Feature Story - January 2011
Revisions Made to Faith-Based Program Funding
The President's nine-page executive order reflects numerous recommendations made several months ago by the panel.
President Obama recently signed an executive order aimed at improving transparency and clarification of rules for religious groups that receive federal grants under the White House Office of Faith-Based and Neighborhood Partnerships.
The office was established by a directive issued in January, 2001, by then President Bush shortly after he assumed office. It was originally called the White House Office of Faith-Based and Community Initiatives.
President Obama previously renamed the office and set up an advisory panel. The Advisory Council is comprised of more than two dozen religious and secular leaders from different backgrounds who are appointed to a one-year term.
They are spelled out in Section 2 of the directive and include the following:
"The Nation's social service capacity will benefit if all eligible organizations, including faith-based and other neighborhood organizations, are able to compete on an equal footing for federal financial assistance used to support social service programs.
No organization should be discriminated against on the basis of religion or religious belief in the administration or distribution of federal financial assistance under social service programs.
All organizations that receive federal financial assistance under social service programs should be prohibited from discriminating against beneficiaries or prospective beneficiaries of the social service programs on the basis of religion or religious belief. Accordingly, organizations, in providing services supported in whole or in part with federal financial assistance, and in their outreach activities related to such services, should not be allowed to discriminate against current or prospective program beneficiaries on the basis of religion, a religious belief, a refusal to hold a religious belief, or a refusal to attend or participate in a religious practice.
The federal government must implement federal programs in accordance with the Establishment Clause and the Free Exercise Clause of the First Amendment to the United States Constitution, as well as other applicable law, and must monitor and enforce standards regarding the relationship between religion and government in ways that avoid excessive entanglement between religious bodies and governmental entities.
Organizations that engage in explicitly religious activities (including activities that involve overt religious content such as worship, religious instruction, or proselytization) must perform such activities and offer such services outside of programs that are supported with direct federal financial assistance (including through prime awards or sub-awards), separately in time or location from any such programs or services supported with direct federal financial assistance, and participation in any such explicitly religious activities must be voluntary for the beneficiaries of the social service program supported with such federal financial assistance.
Faith-based organizations should be eligible to compete for federal financial assistance used to support social service programs and to participate fully in the social service programs supported with federal financial assistance without impairing their independence, autonomy, expression outside the programs in question, or religious character. Accordingly, a faith-based organization that applies for, or participates in, a social service program supported with federal financial assistance may retain its independence and may continue to carry out its mission, including the definition, development, practice, and expression of its religious beliefs, provided that it does not use direct federal financial assistance that it receives (including through a prime award or sub-award) to support or engage in any explicitly religious activities (including activities that involve overt religious content such as worship, religious instruction, or proselytization), or in any other manner prohibited by law. Among other things, faith-based organizations that receive federal financial assistance may use their facilities to provide social services supported with federal financial assistance, without removing or altering religious art, icons, scriptures, or other symbols from these facilities. In addition, a faith-based organization that applies for, or participates in, a social service program supported with federal financial assistance may retain religious terms in its name, select its board members on a religious basis, and include religious references in its organization's mission statements and other chartering or governing documents.
Referral to an Alternative Provider. If a beneficiary or prospective beneficiary of a social service program supported by federal financial assistance objects to the religious character of an organization that provides services under the program, that organization shall, within a reasonable time after the date of the objection, refer the beneficiary to an alternative provider.
Decisions about awards of federal financial assistance must be free from political interference or even the appearance of such interference and must be made on the basis of merit, not on the basis of the religious affiliation of a recipient organization or lack thereof."
The new rules were applauded by many in the faith community, including Advisory Council member, Rabbi David Saperstein, director of the Religious Action Center of Reform Judaism, who said they will "set the faith-based initiative on far firmer constitutional ground, and give much broader protections to both religious institutions and the beneficiaries than they've had so far."
At the same time, Saperstein said, "It's putting more of an onus on the religious institutions to be careful in implementing the restrictions that come with the funding."
Another Advisory Council member, the Rev. Larry Snyder, president of Catholic Charities USA, welcomed the executive order.
"This affirmation should lead us to a larger conversation about the need to work together to reform the tattered safety net system.
In the face of questioning about the role of faith-based organizations in our society, implementation of the recommendations are critical to our ability to continue to provide services across the human services spectrum.
In this time of national hardship, we must continue to push for reforms that open doors and break down barriers for those that we serve. More reform is needed within our system to continue to improve our nation's ability to alleviate the struggles endured by the historic numbers of Americans living in poverty today, and prevent future generations of Americans from following in their footsteps," Snyder said.
The National Association of Evangelicals, in a statement, said it was "pleased to see the executive order's affirmation of the religious rights of both recipients of services and faith-based providers of services."
NAE Director of Government Affairs, Galen Carey, continued, "Faith-based social service organizations are deeply rooted in our communities and often serve our most vulnerable citizens of all religions and none.
The government is right to partner with faith-based organizations that have expertise in solving community problems, such as hunger, poverty, homelessness and drug addiction.
We welcome the President's order, which builds on policies and good practices developed over three administrations of both political parties," Carey said. Interfaith Alliance President, the Rev. Dr. C. Welton Gaddy, said, "I am thankful for many of the changes implemented by the amended executive order. A good step has been taken, but there are many more elements needing attention and action."
Gaddy referred to the point that the executive order does not address controversial questions of whether grant recipients can hire and fire, based on religion. Administration officials have said those questions will be considered on a case-by-case basis by the Justice Department.
Gaddy continued, "Much greater emphasis is given to the importance of religious freedom concerns, though the all-important issue of civil rights protections to guarantee no employment discrimination remains unaddressed."
Gaddy's sentiments were echoed by J. Brent Walker, executive director of the Baptist Joint Committee, and a member of the Advisory Council.
"This admittedly divisive issue cannot be kicked down the road forever. The President missed an opportunity on this point. It's simply wrong for the government to subsidize religious discrimination," Walker said.
Americans United for Separation of Church and State, which has expressed concerns about the faith-based office since its inception, said, the executive order "does some good things, but ignores religion-based job bias in federally funded programs."
Americans United Executive Director, the Rev. Barry Lynn, said, "I am particularly frustrated that President Obama still has done nothing to ban hiring bias by publicly funded religious charities. That's the 800-pound gorilla in the room. No American should be denied a government-funded job because he or she holds the ‘wrong' views about religion.
Taxpayer money should never be used to underwrite religion or religious bias. That's a fundamental constitutional principle, and it needs to be observed," Lynn said.
Since the White House's faith-based office was formed one decade ago this month, it has overseen the allocation of hundreds of millions of dollars in federal grant money to religious organizations that provide an array of social services.
On a related note, a recent analysis by POLITICO found that at least $140 million dollars from the $787 billion American Recovery and Reinvestment Act, has gone to faith-based groups.

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