former President Trump criticize the project?
Politics and views on monetary policy have led this group to doubt the transparency and use of the Fed's project budget under Powell's leadership.
4. Is the Fed transparent about the progress and costs of the renovation?
The Fed has fully updated information on its official website, ensuring stakeholders and the public closely monitor.
5. Does the renovation project affect the Fed's monetary policy operations?
Powell emphasizes this is an infrastructure project, not interfering with monetary policy decisions, ensuring the Fed operates stably in the long term.
Source: https://tintucbitcoin.com/fed-chi-25-ty-nang-cap-tru-so/
Thank you for reading this article!
Please Like, Comment, and Follow TinTucBitcoin to stay updated on the latest news about the cryptocurrency market and not miss any important information!
