Biden issued an executive order on Wednesday night to undo the review, which was issued in response to violent and destructive riots that took place in multiple cities.
Cities that were designated by the Department of Justice as anarchist included New York City, Portland and Seattle. The affected municipalities filed a lawsuit against the Trump administration over its attempts to withhold federal funding.
At the time, the Department of Justice said these cities failed to take "reasonable measures to counteract criminal activities."
It cited statistics that showed a 166% year over year increase in shootings in New York City for the month of August, 100 consecutive nights of chaotic protests in Portland and a 525% jump in person-related crime in Seattle’s "Capitol Hill Occupied Protest" (CHOP) zone.
Seattle city attorney Pete Holmes welcomed the Biden revocation, saying he was "glad to have this nonsense cleared from the decks."
Biden also revoked a 2018 order that called for agency heads across the government to review welfare programs — such as food stamps, Medicaid and housing aid — and strengthening work requirements for certain recipients.
The Associated Press contributed to this report.