Federal Environmental Justice Compliance: The 180-Degree Change

The new administration took over four months ago and has implemented significant changes throughout the federal government, including policies affecting prior federal environmental justice (EJ) initiatives. These changes will likely result in reduced regulatory burdens and faster permitting but will apply only at the federal level, leaving the existing EJ laws at the state level fully enforceable.  

Environmental Justice – Historic Executive Action

Since 1994, when President Bill Clinton signed the landmark Executive Order (EO) 12898, Federal Actions To Address Environmental Justice in Minority Populations and Low-Income Populations, EJ initiatives have been a part of federal policy. President Biden’s EJ goals (outlined in EO 14008, Tackling the Climate Crisis at Home and Abroad), however, were more aggressive and specific than prior administrations when he issued them in January 2021. Biden’s EO outlined the framework for a whole-federal-government approach while also engaging the global community in combatting climate change. See Crowell summary. In April 2023, Biden issued EO 14096 Revitalizing Our Nation’s Commitment to Environmental Justice for All, providing agencies with specific guidance for implementing EJ-related initiatives while simultaneously enforcing their statutory mandates.  In October 2023, DOJ published its first ever Comprehensive Environmental Justice Enforcement Strategy Annual Report. See DOJ press release. See also Crowell summary.

Recent Trump Administration Actions

In January 2025, Trump revoked not only President Clinton’s original EJ order and Biden’s sweeping EJ policies, but also other significant directives affecting federal equity and diversity plans. See Trump EOs 14173 and 14148, Ending Illegal Discrimination and Restoring Merit-Based Opportunity and Initial Rescissions of Harmful Executive Orders and Actions.

As part of this significant shift, the new Administration then ordered federal agencies to close their EJ offices, essentially ending most existing federal EJ-related compliance programs and replacing them with new initiatives aimed to “evenhandedly enforce all federal civil and criminal laws, including environmental laws.” See February 5, 2025, DOJ memo (rescinding all Attorney General and Associate Attorney General EJ-enforcement strategy memoranda as well as corresponding Biden EJ-related guidance from the U.S. Attorneys’ Offices); see also March 12, 2025, EPA press release (announcing the closure of the Biden administration’s EJ and Diversity, Equity, and Inclusion offices of EPA).

On February 25, 2025, the Council on Environmental Quality (CEQ) rescinded its regulations under the National Environmental Policy Act (NEPA) upon issuing an interim final rule. The recission, however, does not completely eliminate NEPA’s statutory provisions, but instead provides guidance for individual agencies to conduct reviews of NEPA procedures to simplify and expedite the permitting process.

For the first time since 1994, there are no mandates regarding EJ as part of federal government action. This year’s shift in the federal government’s attitude to EJ is dramatic, albeit not unexpected, and future changes are likely.

The Effect on Business

Does that mean that federal EJ enforcement initiatives are gone? The answer is yes, to a degree. These new EOs will result in less regulatory compliance of EJ policies at the federal level. But many states will continue to enforce their EJ laws as a counter-enforcement response to the federal rollback. The primary concern regarding state enforcement is the increased uncertainty a business faces when operating in different states with EJ regulations that vary in strength, scope, and impact. Current federal EJ mandates could possibly directly conflict with certain state EJ mandates as states’ laws are updated.

Key Takeaway

The current administration’s approach towards environmental justice – or EJ – has dramatically shifted away from the Biden administration. The federal regulatory burden will be significantly reduced while state enforcement will continue. Businesses, therefore, should consider risk assessments of EJ-related requirements in each state in which the businesses operate to avoid any state permitting delays or denials. Businesses are advised to closely monitor both federal and state developments as the new administration’s policies evolve and as the states respond.

You can learn more about EJ and what we offer by visiting our updated EJ page at this link.