This is deliberately misleading. Civil Servants were subjected to a civil service exam, not an IQ test. And the exams were brought back starting in 2012. It is true that the Carter administration agreed to abolish it in 1981 after several discrimination cases. Under the Obama Administration, the OPM began to introduce an improved merit exam called USAHire (this is the one that was in test beginning in 2012.)
It’s interesting and telling that the authors would deliberately call it an IQ test when it isn’t, then point out that minorities were failing it. This is thinly veiled racism. They made a false statement about what kind of test it was, so that they could make an argument that minorities (must) have lower IQs, for no other reason but to be racist.
Full contextual analysis of Section 1.3: Central Personnel Agencies: The Bureaucracy here.