The city of Sioux Falls is backing off a plan that would have banned discriminating hiring new employees on the basis of gender identity.

On Friday, the city attorney's office announced it will ask the City Council for permission to drop an amendment to a city ordinance on hiring police. The amendment would have added "a specific prohibition against discriminating on the basis of gender identity," according to the city's attorney office.

The city considered adding the amendment after a presidential executive order and a series of federal regulations have been issued that require certain recipients of federal funding, including the City of Sioux Falls, to specifically include sexual orientation and gender identity as protected under hiring policies. One of the more recent actions was a directive from the U.S. Education and Justice departments ordering schools to allow transgender students access to school locker rooms and bathrooms on the basis of gender identity.

While the city has laws in place prohibiting discrimination on sexual orientation, there are no specific protections based on gender identity. Lawyers for the city originally proposed the amendment to make sure the city was in line with federal guidelines.

Earlier this week, South Dakota Attorney General Marty Jackley announced the state would join others in a lawsuit challenging the federal executive order for schools. Part of that lawsuit will seek clarification on the federal government's ability to withhold federal funding for education based on Title IX, which is the basis behind federal efforts to expand protection based on gender identity.

City Attorney Dave Pfeifle says the city has spoke with Jackley, and based on that conversation, will hold off on pursuing the gender identity policy until the state's lawsuit is resolved.

"In speaking with (Jackley), we believe litigation may also help resolve this issue on withholding of any federal funding in other areas of education beyond education for local governments across South Dakota," Pfeifle said.

City officials say they do not plan to comment on the policy due to the upcoming lawsuit.