HUD Secretary Criticizes Fed’s Renovation Spending Amid Housing Struggles
Scott Turner, the Secretary of Housing and Urban Development (HUD), expressed strong discontent toward Federal Reserve Chair Jerome Powell, criticizing the Fed’s recently expensive renovations while many Americans face challenges in the housing market. The renovations at the Fed’s headquarters have surged to $2.5 billion, prompting concerns about fiscal responsibility as interest rates remain high.
Furthermore, Turner’s frustrations include accusations that the Trump administration failed to lower interest rates, even when inflation seems manageable. He stated, “It’s quite something that bureaucrats like Powell are spending billions on renovations, while at the same time, people struggle to purchase homes because of soaring mortgage rates.”
HUD recently made headlines by relocating its office from Washington, D.C., and announced that the agency’s new space would be in Alexandria, Virginia. Turner noted that this shift would save taxpayer money, particularly given issues with their former headquarters at L’Enfant Plaza, where there have been structural concerns and other maintenance issues.
“This move isn’t about me; it’s about our workforce,” Turner remarked. He emphasized that NSF, the new location, would provide a more suitable environment for employees while also relieving financial burdens on taxpayers.
Turner’s criticisms come amidst ongoing tensions with President Trump, who has also publicly chastised Powell. Trump claims Powell should have already cut interest rates and has made some bold statements about the Fed chair’s capabilities, referring to him as “numbskull.” During a NATO press conference, Trump labeled Powell as “awful” and accused him of being less than competent.
Trump further critiques the Fed’s spending on facility upgrades, calling it a “burning crime.” “I think he’s terrible—just completely out of touch. I never thought he needed such a lavish office,” Trump stated. The president continues to believe that if he were truly interested in reducing interest rates, he would rethink his tariff policies.
Democrats, including Sen. Elizabeth Warren, have condemned Trump’s attacks against Powell, arguing that such criticisms deflect from the real issues influencing interest rates and the economy. Warren remarked, “If he truly wanted to lower rates, he’d reconsider his trade policies instead of threatening the Fed’s leadership.”
Nonetheless, HUD anticipates significant savings—amounting to around $22 million annually—by vacating the current building. The new office is expected to cost $35 per square foot, compared to the $86 per square foot they were paying previously. Reports indicate the government has already invested $90 million into repairs for the existing facility, which has deteriorated significantly over time.
Despite criticism and ongoing debates, the Federal Reserve has opted not to comment on Turner’s remarks. They maintain that their renovations are part of a responsible management approach concerning public resources, which includes oversight and accountability measures.
As discussions around housing affordability continue, Trump, who appointed Powell, remains vocally critical of him on social media, connecting the Fed’s actions to broader issues facing the housing market. “The Fed’s actions are squeezing the market, making it tough for young people to buy homes,” he expressed recently.
