White House economic advisor Kevin Hassett stated that President Trump has the authority to dismiss Federal Reserve chair Jerome Powell if justified. This decision is rooted in concerns over a reported $700 million cost overrun during renovations at the Fed’s Washington headquarters. Budget Director Russ Vought criticized the expenditures on the $2.5 billion project and urged the Fed to address the renovation-related questions raised by the administration. The tensions surrounding Powell’s performance in managing interest rates and renovation expenses continue to escalate, with Trump pushing for his resignation.