The time trial course was mainly flat, between Isla de Maipo and Palacio de la Moneda, with women circling the 20.1km circuit and men completing two laps.
Faulkner covered the Elite women's 20.1 km course with an average speed of 25:45 with a winning time of 46.8 km/h, beating runner-up Arenis Sierra (Cuba) by 22 seconds and Aranza Valentina VillarĂ³n (Chile) by 0.17 seconds.
Faulkner's compatriot Lawrence Stevens finished in 42 seconds in 4th place. "I congratulate Super 4th place Lauren Stevens and thank you USA Cycling for all the support," she said after the victory.
The winner of the Double Giro d'Italia stage will depart her current trade team Jayco AlUla and will race for the US team EF Education-Cannondale in 2024.
Vargas covered the Elite Men's 40.2km course with a winning time of 51 km/h with an average speed of 47.03
"I am happy to win the Pan American game. It's a lot of effort and sacrifice, but I've achieved medals, rewards," Vargas said. "I dedicate it to my family and my girlfriend, and I will soon get married.
Vargas defeated the Olympic Road race champion Richard Calapas (Ecuador) 33 seconds, Connor White (Bermuda) 1:11.
After the event, Karapas was disappointed not to win a gold medal, but said it would help build confidence after a tough season.
"We knew the time trial was not our strength, but there is always hope for victory. We could not get the gold, but we are getting the silver," said Karapas.
Carapas crashed out of the Tour de France on the first day and did not recover in time to ride the Vuelta a Espana, but finished the season in second place in the Giro della Tuscany and Torre Vallesine and eighth in Il Lombardy.
"It was a tough year for me, and ending it with a medal makes me believe in myself again," he said.
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