ESG Executive Orders Under the Biden Administration

On April 21, 2023, President Biden issued an executive order on Revitalizing Our Nation’s Commitment to Environmental Justice for All (Executive Order 14096). The Executive Order emphasizes (1) the importance of building an equitable, inclusive, and sustainable economy capable of facilitating an equitable transition to a clean energy future, as well as (2) meaningful community engagement and collaboration to promote sustainable, resilient communities. The Executive Order requires that each agency submit an Environmental Justice Strategic Plan to the Chair of CEQ and that the plan be evaluated through an Environmental Justice Assessment. Pursuant to this Executive Order, the Director of the Office of Science and Technology Policy will establish an Environmental Justice Subcommittee and the President will appoint a Federal Chief Environmental Justice Officer to lead the White House Office of Environmental Justice.

On December 8, 2021, President Biden signed Executive Order 140057 to “lead by example in order to achieve a carbon pollution-free electricity sector by 2035 and net-zero emissions economy-wide by no later than 2050.” The order’s key provisions include, inter alia:

• Using the federal government’s procurement power to achieve, among other things:

o 100% carbon pollution-free electricity by 2030;

o 100% zero-emission vehicle acquisitions by 2035;

o a net zero emissions building portfolio by 2045; and

o a 65% reduction in scope 1 and 2 emissions by 2030 (compared to 2008 levels).

• Requiring the heads of all federal agencies to propose targets to meet the above goals.

• Requiring the Government Services Administration (GSA) to track GHG emissions and mitigation efforts by major U.S. government suppliers.

• Directing agencies to incorporate environmental justice considerations into their sustainability and climate adaption programs.

• Reestablishing the Office of the Federal Chief Sustainability Officer and designating Chief Sustainability Officers at each federal agency.

On May 20, 2021, President Biden issued Executive Order 14030 to, among other things, advance climate-related financial risk disclosures and help achieve the target of a net-zero emission economy by 2050. The order’s key provisions include:

• Directing the National Economic Council and National Climate Advisor (in coordination with the Director of Office of Management and Budget (OMB) and the Treasury Secretary) to develop a government-wide strategy regarding: (1) climate-related financial risks to the federal government, (2) the financing needed to achieve net-zero emissions, and (3) ways that public and private investments can meet these financing needs.

• Directing the Treasury Secretary to work with the Financial Stability Oversight Council (FSOC) members to: (1) assess climate-related financial risks to financial stability, (2) share climate-related financial risk data and information, (3) issue a report on FSOC members’ efforts to integrated consideration of climate-related financial risk in their policies and programs, and (4) consider climate-related issues or gaps in the regulation of insurers.

• Directing the Secretary of Labor to assess ways to protect retirement savings from climate-related financial risks and to consider rescinding Trump Administration rules restricting ERISA fiduciaries from considering ESG when making investment and proxy voting decisions.

• Directing various agencies to consider requiring major federal suppliers to disclose greenhouse gas (GHG) emissions and incorporating GHG costs into procurement decisions.

• Directing the Departments of Housing and Urban Development, Agriculture, and Veterans Affairs to consider integrating climate related financial risks into underwriting standards and loan terms/conditions.

• Directing OMB (among others) to incorporate climate related financial risks into the President’s budget.

On February 16, 2023, President Biden signed Executive Order 14091 (Further Advancing Racial Equity and Support for Underserved Communities), significantly expanding federal equity mandates by requiring agencies to systematically embed racial and socioeconomic equity into government operations. This order went beyond previous directives by explicitly integrating equity analysis into budgeting, procurement, and grantmaking while broadening the focus to include intersectional "underserved communities." Its key provisions include, inter alia:

• Equity in Federal Spending: Mandates that agencies assess and address inequities in grants, contracts, and procurement to ensure fair access for minority-owned, women-owned, and disadvantaged businesses.

• Budget Equity Pilot: Directs the Office of Management and Budget (OMB) to develop tools for evaluating how budget decisions impact underserved communities.

• Data-Driven Equity: Requires agencies to improve demographic data collection and disaggregation (e.g., by race, disability, ZIP code) to identify disparities in program delivery.

• Focus on Underserved Groups: Expands the definition of equity priorities to include rural communities, disabled individuals, LGBTQI+ persons, and others facing systemic barriers.

• Accountability Measures: Establishes agency Equity Teams and annual public progress reports to the White House.

This order reinforced Biden’s Day One EO 13985 and EO 14035 (DEIA), marking the most comprehensive federal equity framework to date.

On June 15, 2022, President Biden signed an Executive Order on Advancing Equality for LGBTQI+ Individuals (EO 14075), reinforcing federal efforts to combat discrimination and promote equity for LGBTQI+ Americans. The order responds to a wave of state-level anti-LGBTQI+ legislation, particularly those targeting transgender youth and healthcare access. Its key provisions include, inter alia:

• Combatting Discriminatory Laws: Directs federal agencies (e.g., HHS, DOJ, Education) to oppose state laws that restrict LGBTQI+ rights, including bans on gender-affirming care and participation in school sports.

• Protecting LGBTQI+ Youth: Shields children and families from conversion therapy, bullying, and discriminatory practices in foster care, adoption, and education.

• Expanding Federal Resources: Ensures LGBTQI+ individuals have equitable access to critical services (housing, healthcare, mental health support, and homelessness programs).

• Improving Data Collection: Mandates better federal data gathering on sexual orientation and gender identity (SOGI) to address disparities in healthcare, employment, and safety.

• Global LGBTQI+ Rights: Tasks the State Department and USAID with advancing international protections against LGBTQI+ discrimination and violence.

• Inclusive Federal Policies: Requires federal workplaces and programs to adopt LGBTQI+-inclusive practices, including pronoun usage and gender-neutral facilities.

The order builds on prior actions, including Biden’s Day One EO (13988) banning federal anti-LGBTQI+ discrimination, and underscores the administration’s broader equity agenda.

On June 25, 2021, President Biden signed Executive Order 14035, the first to explicitly mandate comprehensive Diversity, Equity, Inclusion, and Accessibility (DEIA) plans across all federal agencies—notably elevating accessibility as a core pillar alongside DEI. The order aims to cultivate a federal workforce that reflects the nation’s diversity and removes systemic barriers to opportunity. Its key provisions include, inter alia:

• Agency DEIA Strategic Plans: Requires all federal agencies to develop and implement data-driven DEIA action plans, with annual progress reports to the White House.

• Workforce Equity Initiatives: Directs agencies to address pay gaps, promote equitable hiring/promotions, and eliminate bias in workplace policies (e.g., performance reviews, mentorship programs).

• Accessibility as a Priority: Expands accommodations for employees with disabilities, including modernizing IT systems, improving physical accessibility, and training supervisors on disability inclusion.

• Training and Accountability: Mandates anti-harassment training and ties DEIA goals to agency leadership performance metrics.

• Data Transparency: Orders the collection of disaggregated demographic data (race, gender, disability status, etc.) to identify and rectify disparities.

• Pathways for Underserved Communities: Broadens recruitment pipelines through partnerships with HBCUs, minority-serving institutions, and disability organizations.

The order builds on Biden’s Day One EO (13985) on racial equity and marks the first time accessibility was codified as a federal workforce mandate alongside DEI principles.