Federal Agencies Must Dedicate 20% of Goals to Equity Under New Government Act

The Equity in Government Act is a major shake-up for how federal agencies plan and measure their success. Simply put, this bill mandates that every major federal agency—from the Department of Transportation to the Department of Health—must now bake fairness and equity into their core mission. Specifically, when agencies write their strategic and performance plans, they must dedicate at least one goal, or 20% of their total goals (whichever is greater), to improving how they deliver services to people and places that have been historically underserved.

The 20% Rule: Making Equity a Mandate

This isn't just a suggestion; it’s a hard requirement written into the planning sections of federal law (SEC. 2). For the average person, this means that the services they rely on—like access to small business loans, healthcare resources, or infrastructure projects—must now be intentionally directed toward closing existing gaps. Imagine a Department of Agriculture goal: instead of just boosting overall farm production, 20% of their focus must now be on making sure historically excluded farmers, like those in remote tribal lands or low-income rural areas, get access to the same resources and funding as everyone else. The bill also explicitly broadens the definition of "State" to include federally recognized Indian Tribes, ensuring they are directly counted in this effort.

Who Gets a Seat at the Table?

To make sure agencies aren't just guessing, the bill mandates serious outside consultation. Agencies must now seek input from non-profits, researchers, local governments, and advocacy groups when setting these equity goals (SEC. 2). This is a big deal for community organizations that often see the problems on the ground but rarely get a formal seat at the planning table. Furthermore, the bill creates Agency Equity Advisory Teams of at least 10 high-level officials within every agency, including the Chief Financial Officer and Chief Data Officer, to ensure equity is a concern for the entire leadership team, not just a single office (SEC. 3).

Data Needs to Be Fair, Too

One of the most significant changes involves data. The bill rewrites the rules for the Chief Data Officer Council, the group that sets data policy across the government. It shifts the focus from simply collecting and using data to equitable collection, equitable use, and equitable access (SEC. 4). This means agencies can’t just collect data that only represents certain populations; they have to actively work to ensure their data accurately reflects the diversity of the country. To enforce this, the bill creates a new Equitable Data Working Group inside the Council, whose job is to guide agencies on how to collect and use data fairly.

The Real-World Friction Points

While the intent is clearly beneficial—forcing the government to prioritize fairness—implementing this will be a heavy lift for federal agencies. They now have to dedicate significant time and resources to creating these new advisory teams, meeting the 20% goal requirement, and consulting with numerous outside groups. There’s also the challenge of defining who exactly counts as an "underserved community." The bill defines them as groups or geographic areas "historically been shut out from full participation in economic, social, and civic life," which is broad. Agencies will have to figure out how to interpret and apply this definition consistently, which could lead to some initial confusion or disagreement about where to focus limited resources. Ultimately, this bill is a major structural shift, moving equity from a nice-to-have suggestion to a mandatory, measurable part of the federal government’s job description.