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Prohibits federal agencies, contractors, grantees, accrediting bodies, and certain advisory committees from maintaining DEI (diversity, equity, inclusion, accessibility) offices or funding/mandating DEI-related trainings and activities that the bill defines as prohibited. It requires rapid closure of many federal DEI offices, adds contract/grant terms barring use of federal funds for specified DEI functions, creates private lawsuits with statutory damages and attorneys’ fees for violations, and repeals or restricts multiple existing DEI authorities across federal statutes. The law directs the Office of Personnel Management and the Office of Management and Budget to revise guidance, forbids certain personnel actions tied to DEI participation, preserves historic EEO/ADA offices and some limited exceptions (including use of non‑Federal funds), and sets deadlines for agency closures (90 days) and regulatory/guidance revisions (180 days).
The bill eliminates federal funding and requirements for many DEI activities—protecting individuals from compelled trainings and reducing certain regulatory burdens and federal spending—while producing substantial job losses, weakening agencies' ability to detect and remedy discrimination, creating compliance disruption, and exposing governments and private entities to significant litigation risk.
Federal employees will not be required to attend DEI/critical-theory/sexual-orientation-or-gender-identity trainings and cannot be forced to assent to those trainings, protecting individual conscience and employment rights.
Taxpayers and federal budgets will see reduced spending and administrative overhead because agencies, grantees, and contractors must eliminate funded DEI offices and stop using federal funds for specified DEI trainings and positions.
Private and grant recipients may continue DEI work using non‑Federal funds and agencies will standardize grant terms about prohibited DEI expenditures, preserving some flexibility for privately funded programs.
Agencies, contractors, schools, and other defendants face extremely high litigation exposure—any person can sue and statutory damages of at least $1,000 per violation per day plus attorneys' fees could produce massive liability and invite nuisance litigation.
Federal DEI staff, contractors, and funded DEI positions at grantees (including chief diversity officers at institutions) are likely to lose jobs and funding, causing layoffs and disrupting recruitment/retention efforts aimed at workforce diversity.
Bans on DEI data dashboards, equity teams, surveys, and many trainings will reduce agencies' and institutions' capacity to measure and address systemic discrimination, weakening protections and supports for racial/ethnic minorities, women, and people with disabilities.
Introduced February 4, 2025 by Eric Stephen Schmitt · Last progress February 4, 2025