Executive Order 13985 · Signed Jan 20, 2021

86 FR 7009 · Published Jan 25, 2021 · Effective on signing

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Advancing Racial Equity and Support for Underserved Communities Through the Federal Government

racial equitycivil rightsfederal agency reformdiversity and inclusionfederal data collection

Signed by President Joseph R. Biden Jr.

The order directs every federal agency to conduct an internal equity assessment — identifying whether their programs and policies create barriers for historically underserved communities — and establishes a data working group to improve federal demographic data collection. It also immediately revokes two prior executive orders: one that banned federal agencies and contractors from holding certain diversity-related training sessions, and one that created the 1776 Commission.

It is the first broad whole-of-government equity directive of the Biden administration, and its immediate revocation of the 2020 diversity-training ban restores legal permission for federal contractors to conduct training programs that had been restricted for four months.

What this order does

What it orders

The order directs every federal executive agency to select a set of its programs and policies, review them to identify systemic barriers that underserved communities face in accessing benefits and contracting opportunities, and report findings to the White House Domestic Policy Council within 200 days. Within one year, agencies must produce action plans to address the barriers they uncover. The OMB Director is told to study the best methods for measuring equity across agencies and report to the President within six months, and to identify equity-promoting opportunities in the President's budget. A new Interagency Working Group on Equitable Data — co-chaired by the Chief Statistician and the Chief Technology Officer — is established to recommend ways to improve federal data collection so demographic disparities can be measured more precisely.

The order immediately revokes Executive Order 13950 of September 2020, which had barred agencies and federal contractors from conducting diversity training that included certain concepts. Within 60 days, agencies must review and consider suspending, revising, or rescinding any actions they took under that revoked order, including contract terminations. Executive Order 13958, which created the President's Advisory 1776 Commission, is also immediately revoked. The order applies to executive agencies; independent agencies are "strongly encouraged" to comply but are not mandated to do so.

Who it affects

Federal executive agencies and their leadership, who must conduct reviews and produce action plans. Federal contractors whose diversity training programs had been restricted under the revoked EO 13950. Underserved communities — including people of color, LGBTQ+ persons, persons with disabilities, rural residents, and low-income populations — whose access to federal programs is the subject of the assessments.

Why it matters

Federal contractors and agencies that suspended or redesigned diversity training after the September 2020 order can resume those programs immediately. All agency programs will face mandatory internal review for equity barriers, which can lead to changes in how federal benefits, grants, and contracts are distributed to historically underserved communities.

What must happen and when

How the order is supposed to work

Implementation flows in three stages. First, OMB studies and recommends equity-assessment methods (six months). Second, agencies conduct their own equity reviews using those methods and report findings (200 days). Third, agencies translate findings into concrete action plans (one year). The Equitable Data Working Group runs concurrently, reporting recommendations to the Domestic Policy Council. There are no explicit enforcement penalties for missed deadlines, but OMB — which controls budgets — is a co-author of both the assessment methods and the spending-equity study, giving it structural leverage over agency compliance.

Actions and deadlines

  • Agency heads consider suspending, revising, or rescinding actions taken under the revoked EO 13950, including contract terminationsWithin 60 days of signing
  • OMB Director delivers report to the President on best methods for agencies to assess equityWithin 6 months of signing
  • Each agency head submits equity assessment report to the Assistant to the President for Domestic Policy covering barriers, contracting access, needed policies, and civil rights office capacityWithin 200 days of signing
  • Each agency head consults with Domestic Policy Council and OMB to produce a plan addressing barriers identified in the equity assessmentWithin 1 year of signing
  • OMB Director identifies equity-promoting opportunities in the President's budget submission to CongressNo deadline specified
  • OMB Director studies and reports strategies for allocating federal resources to increase investment in underserved communitiesNo deadline specified
  • Interagency Working Group on Equitable Data provides recommendations on gaps in federal data collection and strategies to address themNo deadline specified

Agencies directed to act

Office of Management and BudgetDomestic Policy CouncilU.S. Digital ServiceDepartment of CommerceDepartment of the TreasuryCouncil of Economic Advisers

Authority and reach

Authorities cited

Article II

Constitutional grant of executive power to the President of the United States.

What this order changes

Revokes Executive Order 13950

Executive Order

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Executive Order 13985: Advancing Racial Equity and Support for Underserved Communities Through the Federal Government | EO Reporter