Inspector General Report Discredits Trump's Claims on Federal Reserve Renovations

Inspector General Michael Horowitz's office at the Federal Reserve recently concluded an investigation into the central bank's renovation project. The lengthy probe found no evidence of administrative misconduct or violations of federal criminal law.

The report, released on September 30, 2026, was a direct contradiction to President Donald Trump's repeated claims about the project. The White House had been hoping for a different outcome, as it launched a highly contentious criminal investigation into then-Fed Chair Jerome Powell in January.

Powell issued a statement at the time, explaining that the threat of criminal charges was aimed at intimidating the Fed and influencing its interest rate decisions. He stated that 'The threat of criminal charges is a consequence of the Federal Reserve setting interest rates based on our best assessment of what will serve the public, rather than following the preferences of the president.'

The investigation's findings led to seven recommendations for addressing underlying concerns about the renovation project's management and execution.