Religious Pre-Schools Seek Exemption From Non-Discrimination Laws To Participate In "Build Back Better" Funding

New York Times yesterday reported that Catholic and Orthodox Jewish groups are lobbying hard for changes in President Biden's proposed Build Back Better Act. They seek to have drafters remove language which would apply nondiscrimination provisions to religiously affiliated prekindergarten and child care facilities. The bill as now drafted treats facilities that would accept child care vouchers issued to families as direct recipients of federal funding:

[Present provisions] could bar federal funds from going to programs that refused to hire a gay employee, gave preference to applicants of their faith or failed to renovate their facilities to accommodate disabled students....

The United States Conference of Catholic Bishops and the Orthodox Union ... have made the case to members of Congress that they could not accept money to run preschool or child care programs unless the bill expressly exempts them from anti-discrimination laws, such as Title IX, which protects against discrimination by sex, and the Americans With Disabilities Act, which they argue could require costly upgrades to old buildings, including houses of worship.

Bipartisan Infrastructure Bill Provides Grants For Non-Profits To Increase Energy Efficiency

H.R.3684, the bipartisan Infrastructure Investment and Jobs Act, which was passed by Congress last week and now awaits President Biden's signature includes a provision (Sec. 40542) that permits Section 501(c)(3) non-profit organizations to apply for grants of up to $200,000 for materials to make their buildings more energy-efficient. The grants are available for buildings "operated and owned" by a non-profit. Among the criteria to be considered in awarding a grant is "the financial need of the applicant." The bill authorizes a total of $50 million for the program through the year 2026. The Forward reports on these provisions.

Massive Tax and Spending Bill Passed By Congress Includes Issues of Interest on Religion

As reported by the Washington Post, the House and Senate yesterday evening both passed a wide-ranging 5,593-page government funding and pandemic economic relief bill after Congressional leaders finally reached a compromise on the legislation. The bill now goes to the President for his signature.

Here is the full text of the bill, titled Consolidated Appropriations Act, 2021. Demonstrating the vast array of topics included in the bill are two unrelated provisions of particular interest to those who follow law and religion issues. The first makes it clear that churches and religious organizations can be eligible to participate in the Paycheck Protection Program Loans program:

SEC. 311. PAYCHECK PROTECTION PROGRAM SECOND DRAW LOANS ...

c) ELIGIBLE CHURCHES AND RELIGIOUS ORGANIZATIONS

(1) SENSE OF CONGRESS.—It is the sense of Congress that the interim final rule of the Administration entitled ‘‘Business Loan Program Temporary Changes; Paycheck Protection Program’’ (85 Fed. 11 Reg. 20817 (April 15, 2020)) properly clarified the eligibility of churches and religious organizations for loans made under paragraph (36) of section 7(a) of the Small Business Act (15 U.S.C. 636(a)).

(2) APPLICABILITY OF PROHIBITION.—The prohibition on eligibility established by section 120.110(k) of title 13, Code of Federal Regulations, or any successor regulation, shall not apply to a loan under paragraph (36) of section 7(a) of the Small Business Act (15 U.S.C. 636(a)).

The second provision of interest is Subtitle E, Tibetan Policy and Support Act of 2020, which among other things focuses on religious persecution in Tibet. It provides in part:

SEC. 342. STATEMENT OF POLICY REGARDING THE SUCCESSION OR REINCARNATION OF THE DALAI LAMA....

(b) STATEMENT OF POLICY.—It is the policy of the United States that—

(1) decisions regarding the selection, education, and veneration of Tibetan Buddhist religious leaders are exclusively spiritual matters that should be made by the appropriate religious authorities within the Tibetan Buddhist tradition and in the context of the will of practitioners of Tibetan Buddhism;

(2) the wishes of the 14th Dalai Lama, including any written instructions, should play a key role in the selection, education, and veneration of a future 15th Dalai Lama; and

(3) interference by the Government of the People’s Republic of China or any other government in the process of recognizing a successor or reincarnation of the 14th Dalai Lama and any future Dalai Lamas would represent a clear abuse of the right to religious freedom of Tibetan Buddhists and the Tibetan people.

(c) HOLDING CHINESE OFFICIALS RESPONSIBLE FOR RELIGIOUS FREEDOM ABUSES TARGETING TIBETAN BUDDHISTS.—It is the policy of the United States to take all appropriate measures to hold accountable senior officials of the Government of the People’s Republic of China or the Chinese Communist Party who directly interfere with the identification and installation of the future 15th Dalai Lama of Tibetan Buddhism, successor to the 14th Dalai Lama, including by—

(1) imposing sanctions pursuant to the Global Magnitsky Human Rights Accountability Act (22 U.S.C. 2656 note); and

(2) prohibiting admission to the United States under section 212(a)(2)(G) of the Immigration and Nationality Act (8 U.S.C. 1182(a)(2)(G)).

HHS Issues Final Rule Changes For Title X Family Planning Programs

In a 312-page release (full text) issued on Friday, the Department of Health and Human Services issued final rules revising regulation of its Title X family planning program. The new rules are scheduled to take effect 60 days after their publication in the Federal Register.  According to the release:

This rule ... will ensure compliance with, and enhance implementation of, the statutory requirement that none of the funds appropriated for Title X may be used in programs where abortion is a method of family planning, as well as related statutory requirements.....  The rule also clarifies that provision of family planning services under Title X may be available under the good reason exception at the discretion of the project director for women denied coverage for contraceptives if the sponsor of their health plan exercises a religious or moral exemption recognized by the Department.

The new rules, according to Politico:

could effectively cut off tens of millions of federal family planning dollars to Planned Parenthood and steer some of that funding towards anti-abortion, faith-based care providers....

It would ... bar Planned Parenthood and other health care providers that accept the funding from making any abortion referrals or performing abortions — regardless of the funding source — at the same facilities where they provide Title X services like birth control, mammograms and cancer screenings.

One of the rule changes eliminates the requirement that Title X programs provide abortion referral if requested.  The release says that this requirement conflicted with statutes protecting conscience in health care. [Thanks to Scott Mange for the lead.]

Michigan Appeals Court OK's State Funding For Incidental Costs of Private Schools [UPDATED]

Detroit News and Michigan Radio report on a 2-1 decision yesterday by the Michigan Court of Appeals that allows the state to reimburse private and parochial schools for the cost of complying with state health and safety mandates that are incidental to teaching and providing educational services. At issue is whether a budget appropriation of $2.5 million to reimburse private schools for the cost of fire drills, health requirements and safety inspections violates the state constitution's ban on use of state funds for private schools. Michigan's Blaine Amendment, inserted in the state constitution in 1970, bars public funds for "any private, denominational or other nonpublic, pre-elementary, elementary, or secondary school". (See prior related posting.)

Yesterday's majority opinion from Judges Murphy and Letica ruled:

The Legislature may allocate public funds to reimburse nonpublic schools for actual costs incurred in complying with state health, safety, and welfare laws. But only if the action or performance that must be undertaken in order to comply with a health, safety, or welfare mandate (1) is, at most, merely incidental to teaching and providing educational services to private school students (non-instructional in nature), (2) does not constitute a primary function or element necessary for a nonpublic school to exist, operate, and survive, and (3) does not involve or result in excessive religious entanglement.

Judge Gleicher dissenting wrote in part:

The public money directly and indirectly assists nonpublic schools in keeping their doors open and meeting their payroll, It is unconstitutional for that simple reason.

When the full text of the opinion becomes available online, this post will be updated with links to it.

UPDATE: Here is the majority opinion and the dissent in Council of Organizations and Others for Education About Parochiaid v. State of Michigan, (MI App., Oct. 16, 2018).

6th Circuit: Ohio's Cutoff of Non-Abortion Funding To Planned Parenthood Is Unconstitutional

In Planned Parenthood of Greater Ohio, Inc. v. Himes, (6th Cir., April 18, 2018), the U.S. 6th Circuit Court of Appeals held unconstitutional a 2016 Ohio law aimed at Planned Parenthood.  ORC §3701.34 prohibits the Ohio Department of Health from channeling funds it receives through six non-abortion-related federal health programs to any entity that performs or promotes nontherapeutic abortions, or which is affiliated with any entity that performs or promotes such abortions.  The appeals court held that the district court correctly applied the unconstitutional conditions doctrine in enjoining enforcement of the law, saying that "the unconstitutional-conditions doctrine is not limited to First Amendment rights."  According to the court, the question posed in this case is

whether Ohio may require a provider to surrender the right to provide safe and lawful abortions on its own “time and dime” as a condition of participating in government programs that have nothing to do with abortion. 

The court concluded:

Although Ohio women do not have a right to the programs, they do have a right not to have their access to important health services curtailed because their major abortion providers opted to protect women’s abortion rights rather than yield to unconstitutional conditions. 

 The court also held that the law imposes unconstitutional conditions on speech by prohibiting funds from going to any entity that promotes abortion:

§3701.034 affects programs that have nothing to do with abortion or family planning, and seeks to impose restrictions on recipients’ speech outside the six government programs the statute funds.

Columbus Dispatch, reporting on the decision, pointed out that two of the three judges handing down the ruling were Republican appointees. It also reports that the state Attorney General's office is reviewing the decision to determine whether it should seek en banc review or appeal to the U.S. Supreme Court. [Thanks to Tom Rutledge and Scott Mange for the lead.]

In Michigan, Battle Over Appropriations For State Mandates On Private Schools, Continues

Detroit News yesterday reported on developments in Michigan in the battle over legislative appropriations to fund state mandates imposed on private and religious schools-- requirements such as fire drills and criminal background checks.  Last year, the state Court of Claims issued a preliminary injunction barring payment of the $2.5 million that the legislature had appropriated.  The Court's decision was based on Michigan's Blaine Amendment (inserted in the state constitution in 1970) that bars public funds for "any private, denominational or other nonpublic, pre-elementary, elementary, or secondary school". (See prior posting.)  On March 12, Immaculate Heart of Mary Catholic school in Grand Rapids, along with parents and state legislators, filed a counter-suit in the Court of Claims contending that the Blaine Amendment violates the free exercise, free speech and equal protection clauses of the federal constitution.  According to the Detroit News:

The Grand Rapids school’s lawsuit argues the state’s so-called Blaine Amendment was developed in a furor of “anti-Catholic sentiment” and should be disregarded in the debate over the $2.5 million state allocation for non-public schools.

The enjoined funding has been included by the legislature, over the opposition of Gov. Rick Snyder, in the proposed 2019 budget.

HHS Seeks Comments on Faith-Based Participation In Programs

The Department of Health and Human Services yesterday published a Release (full text)  in the Federal Register seeking comment on removal of barriers that may exist to participation in HHS programs and grants for faith-based organizations.  The Release says in part:

HHS seeks input from the public and relevant stakeholders on potential changes that could be made to existing HHS regulations or guidance to ensure that faith-based organizations and their religious beliefs and moral convictions are properly accommodated, that faith based organizations are not required to act contrary to their religious beliefs or moral convictions (as a recipient, subrecipient, contractor, sub-contractor, or otherwise) or are otherwise not restricted, excluded, substantially burdened, discriminated against, or disproportionately disadvantaged in HHS-conducted or funded programs or activities (including those administered by state and local governments) because of their religious character, identity, beliefs, or moral convictions

HHS also seeks input on whether faith-based organizations could face potential obstacles to participation in state or locally funded programs, or restrictions on their privately funded activities, because of HHS requirements imposed on state and local governments as a condition of receiving HHS funding.

Catholic Philly reports on the Release.

British Lottery Approves Grants To Deal with Bats In Churches

With the U.S. Supreme Court still scheduled this term to hear the Trinity Lutheran case on government grants to religious institutions, this story from Britain presents an interesting comparative law example.  Britain's Heritage Lottery Fund distributes a share of the income from the National Lottery to projects for preserving and making accessible Britain's heritage. Yesterday the Fund announced a large 5-year grant for a "Bats In Churches" project, explaining in part:

The UK has internationally important populations of bats which are at risk due to decreases in precious woodland habitats. Churches offer alternative sanctuaries for maternity roosts and hibernation. However, bats in churches can cause serious problems as bat droppings can restrict activities, damage historic artifacts and put a strain on the volunteers who look after the buildings.

Thanks to input from skilled professionals who will work with volunteers, solutions to these problems will be shared with hundreds of churches.

[Thanks to Law & Religion UK for the lead.]

New Religion In Iceland Seeks To End Tax Support of Churches

According to yesterday's BBC News, in Iceland in recent weeks more than 1,000 people have registered as members of a new religious denomination, Zuism.  The relatively new religion bases its teachings on ancient Sumerian beliefs.  However its real goal is to end Iceland's parish fees-- a portion of each citizen's income tax that is allocated to the church with which the taxpayer is affiliated.  The new group also wants the government to end record keeping of citizens' religious affiliations.  The Zuist organization promises to rebate to its members any parish fees that are allocated to it. Tax authorities say any rebates will be subject to income tax.

State Taxpayers May Not Intervene In Religious Theme Park's Suit Against State Officials

In Ark Encounter, LLC v. Stewart, (ED KY, Oct. 30, 2015), a Kentucky federal district court refused to permit four Kentucky taxpayers to intervene as defendants in a lawsuit by promoters of a Noah's Ark theme park who are suing Kentucky officials for refusing to grant the park sales tax rebate incentives designed to promote tourism.  The promoters plan to build a full-size replica of Noah's Ark which they say will attract hundreds of thousands of visitors. The state countered that the project has evolved into a project to promote a literal reading of the Biblical book of Genesis. The promoters say their exclusion amounts to viewpoint-based discrimination. (See prior posting.)

The intervenors are taxpayers who strongly oppose use of tax funds to promote a religious ministry and wish to enforce provisions of the Kentucky constitution that bar use of funds for that purpose. However, the district court was unconvinced, saying:

the Court is deeply concerned that too permissive a standard for intervention would allow any Kentucky taxpayer to intervene in nearly any suit involving the administration of the state’s tax laws.

The court went on to find:

The proposed intervenors have not identified how the Commonwealth’s interest in upholding the Kentucky Constitution differs from theirs such that the Commonwealth cannot represent their interests in the constitutional use of Kentucky residents’ tax dollars....

The court however did permit the proposed intervenors instead to file an amicus memorandum setting forth their arguments.

Luxembourg Revises Support of Religious Communities

Article 106 of the Luxembourg Constitution provides:

The salaries and pensions of ministers of religion shall be borne by the State and regulated by the law

Earlier this week, the government of Luxembourg signed an agreement with the country's faith groups to reallocate and modify the current government funding of religious communities. For the first time funding will be extended to the Muslim community, while funding to the Catholic Church will be severely cut. Over 70% of Luxembourg's population is Catholic. As reported by Law & Religion UK:

The stipends of all those within the faith groups who are currently paid by the state will continue; but those appointed in future will have to be supported by their respective religious communities. There will continue to be some Government subsidy for salaries of those engaged in counselling. The state subsidies currently received by the Roman Catholic Church will be severely reduced; and the agreement also foresees that the Roman Catholic seminary in Weimershof will become an interfaith learning centre, while the Church’s properties will be put into what Luxemburger Wort describes as a “public fund” – presumably something along the lines of a separate charitable trust. In addition, Roman Catholic confessional education in schools is set to be replaced with an ethics and morals course, including units on world religions.

Also the various political parties have agreed that the Constitution should be amended to provide a declaration of separation of church and state.

In Reversal, Kentucky Denies Tax Incentives To Noah's Ark Theme Park

The Louisville Courier-Journal reported yesterday that Kentucky's Tourism, Arts and Heritage Cabinet has now turned down a request by a proposed Noah's Ark theme park for $18 million in sales tax rebate incentives, despite earlier preliminary approval of the request. The state says that Ark Encounter has changed it position on hiring and now intends to discriminate in hiring on the basis of religion. The state also says that the park has evolved from a tourist attraction into a project to promote a literal reading of the Biblical book of Genesis. The state's Tourism Secretary said:

State tourism tax incentives cannot be used to fund religious indoctrination or otherwise be used to advance religion.

Attorneys for Ark Encounter say that federal and state law allow it, as a religious institution, to hire on the basis of religion, and that refusing to allow it to participate in tax incentives amounts to unconstitutional viewpoint discrimination. They say they will have no choice but to sue. (See prior related posting.)

New Mexico Court Upholds Furnishing Instructional Materials To Private and Religious Schools

In Moses v. Skandera, (NM App., Oct. 26, 2014), a New Mexico appellate court upheld New Mexico's Instructional Materials Law which provides for the state purchase of books and instructional materials for students in public and private schools, including religious schools.  The court rejected claims that the law violated various provisions of the New Mexico Constitution, including Art. XII, Sec. 3 which prohibits funds appropriated for educational purposes from being used to support any sectarian, denominational or private school. Becket Fund, in a press release, called the decision "a blow to anti-religious Blaine Amendments found in many State constitutions."  AP reports on the decision.

Massachusetts Judge OK's State Funds To Restore Historic Church Windows

On Martha's Vineyard in Massachusetts yesterday, a state trial court judge denied a preliminary injunction, refusing to block the use of state Community Preservation Act funds to restore the stained glass windows at the historic Trinity Methodist Church.  The Vineyard Gazette reports that the court found the plaintiffs had failed to show a likelihood of success on the merits of their claim that the expenditure would violate the federal Establishment Clause, as well as the provision in the  Massachusetts constitution that bars the use of public money for any private religious or charitable undertaking.