Atlanta’s Hartsfield-Jackson International Airport has forfeited at least $37.5 million in federal funds after refusing to comply with an executive order banning diversity, equity, and inclusion (DEI) programs.

According to the Atlanta Journal-Constitution (AJT), the Federal Aviation Administration (FAA) required the airport to certify that it does not “operate any programs promoting diversity, equity, and inclusion (DEI) initiatives that violate any applicable Federal anti-discrimination laws.” That condition reflects a signed January order, which prohibits DEI programs in organizations that do business with or receive money from the federal government.

City officials declined the terms on July 29. As a result, the FAA withheld $57 million, though federal authorities said $19 million could be restored in the next budget year if Atlanta agrees to the new language. The lost money was intended for projects such as repaving taxiways and renovating restrooms.

The AJT reports that the policy could force Atlanta to alter its long-standing requirement that 25% of airport contracts go to minority-owned businesses and 10% to women-owned firms. That program dates back to Mayor Maynard Jackson, who insisted minority contractors benefit from a major airport expansion in the 1970s. The initiative has since been credited with supporting the growth of Black-owned businesses and strengthening Atlanta’s reputation as a hub for Black economic advancement.

Other cities, including New York, Chicago, San Francisco, Boston, and Minneapolis, have filed suit to block the federal DEI ban. A judge has temporarily halted the policy for those governments, but not for others, such as Atlanta.

Mayor Andre Dickens’ spokesperson, Michael Smith, said, “The city is currently evaluating all options to ensure alignment with our long-held values, local policy, and federal law and we are confident that the airport will be well-positioned to receive federal funds in the future.”