Two major Chicago transit projects are in jeopardy after the White House froze $2.1 billion in federal funding over an investigation into racial preferences in contracting.

White House budget director Russ Vought says the Trump administration will withhold $2.1 billion for Chicago infrastructure projects, expanding funding fights that have targeted Democratic areas during the government shutdown.

Federal budget director Russ Vought announced on social media that the money has been put on hold “to ensure funding is not flowing via race-based contracting.”

The U.S. Department of Transportation on Friday said it would withhold $2.1 billion in previously awarded for two Chicago Transit Authority infrastructure projects, citing a rule issued earlier in the week barring Disadvantaged Business Enterprise programs for federally funded projects.

President Donald Trump and Republicans have cast blame for the shutdown on Democrats' health care demands, while Democrats insist Republicans need to negotiate. The Senate is scheduled to return Friday for another vote. The Trump administration has threatened mass layoffs of some federal workers during the shutdown.

The $570 million reduction from previous estimates provides only temporary relief. The fiscal cliff jumps to $789 million in 2027.

Chicago became the second major US city to have billions of dollars in federal funding for infrastructure projects paused on Friday.

The U.S. government has put $2.1 billion in Chicago infrastructure projects on hold, Office of Management and Budget Director Russ Vought said on Friday, in another jab at a Democratic-led city during the government shutdown.

Transportation officials said Friday the fiscal cliff isn't as bad as first thought, but layoffs and service cuts are still a possibility.