However, on January 20, 2025, Executive Order 14151, titled “Ending Radical and Wasteful Government DEI Programs and Preferencing,” was signed. This executive order (EO) directs federal agencies to discontinue Diversity, Equity, Inclusion, and Accessibility (DEIA) programs and rescind related policies, including those established by EO 13985. EO 14151 signals a significant policy shift impacting how nonprofits and grant writers engage with federal funding and programming.

While this change presents challenges, it also encourages nonprofits to explore diverse funding sources and refine their strategies for sustainability. By adapting to evolving priorities, organizations can find new opportunities to advance their missions in innovative ways.

Below, we explore what EO 14151 means for nonprofits and grant writers navigating this evolving landscape.

What Does This Mean for Nonprofits and Grant Writers?

Federal Funding Changes

• Focus:
  The federal government may reduce or eliminate grants and contracts tied specifically to DEIA initiatives, signaling a need for nonprofits to build financial resilience through diversified funding streams.

   

• Action Step:
  Evaluate your current funding portfolio to identify reliance on federal DEIA grants and proactively pursue opportunities from private foundations, local governments, and corporate funders whose priorities may be more aligned with your mission.

Program and Proposal Reassessment

• Focus:
  Organizations should strategically review and adjust the goals and structures of their programs and proposals to better fit merit-based federal funding priorities emphasizing measurable outcomes and broad community impact.
  • • • Merit-Based Funding: Funding decisions made based on measurable outcomes, effectiveness, and alignment with government priorities rather than specific ideological frameworks.
        
• Action Step:
  Conduct a comprehensive program audit to identify which aspects need reframing or restructuring and update proposal narratives to emphasize impact, scalability, and compliance with evolving federal guidelines.

Compliance and Reporting

• Focus:
  Ensuring grant proposals meet federal application requirements by carefully reviewing language and documentation to avoid terminology or components no longer supported under EO 14151.

   

• Action Step:
  Create and maintain an internal guide of compliant terminology and proposal language that aligns with federal restrictions but still effectively communicates your mission and program benefits.
  

The Importance of Speaking the Language of Funders

It’s essential to tailor your proposal language to fit the priorities of each funding source:

• • Federal grants: Strictly avoid restricted DEIA terminology and follow all compliance requirements.

     

  • Private and local funders: Use authentic, mission-driven language that resonates with these funders’ equity-focused values and inclusive processes.

If uncertain, check funder communications or reach out for clarification. This approach is a strategic way to maintain funding eligibility across diverse sources without compromising organizational integrity.

Practical Strategies to Adapt and Thrive

Though EO 14151 presents challenges, nonprofits and grant writers can proactively:

• • Review funding sources to identify federal grants affected by new policies.

     

  • Expand funding networks to include private foundations and local opportunities.

     

  • Communicate transparently with stakeholders to foster trust during transitions.

     

  • Stay informed about evolving federal policies and seek expert advice as needed.

Conclusion: Looking Ahead

Federal policy changes can feel uncertain but also provide an opportunity to innovate and build resilience. By adapting funding strategies, aligning programs with new priorities, and maintaining clear communication, nonprofits can continue advancing equity and inclusion in their communities. 

* A Brief Note on EO 14151 and Earlier Equity Orders: EO 14151 rescinds or redirects previous equity-focused executive orders like EO 13985 and EO 14091, reflecting a shift in federal priorities. Understanding this helps nonprofits strategically navigate funding and program decisions in an evolving landscape.