UPDATE: U.S. DOT Letter on Federal Assistance Requirements – July 2025
On July 2, 2025, the U.S. Department of Transportation (DOT) issued a letter to all recipients of federal financial assistance announcing that it will no longer enforce certain policy provisions incorporated into assistance agreements between January 20, 2021, and January 20, 2025.
As directed by recent Executive Orders, the DOT will cease enforcement of requirements related to climate change, greenhouse gas emissions, racial equity, gender identity, diversity, equity, inclusion, environmental justice, and the Justice40 Initiative, unless such requirements are based in existing statute or regulation. These provisions are now considered null and void, and recipients are released from related obligations effective immediately.
The DOT emphasized that this change does not impose new conditions but instead aligns its funding agreements with current administration policies and existing legal requirements.
Questions or clarification should be directed to your assigned DOT program representative.