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Understanding Executive Orders and Their Impact on Grant Programs 

Executive orders are powerful tools used by the President of the United States to manage the federal government’s operations and enact policies without congressional approval. These directives can significantly affect a range of issues—from law enforcement to national security and public policy.  

However, while executive orders shape the way laws and programs are implemented, they do not create new laws. For grantees, understanding the implications of executive orders is essential, as they often influence the focus, priorities, and requirements of federal funding programs. For example, President Trump’s executive orders—such as those related to the Infrastructure Investment and Jobs Act (IIJA) and the Inflation Reduction Act (IRA)—have modified the implementation guidelines for key funding programs such as the Rebuilding American Infrastructure with Sustainability and Equity (RAISE)/Better Utilizing Investments to Leverage Development (BUILD) grant program. In this blog, we will explore how executive orders impact grant management, how they might alter program priorities, and what grantees can do to stay ahead during an administration change. 

How Do Executive Orders Work?

A presidential executive order is an official directive from the President of the United States that manages federal government operations. Executive orders allow the President to enact certain policies and procedures without congressional approval. These orders can significantly affect law enforcement, national security, and domestic policy. The authority for executive orders comes from the U.S. Constitution, specifically Article II, which grants the President executive power. Though executive orders do not create new laws, they often direct government agencies to take specific actions that can influence public policy. While executive orders are powerful tools for a sitting President, they are not without limits. Congress can override executive orders by passing new laws, and the courts can strike them down if they are found to be unconstitutional. Additionally, a President can reverse an executive order issued by a previous administration. 

On his first day in office, President Trump signed several Executive orders, including Initial Recissions of Harmful Executive Orders and Actions1. Notably in this Executive order is the revocation of:  

  • Executive Order 14052 of November 15, 2021 (Implementation of the Infrastructure Investment and Jobs Act).
  • Executive Order 14082 of September 12, 2022 (Implementation of the Energy and Infrastructure Provisions of the Inflation Reduction Act of 2022).

Both executive orders nullify former president Biden’s implementation guidance for the IIJA, IRA, and COVID-19 funding but do not nullify the programs all together. Congress set forth the programs for the IIJA, IRA, and COVID-19 funding in the passage of their respective bills. Some of these programs were established before the IIJA and were grouped together in order to renew funding in the legislation. One example is the RAISE grant program—previously called Transportation Investment Generating Economic Recovery (TIGER) and, as of Friday, January 24, 2025, is now referred to as the Better Utilizing Investments to Leverage Development (BUILD) grant program. The program was originally created in the American Recovery and Reinvestment Act (ARRA) of 2009 and has been transformed through various administrations. Each administration may impose specific policy guidelines through implementation guidance to focus on their specific areas of interest. The amendment4 to the FY 2025 RAISE Notice of Funding Opportunity (NOFO) originally published includes:  

  • Changes the program name from RAISE to BUILD  
  • Removes references to rescinded executive orders   
  • Clarifies that all grant agreements or contracts must include terms in compliance with Section 3(C)(iv) of EO Ending Illegal Discrimination and Restoring Merit-Based Opportunity  
  • Aligns the NOFO with new executive orders with updates to the merit criteria rating rubric 
  • Defines Historically Disadvantaged Communities using the same statutory definition for Areas of Persistent Poverty  
  • Specifies $150 million is available for award 

Understanding the impact of executive orders is crucial for grantees navigating the complexities of government-funded programs. While these orders can shape how programs are implemented, they do not alter the underlying legislative mandates. Stay informed regarding executive orders; implementation guidance; how they affect federal programs such as RAISE/BUILD; and funding opportunities under the IIJA, IRA, and COVID-19 relief. Grantees may find that while the program remains, its objectives, focus areas, or requirements will evolve under the new administration. By staying proactive and adaptable, grantees can ensure they align with current policy directions and thus maximize their opportunities for success. 

 

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