DOT warns states could lose federal funding over DEI policies

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The U.S. Transportation Secretary said on April 24 that states could lose transportation funding if they fail to comply with immigration enforcement rules and end diversity, equity and inclusion (DEI) policies.

Transportation Secretary Sean Duffy said in a reminder to all recipients of federal transportation funding that recipients must comply with federal laws, and that failure to do so could lead to enforcement actions.

“Federal grants come with a clear obligation to adhere to federal laws,” Duffy said. “It shouldn’t be controversial – enforce our immigration rules, end anti-American DEI policies, and protect free speech. These values reflect the priorities of the American people, and I will take action to ensure compliance.”

The letter said recipients have entered into a legally enforceable agreement with the United States Government and that they are obligated to comply with all federal laws and regulations. The letter said states much cooperate generally with federal immigration authorities, as well as the U.S. Department of Homeland Security when it came to enforcement of immigration law. Additionally, the letter said any policy or program that is premised on a prohibited classification, such as “diversity, equity and inclusion (DEI)” violates federal law.

Failure to adhere to those laws could “jeopardize (their) continued receipt of federal financial assistance from DOT and could lead to a loss of federal funding from DOT.”

U.S. Rep. Rick Larsen (D-WA), ranking member of the House Committee on Transportation and Infrastructure, said the letter injects “chaos” into the infrastructure sector.

“Decisions about local transportation projects should be made by local communities,” Larsen said. “This latest missive from the Trump Administration injects more unnecessary chaos into infrastructure projects underway all around the country—the exact opposite of the long-term certainty these projects need to be successfully and efficiently completed. Culture wars have no place in transportation policy. Secretary Duffy should reverse course and allow projects around the country to be completed without ideological interference.”