The Fed said that the Office of Inspector General (OIG) has full oversight of the project, receiving monthly reports since it was approved by the Board of Governors in 2017. White House director of management and budget Russ Vought alleged that Powell could be in violation of federal procedures, regardless of whether he was truthful during testimony, if he made material changes to the approved design without proper authorization from the NCPC.
Powell, in his defense, noted that the NCPC requires re-submission only if “substantial changes” are made post-approval. The Fed, he argued, did not consider any of its changes substantial enough to merit resubmission.
“We take seriously the responsibility to be good stewards of public resources,” he wrote in a letter to Vought.
Powell noted that the OIG has had access to monthly reports on construction costs and activities since the project’s inception. He acknowledged the cost overruns but claimed they stemmed from legitimate construction challenges and design adjustments.
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