SAM #04c19b788d96442dbd46433cafd2c652

DOT Notice of Intent to Implement Executive Order 14398 on DEI Discrimination by Federal Contractors

This notice from the Department of Transportation (DOT) outlines upcoming changes to federal contracting policy in response to Executive Order 14398: - DOT will prohibit contracts with vendors engaging in racially discriminatory DEI (Diversity, Equity, and Inclusion) activities - A new clause, as directed by the FAR Council, will be added to all new solicitations and contracts above the micro-purchase threshold - Applies to commercial products and services where delivery or performance occurs in the United States - DOT will update its existing contract portfolio to incorporate these requirements - Existing contracts will be modified to comply - No specific products, services, vendors, or OEMs are identified - Notice serves as a compliance advisory for current and prospective DOT contractors

Policy Implementation Details: - Contracting Officers must ensure inclusion of the new clause in relevant contracts - Contractors should review their DEI practices for compliance

Scope: - Applies to all DOT contracts above the micro-purchase threshold for commercial products and services performed in the U.S. - No direct procurement or award is announced in this notice

Description

Notice of Intent for the Department of Transportation (DOT) to Implement Executive Order 14398 – Addressing DEI Discrimination by Federal Contractors THIS IS NOT A REQUEST FOR PROPOSAL

Consistent with Administration priorities and applicable law, the Department of Transportation (DOT) hereby provides notice of its intent to take immediate action to implement Executive Order (E.O.) 14398, Addressing DEI Discrimination by Federal Contractors (March 26, 2026).

E.O. 14398 establishes that Federal agencies shall not do business with contractors that engage in racially discriminatory diversity, equity, and inclusion (DEI) activities.

On April 20, 2026, the Federal Acquisition Regulatory (FAR) Council issued model deviation text to implement E.O. 14398, directing agencies to update their Revolutionary FAR Overhaul (RFO) class deviations for FAR Parts 9, 12, 22, and 52. In alignment with this direction, DOT issued FAR Class Deviation 2026-24 on April 24, 2026, implementing the required changes pending formal FAR rulemaking.

Effective immediately, Contracting Officers shall insert the required E.O. 14398 clause in all new solicitations and resulting contracts valued above the micro-purchase threshold, including those for commercial products and commercial services, where the place of delivery or performance is in the United States.

DOT is concurrently updating its existing contract portfolio to incorporate the requirements of E.O. 14398. Contracting Officers shall make every effort to bilaterally modify existing contracts no later than July 24, 2026.

DOT is implementing E.O. 14398 as a matter of policy and compliance. Contractors seeking to compete for, or continue performing, DOT contracts should ensure alignment with E.O. 14398 and associated requirements.

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