The US Department of Justice has announced that the Minnesota Department of Health (MDH) voluntarily suspended a race-based grant scheme after the DOJ opened a compliance review under the Civil Rights Act. The DOJ said the state also repealed the statute governing the programme, framing the outcome as a reaffirmation that recipients of federal funds cannot allocate money on the basis of race, colour or national origin. The move forms part of a broader federal push against diversity, equity and inclusion (DEI) initiatives and race-conscious programmes.

The programme in question, the Capacity Strengthening Initiative, was described by the DOJ as limiting eligible grantees to organisations working with "people of color", giving "strategic consideration" and priority to proposals from organisations "led by populations of color", and prioritising a higher proportion of grants for "Black or African American" and "nonwhite Latino(a)" communities. A 2023 summary said the grant was designed to support metro and rural community and faith-based organisations serving people of colour, American Indians, LGBTQIA+ people and those living with disabilities. Assistant Attorney General Harmeet K. Dhillon of the Civil Rights Division said the language violated Title VI of the Civil Rights Act, which bars recipients of federal financial assistance from discriminating on such grounds.