Advancing Racial Equity and Support for Underserved Communities

Jan 25, 2021
Jan 25, 2021

Summary

Makes the whole government work to give fair chances to all people, especially those who have been left out in the past because of their race or background.

What problem does this solve?

Many people, especially people of color, have been denied equal opportunity because of unfair laws and systems, keeping them from success. This order requires all parts of the government to find and fix these unfair barriers, ensuring everyone has a chance to do well.

What does this order do?

Requires equity assessments in all federal agencies
Orders every federal agency to review its programs and policies to find and remove barriers that prevent underserved communities from accessing benefits and opportunities.
Revokes previous executive orders
Cancels Executive Order 13950, which restricted diversity training, and Executive Order 13958, which created the President's Advisory 1776 Commission.
Establishes an equitable data working group
Creates a new group to improve how the government collects data on race, gender, and disability to better measure and advance equity.
Embeds equity in the federal budget
Directs the Office of Management and Budget (OMB) to find ways to use the federal budget to increase investment in underserved communities.
Defines 'equity' and 'underserved communities'
Defines equity as fair and just treatment for all, specifically naming groups like people of color, LGBTQ+ persons, people with disabilities, and rural residents.

Who does this affect?

  • Underserved communities (including people of color, LGBTQ+ persons, and persons with disabilities)
  • Federal government agencies
  • Community-based and civil rights organizations

What is the real world impact?

Promotes fairness in government
Aims to make sure all government programs and resources are shared fairly with everyone, especially groups that have been historically left behind. This helps create more opportunities for all Americans to succeed.
Boosts the national economy
Suggests that closing racial gaps in wages, housing, and education could add $5 trillion to the U.S. economy. By promoting equity, the government hopes to unlock this economic potential for everyone's benefit.
Reverses previous administration's policies
Directly cancels previous executive orders that limited diversity training (EO 13950) and created the '1776 Commission' (EO 13958). This signals a major shift in the government's approach to race and history.
Could be seen as divisive or an overreach
Some may argue that a 'whole-of-government' approach to equity could lead to policies that favor certain groups over others. Critics might question the methods used to define and measure fairness.

When does this start?

This order takes effect immediately and sets several deadlines for federal agencies over the next year.
Agency Action Review
Within 60 days (by March 21, 2021), agencies must consider suspending or revising actions taken under the now-revoked Executive Order 13950.
OMB Report on Equity Assessment Methods
Within 6 months (by July 20, 2021), the Office of Management and Budget must report to the President on the best ways for agencies to assess equity.
Agency Equity Assessment Reports
Within 200 days (by August 8, 2021), each agency must report its findings on systemic barriers in its programs.
Agency Plans to Address Barriers
Within 1 year (by January 20, 2022), each agency must create a plan to address the barriers to equal participation identified in their equity assessments.