President Trump on Wednesday directed Attorney General Todd Blanche to examine an inspector general’s report that exonerated former Federal Reserve Chair Jerome Powell of criminal conduct related to the central bank’s costly renovation project. In a social media post, Trump said he wanted Blanche to “study the report, and make a determination as to what to do” about a building complex that is “Hundreds of Millions of Dollars over budget” and now projected to cost at least $2.5 billion.
The IG report, which was released earlier this year, found no criminal violations by Powell or other Fed officials in their management of the multi-million-dollar renovation. However, it did fault the central bank for failing to “effectively execute” a construction management risk contract.
According to the report, the Fed’s Board of Governors initially approved a $1.317 billion budget for one of two renovation projects in February 2020. By December 2024, that figure had ballooned to $2.381 billion. The Fed attributed the increase to design changes made after consultations with federal and D.C. review agencies, as well as rising costs for materials, equipment, and labor.
Trump seized on the report’s finding that Fed officials did not obtain a project cost estimate from the construction manager until January 2026—which he noted was “3.5 years after construction began and after the Board had awarded more than $2 billion in construction costs.” He added, “I could have done a far better Renovation for 25 Million Dollars, completely maintaining the MAGNIFICENCE of the structure, and had money left over.”
The president placed the blame squarely on Powell, writing, “This is Jerome Powell’s fault, and he should be forced to resign, IMMEDIATELY!” He threatened legal action if Powell does not step down: “If he doesn’t resign, he should be sued, at the highest level, by the United States Government, for either corruption or incompetence, both of which are completely unacceptable.” Trump also stated he does not want the building named after him.
The inspector general’s probe was launched in April at the recommendation of U.S. Attorney for the District of Columbia Jeanine Pirro, who conducted her own three-month investigation into Powell’s handling of the project. Powell has accused Pirro’s office of initiating the probe as a means of pressuring him to lower interest rates—a persistent point of friction between him and Trump.
The report’s findings have not quelled Trump’s criticism of Powell, whom he has repeatedly attacked over monetary policy. The president’s request for Blanche to review the matter signals that the administration may continue to pursue the issue despite the lack of criminal findings.
It remains unclear what specific action, if any, Blanche might take. The Justice Department has not commented on the president’s request. Meanwhile, the Fed has defended its handling of the renovation, citing external factors that drove up costs.
Trump’s latest move comes as he continues to reshape the federal government’s approach to oversight and accountability. Just last month, he elevated a top energy official to a key role in an Alaska LNG deal, and he has also called immigration the “hardest job” while courting Hispanic voters ahead of the midterms.
