For other versions of this document, see http://wikileaks.org/wiki/CRS-RL31030 ------------------------------------------------------------------------------ Order Code RL31030 CRS Report for Congress Received through the CRS Web Comparison of Proposed Charitable Choice Act of 2001 with Current Charitable Choice Law June 22, 2001 Vee Burke Specialist in Social Legislation Domestic Social Policy Division Congressional Research Service ~ The Library of Congress Comparison of Proposed Charitable Choice Act of 2001 with Current Charitable Choice Law Summary This report provides a side-by-side comparison (Table 1) of the charitable choice provisions of H.R. 7 with those of the 1996 welfare reform law (P.L. 104-193) and of later laws that extended charitable choice rules to the Community Services Block Grant Act (P.L. 105-285) and to substance abuse treatment and prevention services under the Public Health Service Act (P.L 106-310 and P.L. 106-554).1 Common Provisions. The Charitable Choice Act (Title II of H.R. 7) and the four existing charitable choice laws provide that participating religious organizations shall retain their independence from government, including control over the definition, development, practice, and expression of their religious beliefs. All prohibit government from requiring religious organizations to alter their form of internal governance, or to remove religious art, icons, scripture, or other symbols; all provide that the exemption of religious organizations under Section 702 of the Civil Rights Act regarding hiring and firing is not affected by their participation in, or receipt of funds from programs covered by charitable choice. With one exception (Community Services Block Grant Act) all five measures provide that if a beneficiary or applicant objects to the religious character of the organization providing help, an alternate and accessible provider must be made available. With the same exception, all measures forbid a religious organization from discriminating against a beneficiary or applicant on the basis of religion or religious belief. All charitable choice measures place limits on use of federal funds for sectarian activities. In general, they prohibit use of funds provided directly to a faith-based organization (by contract or grant) for sectarian worship, instruction, or proselytization. With one exception (the 1996 welfare law) all measures require religious organizations to segregate government funds into a separate account and stipulate that the government may audit only the government funds. Differing Provisions. Two of the laws (the 1996 welfare law and one of the substance abuse measures) prohibit discrimination by a faith-based provider against a beneficiary for refusal to actively participate in a religious practice -- prohibiting denial of services for this refusal. H.R. 7 does not contain this prohibition. H.R. 7 alone explicitly allows a faith-based provider, notwithstanding any other law, to require its employees to "adhere to its religious practices." H.R. 7 and the two substance abuse measures require the government to notify beneficiaries and applicants of their right to an alternate provider. The 1996 welfare reform law is the only measure to state that its charitable choice provisions do not preempt any provision of state law that prohibits or restricts spending of state funds in or by religious organizations. 1 The major substantive difference between P.L. 106-310 and P.L. 106-554 is that the latter requires states to accept training provided to personnel by religious organizations if the training is substantially equivalent to credit-eligible training provided by nonreligious organizations and if the organization has a record of successful drug treatment for the preceding 3 years. Contents Background . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 Major Arguments of Supporters . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 Major Arguments of Opponents . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 Title . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 Short Title . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 Purposes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Programs Covered . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 Inclusion of Religious Organizations as Nongovernmental Providers . . . . . . . . . 7 Requirement for Consistency with the First Amendment to the Constitution . . . . 8 Prohibition on Discrimination Against Religious Organizations . . . . . . . . . . . . . 9 Funds Not Construed to Be Aid to Religious Organization . . . . . . . . . . . . . . . . . 10 Funds Not Construed to Be Endorsement of Religion . . . . . . . . . . . . . . . . . . . . . 11 Religious Character and Independence . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 Employment Practices . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 Rights of Beneficiaries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 Nondiscrimination Against Beneficiaries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 Limitation on Use of Funds for Sectarian Activities . . . . . . . . . . . . . . . . . . . . . 20 Fiscal Accountability . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 Treatment of Intermediate Contractors (Nongovernmental Organizations Acting under Contract or Other Agreement with a Government Entity) . . 22 Compliance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23 Preemption of Other Law? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24 List of Tables Table 1. Comparison of Charitable Choice Act of 2001 with Current Charitable Choice Law . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 Comparison of Proposed Charitable Choice Act of 2001 with Current Charitable Choice Law Background Charitable choice is a set of provisions in law intended to allow religious organizations to provide federally funded services from specifically named programs on the same basis as any other nongovernmental provider without impairing the religious character of the organizations or the religious freedom of recipients. Charitable choice does not contain special funding for faith-based organizations and it applies only to programs designated by Congress. The 1996 welfare reform law (P.L. 104-193) put the first charitable choice language into federal law, applying it to the block grant program of Temporary Assistance for Needy Families (TANF).2 In 1998, Congress extended charitable choice rules to grants under the Community Services Block Grant Act (P.L. 105-285) and, in 2000, to grants for prevention and treatment of substance abuse under the Public Health Service Act (P.L. 106-310 and P.L. 106-554). The 2000 Republican platform proposed to apply charitable choice to all federal social service programs. In their 2000 platform, Democrats said they believed that faith-based programs should augment -- not replace -- government programs. H.R. 7 proposes to apply charitable choice rules, somewhat modified from those of the TANF law, to 11 program areas and activities. TANF's charitable choice rules apply to a wide range of activities, some of which may overlap with activities listed in H.R. 7. Sponsored by Representative Watts and introduced on March 29 as the Community Solutions Act of 2001, H.R. 7 was referred to the Committees on Ways and Means and the Judiciary. The measure embodies two major components of President Bush's faith-based initiative -- namely, tax incentives to expand private giving (Title I) and expansion of charitable choice. (Title III proposes a permanent program of Individual Development Accounts, financed with tax credits.) The H.R. 7 charitable choice proposal has resulted in several congressional hearings (the first ever conducted on charitable choice) and has aroused much controversy. As of June 25, the Charitable Choice Act had not been introduced in the Senate. 2 The 1996 law also applied charitable choice rules to food stamps, Medicaid, and Supplemental Security Income -- to the extent that they use contracts or vouchers. CRS-2 Major Arguments of Supporters ! To fund only secular programs discriminates against religious programs. It is just as inappropriate for government to favor non- religion as to promote one religion over another. ! Faith-based programs can attract large amounts of volunteer time; staff have a sense of mission that inspires those they serve; these organizations often help in ways that government cannot, providing love as well as services, guidance and friendship as well as a meal or training. ! Charitable choice has been carefully written to protect constitutional values. ! Charitable choice rules protect the religious character of faith-based providers. they specify that religious organizations shall retain control over the definition, development, practice, and expression of their religious beliefs. ! Charitable choice rules protect the religious liberty of beneficiaries; they require that if a recipient objects to the religious character of the provider, the government must provide an alternate and accessible provider. Major Arguments of Opponents ! Charitable choice may lead to unconstitutional use of government funds to promote a specific religious practice or belief. ! Since money is interchangeable, government funds given for a secular purpose could indirectly help to fund the organization's religious purposes, undermining governmental neutrality toward religion. ! Charitable choice rules would require government to decide what is a legitimate religion and what is not, what is preaching and what is not. ! Direct government grants to religious groups could make churches dependent on government, eroding their mission and tending to secularize them. ! Charitable choice promotes government-funded discrimination by allowing religious organizations that receive federal dollars for their services to hire and fire on the basis of religious beliefs. CRS-3 Table 1. Comparison of Charitable Choice Act of 2001 with Current Charitable Choice Law Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Title Provision of assistance Services provided by Religious organizations Nondiscrimination and Prevention and under government charitable, religious, or included as institutional safeguards treatment of substance programs by religious private organizations. nongovernmental for religious providers. abuse; services and community [Section 104] providers. provided through organizations. [Section 3305, as titled religious organizations. [Section 679, as titled above, added to Title Would enact a new above, was added by XIX of Public Health [Section 144 , Subtitle Section 1994A in Title Section 201 to the Service Act a new E, of H.R. 5662, added XXIV of the Revised Community Services Section 1955.] to Title V of Public Statutes. Block Grant Act.] Health Service Act a [Section 201] new Part G, entitled "services provided through religious organizations."] Short Title Charitable Choice Act of None None None None 2001. [Section 1994A(a)] CRS-4 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Purposes (1) To provide assistance To allow states to No statement of To prohibit To allow religious to needy individuals and contract with religious purpose. discrimination against organizations to be families in the most organizations (and to nongovernmental program participants effective and efficient allow religious organizations and on the same basis as manner; organizations to accept certain individuals on any other nonprofit (2) To prohibit certificates, vouchers, the basis of religion in private provider discrimination against or any other forms of the distribution of without impairing the religious organizations disbursement) under government funds to religious character of on the basis of religion in any covered program on provide substance the organizations and the administration and the same basis as any abuse services under without diminishing distribution of other nongovernmental this Title (XIX) and the religious freedom government assistance provider -- without Title V, and the receipt of program under covered programs; impairing the religious of services under these beneficiaries. [Section (3) To allow religious character of the titles; and to allow the 582(b)] organizations to assist in organizations, and organizations to accept the administration and without diminishing the the funds to provide distribution of assistance religious freedom of services without without impairing their beneficiaries. [Section impairing the religious religious character; and 104(b)] character of the (4) To protect the organizations or the religious freedom of religious freedom of those in need who are the individuals. eligible for government [Section 1955(a)] aid, including expanding the possibility of their choosing to receive services from a religious organization. [Section 1994A(b)] CRS-5 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Programs Covered A program using federal Temporary Assistance Any program carried Any program Discretionary and funds that carries out for Needy Families out by the federal providing substance formula grant activities that are: (TANF) and Welfare- government or by a abuse services under programs (Titles 5 and -- related to the to-Work grants. state or local Title 19 (formula block 19, respectively) prevention and treatment government under the grants) and Title 5 administered by the of juvenile delinquency Any other program Community Services (discretionary grants) Substance Abuse and and the improvement of modified or established Block Grant program. of the Public Health Mental Health Services the juvenile justice under Titles I or II of [Section 679(a)] Service Act. [Section Administration that system, including those P.L. 104-193 that 1955(a)(1)] award financial funded under the permits contracts with assistance to public or Juvenile Justice and organizations or permits private entities to carry Delinquency Prevention certificates, vouchers, out activities to prevent Act; or other forms of or treat substance -- related to prevention disbursement to be abuse. [Section 581] of crime, including provided to programs funded under beneficiaries, as a Title I of the Omnibus means of providing aid. Crime Control and Safe [Section 104 (a)(2)] Streets Act; -- under federal housing These programs are laws; food stamps, Medicaid, -- under Title I of the and Supplemental Workforce Investment Security Income (SSI) Act; -- to the extent that -- under the Older they are administered Americans Act; through contracts or -- under Child Care and vouchers with Development Block nongovernmental Grant (CCDBG) Acta agencies. They CRS-6 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 (see endnote for existing generally are law and regulations administered directly by governing religious public agencies, and providers of CCDBG federal law requires that funds); eligibility for Medicaid -- under the Community and food stamps be Development Block determined by a public Grant; official. Food stamps -- related to the and Medicaid allow intervention in and states to use private prevention of domestic organizations, including violence; religious ones, in -- under the Job Access providing services. and Reverse Commute grant program under the Federal Transit Act; and -- to assist students obtain equivalents of secondary school diplomas and activities relating to non-school- hour programs. Note: Activities carried out under federal programs providing education to children eligible to attend elementary or secondary schools are not covered -- unless they are provided under one of the above-listed CRS-7 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 authorities or are diploma-equivalent or non-school-hour programs. Section 1994A(c)(4)] Inclusion of Religious Organizations as Nongovernmental Providers For a covered program Authorizes states (1) to For a covered program A state that chooses to Notwithstanding any carried out by the federal administer and provide carried out by the use nongovernmental other provision of law, government, or by a state services under covered federal government, or organizations to a religious organization or local government with programs through by a state or local provide services under may receive financial federal funds, the contracts with government with federal a covered program assistance and be a government shall charitable, religious, or funds, the government shall consider religious provider of services consider religious private organizations, shall consider religious organizations on the under a covered organizations on the and (2) to provide organizations on the same basis as other program on the same same basis as other non- beneficiaries of covered same basis as other nongovernmental basis as any other governmental programs with nongovernmental entities, subject to the nonprofit private organizations, subject to certificates, vouchers, organizations, subject to provision immediately provider. [Section provision immediately or other forms of provision immediately below. [Section 582(a)] below. [Section disbursement below. [Section 679(a)] 1955(b)(2)] 1994A(c)(1)(A)] redeemable with charitable, religious, or private organizations. [Section 104(a)(1)] CRS-8 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Requirement for Consistency with the First Amendment to the Constitution The nondiscrimination If a state uses this The nondiscrimination The nondiscrimination The nondiscrimination provision above applies authority, religious provision above applies provision above provision above if the program is organizations are so long as the program applies so long as the applies as long as the implemented in a manner eligible, on the same is implemented in a programs are programs are consistent with the basis as any other manner consistent with implemented in a implemented Establishment and Free private organization, to the Establishment manner consistent with consistent with the Exercise Clauses of the be contractors, or to Clause of the first the Establishment Establishment and the first amendment to the accept certificates, amendment to the Clause of the first Free Exercise Clauses Constitution. vouchers, or other Constitution. [Section amendment to the of the first amendment [Section forms of disbursement 679(a)] Constitution. [Section to the Constitution. 1994A(c)(1)(A)] under a covered 1955(b)(2)] [Section 582(c)] program -- so long as the program is implemented consistent with the Establishment Clause of the first amendment to the Constitution. [Section104(c)] CRS-9 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Prohibition on Discrimination Against Religious Organizations Neither the federal Unless state law forbids Same as H.R. 7. Same as H.R. 7. Same as H.R. 7. government, nor a state or restricts spending of [Section 679(a)] [Section 1955(b)(2)] (Section 582 (c)(2)] or local government state funds by religious receiving funds under a bodies, neither the covered program may federal government nor discriminate against an a state receiving funds organization that under a covered provides assistance or program may applies to provide discriminate against an assistance under the organization that is or program, on the basis applies to be a that the organization has contractor or that a religious character. accepts certificates, [Section1994A(c)(1) vouchers, or other (B)] forms of disbursement, on the basis that the organization has a religious character. [Section 104(c)] CRS-10 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Funds Not Construed to Be Aid to Religious Organization Federal, state, or local No provision No provision No provision No provision government funds or other assistance received by a religious organization for the provision of services under this Act constitutes aid to needy individuals and families, the ultimate beneficiaries of the services, and not aid to the religious organization. [Section 1994A(c)(2)] CRS-11 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Funds Not Construed to Be Endorsement of Religion The receipt by a religious No provision No provision No provision No provision organization of federal, state, or local government funds or other assistance under this Act is not and should not be perceived as an endorsement by the government of religion or the organization's religious beliefs or practices. [Section 1994A(c)(3)] Religious Character and Independence Control over A religious organization A religious organization A religious organization A religious Any religious religious practices that provides assistance having a contract with a that provides assistance organization that organization that is a under a covered program covered program or under a covered provides services under program participant shall retain its autonomy which accepts program shall retain its a covered program shall retain its from federal, state, and certificates, vouchers, religious character and shall retain its independence from local governments, or other forms of control over the independence from federal, state, and local including its control over disbursement under a definition, development, federal, state, or local government, including the definition, covered program, practice, and expression governments, including its control over the development, practice, retains its independence of its religious beliefs. its control over the definition, and expression of its from federal, state, and [Section 679(b)(1)] definition, development, practice, religious beliefs. local governments, development, practice, and expression of its [Section 1994A(d)(1)] including its control and expression of its religious beliefs. CRS-12 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 over the definition, religious beliefs. [Section 582(d)(1)] development, practice, [Section 1955(c)(1)] and expression of its religious beliefs. [Section 104(d)(1)] Religious symbols Neither the federal Neither the federal Neither the federal Neither the federal nor Neither the federal government nor a state or government nor a state government nor a state a state or local government nor a state local government shall may require a religious may require a religious government shall shall require a religious require a religious organization to alter its organization to alter its require a religious organization to alter its organization to alter its form of internal form of internal organization to alter its form of internal form of internal governance, or to governance, except (for form of internal governance or remove governance; or to remove remove religious art, purposes of governance or to religious art, icons, religious art, icons, icons, scripture, or other administration of the remove religious art, scripture, or other scripture, or other symbols in order to be community services icons, scripture, or symbols. [Section symbols because they are eligible to contract to block grant program) as other symbols in order 582(d)(2)] religious, in order to be provide assistance or to provided in Section to be eligible to eligible to provide accept certificates, 676B; or to remove provide services under assistance under a vouchers, or other religious art, icons, any covered program. covered program. forms of disbursement scripture, or other [Section 1955(c)(2)] [Section 1994A(d)(2)] funded under a covered symbols in order to be program. [Section eligible to provide 104(d)(2)] services under a covered program. [Section 679(b)(2)] CRS-13 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Employment Practices Civil Rights The exemption of a A religious The exemption of a The exemption of a The exemption of a exemption religious organization organization's religious organization religious organization religious organization under Sections 702 or exemption under under Section 702 of the under Sections 702 or under Section 702 of 703(e)(2)b of the Civil Section 702 of the Civil Civil Rights Act 703(e)(2) regarding the Civil Rights Act Rights Act regarding Rights Act regarding regarding employment employment practices shall not be affected by employment practices is employment practices is practices shall not be shall not be affected by its participation in, or not affected by its not affected by its affected by its its provision of receipt of funds from, a provision of assistance participation in, or participation in, or services under, or covered program. under, or receipt of funds receipt of funds, from receipt of Community receipt of funds from [Section 582(e)] from, a covered program. covered programs. Block Grant Act funds. any covered program. [Section 1994A(e)(2)] [Section 104(f)] [Section 679(b)(3)] [Section 1955(d)(2)] Application of other Nothing in this Act alters Nothing in the No program or activity No provision Nothing in this section. laws forbidding the duty of a religious charitable choice funded under the shall be construed to discrimination organization to comply provisions of P.L. 104- Community Services modify or affect any with federal laws 193 is to be construed to Block Grant Act may other federal or state prohibiting preempt a provision of a discriminate against a law or regulation discrimination on the state constitution or law person on the basis of relating to basis of: race, color, or that prohibits or race, color, national discrimination in national origin (Title VI restricts spending of origin, or sex. employment. [Section of the Civil Rights Act); state funds in or by Programs are subject to 582(e)] sex, blindness, or visual religious organizations. rules against impairment (Title IX of [Section 104(k)] discrimination on the Note: Title 19 of the the Education basis of age or disability Public Health Service CRS-14 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Amendments of 1972); (Age Discrimination Act says that on disabilities (of otherwise Act, Section 504 of the grounds of religion, no qualified persons) Rehabilitation Act, and person shall be (Section 504 of the Title II of Americans excluded from, denied Rehabilitation Act); or with Disabilities Act). benefits of, or age (Age Discrimination [Section 678F(c)(1)] subjected to Act). [Section discrimination under 1994A(e)(3)] any program or activity receiving substance abuse formula grant funds. [Section 1947(a)(2) of Public Health Service Act.] Tenets and religious Notwithstanding any No provision No provision A religious No provision practices other provision of law, a organization that religious organization provides services under that provides assistance a covered substance under a covered program abuse program may may require that its require that its employees adhere to its employees adhere to religious practices. rules forbidding the use [Section 1994A(e)(1)] of drugs or alcohol. [Section 1955(d)(1)] Educational No provision No provision No provision No provision In determining whether requirements for personnel of a religious personnel of organization with a religious record of successful organizations drug treatment for the preceding 3 years have CRS-15 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 satisfied state or local requirements for education and training, a state or local government shall not discriminate against education and training provided to personnel by a religious organization, so long as it includes basic content substantially equivalent to the content of credit- eligible training provided by nonreligious organizations. [Section 584(b)] CRS-16 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Rights of Beneficiaries Right to alternative If a beneficiary or If a beneficiary of, No provision If a beneficiary or If a beneficiary or provider applicant has an applicant for, or a applicant has an applicant objects to the objection to the religious person who requests to objection to the religious character of a character of the apply for assistance religious character of provider, the faith- organization providing under a covered the organization based provider must assistance, the program has an providing services, the refer the person to appropriate objection to the appropriate services (provided by governmental entity must religious character of governmental entity the governmental unit provide, within a the organization or must provide, within a that administers the reasonable period of institution providing reasonable period of program) from an time, assistance from an assistance, the state in time, services from an alternative and accessible and alternate which the person alternative and accessible provider provider that is at least resides, must provide, accessible provider with a value at least equal in value to the aid within a reasonable with a value at least equal to that of that would have been period of time, equal to that of services that would received from the assistance from an services that would have been received religious organization. accessible and have been received from the religious [Section 1994A(f)(1) and alternative provider from the religious organization. The (3)] with a value at least organization. [Section faith-based equal to that of the 1955(e)(1)] organization must assistance that would notify the government have been received agency that administers from the religious the program about its organization. [Section referral. [Section 104(e)] 582(f)(1)] Before making the referral, the faith-based organization must CRS-17 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 consider any list that state or local government makes available of entities in the area that provide program services. The faith-based organization must ensure that the beneficiary makes contact with the alternative provider. [Section 582(f)(3)] CRS-18 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Notice of beneficiary The appropriate federal, No provision No provision The appropriate Program participants right to alternative state or local governmental entity (including faith-based provider governmental entity must must guarantee that organizations), public guarantee that notice of notice of beneficiary agencies that refer beneficiary rights to rights to service from persons to covered service from an an alternate provider is programs, and the alternative provider is given to beneficiaries governments that given to beneficiaries or or applicants for administer covered applicants for assistance assistance under a programs or are under a covered program. covered program. program participants [Section 1994A(f)(2) and [Section 1955(e)(2) must ensure that notice (3)] and (3)] of their rights to service from an alternative provider is given to beneficiaries or prospective beneficiaries. Section 582(f)(2) CRS-19 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Nondiscrimination Against Beneficiaries A religious organization Except as otherwise No provision A religious A religious providing assistance provided in law, a organization providing organization shall not through a grant or religious organization services through a discriminate against a contract under a covered shall not discriminate grant, contract, or program beneficiary or program shall not against a person in cooperative agreement prospective beneficiary discriminate, in carrying giving assistance under under any covered on the basis of religion out the program, against any covered program on program shall not or religious belief in a beneficiary or applicant the basis of religion, a discriminate against a providing services or on the basis of religion, a religious belief, or beneficiary or engaging in outreach religious belief, or refusal to actively applicant on the basis activities under refusal to hold a religious participate in a religious of religion, a religious covered programs. belief. [Section practice. [Section belief, a refusal to hold [Section 582(f)(4)] 1994A(g)(1)] 104(g)] a religious belief, or a refusal to actively A religious organization participate in a providing assistance religious practice. through a voucher, [Section 1955(f)] certificate, or other form of indirect disbursement under a covered program, shall not discriminate, in carrying out the program, against a beneficiary or applicant on the basis of religion, religious belief, or refusal to hold a religious belief. [Section 1994A(g)(2)] CRS-20 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Limitation on Use of Funds for Sectarian Activities No funds provided No funds provided No funds provided No funds provided No funds provided through a grant or directly to institutions directly to a religious through a grant or under a covered contract to a religious or organizations to organization to provide contract to a religious program shall be spent organization for provide services and assistance under any organization to provide for sectarian worship, assistance under a administer programs covered program shall services under any instruction, or covered program may be may be spent for be spent for sectarian covered program shall proselytization. spent for sectarian sectarian worship, worship, instruction, or be spent for sectarian [Section 583] worship, instruction, or instruction, or proselytization. [Section worship, instruction, or proselytization. proselytization. [Section 679(c)] proselytization. [Section1994A(i)] 104(j)] [Section 1955(i)] [Note: This prohibition Each recipient does not apply in cases organization must file a of assistance provided signed certificate to individuals through providing assurance that certificates, vouchers, it will comply with the or other forms of above rule. [Section disbursement 1994A(i)] redeemable at charitable, religious, or private organizations.] CRS-21 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Fiscal Accountability Effect on State and If a state or local No provision No provision Same as H.R. 7. No provision Local Funds government contributes [Section 1955(j)] funds to carry out a covered program, the state or local government may segregate its funds from the federal funds provided for the program or may commingle its funds with federal funds. If funds are commingled, the provisions of this Act apply in the same manner, and to the same extent, as they apply to federal funds. [Section 1994A(j)] CRS-22 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Treatment of Intermediate Contractors (Nongovernmental Organizations Acting under Contract or Other Agreement with a Government Entity) If an intermediate No provision If an eligible entity or If an intermediate No provision contractor is given other organization organization is given authority to select (referred to here as an authority to select nongovernmental "intermediate nongovernmental organizations as organization"), is given organizations to subcontractors to provide authority under a provide services under assistance under a contract or agreement to any covered program, covered program, the select nongovernmental the intermediate intermediate contractor organizations to provide organization shall have has the same duties under assistance under the same duties under this Act as the covered programs, the this section as the government when intermediate government but shall selecting or otherwise organization shall have retain all other rights of dealing with the same duties under a nongovernmental subcontractors; but, if the this section as the organization under this intermediate contractor government. section. [Section is a religious [Section679(e)] 1955(k)] organization, it retains all other rights of a religious organization under this Act. [Section 1994A(k)] CRS-23 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Compliance A party alleging that a Any party which seeks No provision Any party that seeks to A religious state or local government to enforce its rights enforce its rights under organization may has violated its rights under the Charitable this section may assert obtain review of under this Act may bring Choice provisions of a civil action for agency action in a civil action in state P.L. 104-193 may assert injunctive relief federal court in court against the official a civil action for exclusively in an accordance with or government agency injunctive relief appropriate federal or Chapter 7 of Title 5, that has allegedly exclusively in an state court against the United States Code. committed the violation. appropriate state court entity, agency, or [Section 582(h)] A party alleging that the against the entity or official that allegedly federal government has agency that allegedly commits the violation. violated its rights under commits the violation. [Section 1955(h)] this Act may bring a civil [Section 104(i)] action for appropriate relief in an appropriate federal district court against the official or government agency that allegedly committed the violation. [Section1994A(l)] CRS-24 Community Renewal Community Services Children's Health Act Tax Relief Act (H.R. Charitable Choice Act P.L. 104-193 Block Grant Act (Title (Title XXXIII of 5662), enacted as part Title II of H.R. 7 (Welfare Reform) II of P.L. 105-285) P.L. 106-310) of P.L. 106-554 Preemption of Other Law? No provision Nothing in the No provision No provision No provision charitable choice provisions of P.L. 104- 193 is to be construed to preempt a provision of a state constitution or law that prohibits or restricts spending of state funds in or by religious organizations. [Section 104(k)] a Under the CCDBG, religious providers may receive funding on the same basis as nonsectarian providers. However, religious providers may use funds for construction (generally disallowed for other providers) to the extent needed to bring facilities into compliance with health and safety standards. Use of CCBDG funds for religious activities, including sectarian worship or instruction, generally is prohibited; but this prohibition does not apply to funds received by providers in the form of child care certificates, if the sectarian services are freely chosen by the parent. Providers may not discriminate in admissions against a child on the basis of religion, with the exceptions of family child care providers and providers who receive CCDBG funds in the form of child care certificates. However, sectarian providers may reserve unsubsidized slots for children whose families regularly participate in their organization's activities, unless 80% or more of their operating budget comes from federal or state funds, including child care certificates. In their employment practices, providers may not discriminate on the basis of religion if the employee's primary duties are to give child care. However, in considering two or more qualified applicants, sectarian providers may give preference to a person who regularly participates in the organization `s activities. Also, sectarian organizations may require employees to adhere to their religious tenets or teaching and to rules forbidding the use of drugs or alcohol, unless 80% or more of their operating budget comes from federal or state funds. See CRS Report RL30785, The Child Care and Development Block Grant: Background and Funding, by Alice Butler and Melinda Gish. b It appears that provisions of Section 703(e)(2) of the Civil Rights Act are subsumed by Section 702. ------------------------------------------------------------------------------ For other versions of this document, see http://wikileaks.org/wiki/CRS-RL31030