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Welfare Re-Authorization Fails in the Senate 04/05/2004
The Senate failed to pass the reauthorization of the 1996 Welfare Reform bill last week. Regardless of the bill’s noted importance, members of the Senate could not agree on many issues within the bill. Read More

Contrary to Bush's Belief: Faith-based Organizations are Not Better Social Service Providers 11/17/2003
The first academic study comparing the effectiveness of faith-based and secular providers of social services was released this month. It showed in one area – job training – secular groups were more effective than faith-based groups. But the research notes that broad conclusions can not be reached yet. Read More

Comments Filed on Proposed Charitable Choice Rules for Veterans Administration 11/03/2003
On Oct. 30, OMB Watch filed comments on proposed rules for religious organizations that receive grants under the Homeless Providers Grant and Per Diem Program administered by the Department of Veterans Affairs. The comments object to rule changes that would allow religious discrimination in hiring for federally funded positions and permit religious content in service programs. The comments also called for stronger accountability standards. Click here to read the full text of the comments.

OMB Watch Comments on Proposed Charitable Choice Regulations for the Department of Veterans Affairs 10/31/2003
Read the text of comments to the Department of Veterans Affairs regarding regulations funding religious organizations under the VA Homeless Provider and Per Diem Program. Read More

Workforce Investment Act Passes through Senate Committee Without Religious Discrimination Provision 10/06/2003
Senate Committee ignores the House's version of the Workforce Investment Act and passes its own version. Read More

Six Agencies Act on Faith-Based Regulations 10/06/2003
In late September the Bush administration announced final regulations implementing faith-based grant rules that Congress could not even pass. For example, the rules place the burden of objecting to the religious nature of a service provider on the person in need, who must ask for an alternative provider. The regulations do not clearly define "inherently religious" activities that cannot be paid for with federal funds in grant programs. However, services paid for with vouchers or certificates can contain religious content. The rules also sanction discrimination based on religion in hiring for federally funded jobs. The rules apply to welfare, substance abuse and housing programs and take effect on Oct. 30. Similar new regulations were proposed by four agencies. Read More

House Debates Religious Hiring Discrimination for Faith-Based Grantees 06/30/2003
Should religious organizations that receive federal funds for public social service programs be allowed to use religious criteria in hiring staff to carry out those programs? This controversial issue has appeared in several bills in the House of Representatives since being dropped from the CARE Act, passed by the Senate in the spring. On June 25th, the 62nd anniversary of President Franklin Roosevelt’s groundbreaking Executive Order banning hiring discrimination by defense contractors, Rep. Bobby Scott (D-VA) introduced H.R. 2605, a bill that would overturn Section 4 of President Bush’s December 2002 Executive Order exempting religious groups from the non-discrimination requirement. The Scott bill has 25 co-sponsors. Read More

OMB Watch Statement on Discrimination in Hiring with Federal Funds 06/29/2003
OMB Watch joined with civil rights and religious organizations to support Rep. Bobby Scott's (D-VA) proposed legislation overturning a December 2002 Executive Order of President Bush authorizing religious discrimination by faith-based organizations in hiring for federally funded positions. Here is our statement: Read More

Study on Effectiveness of Faith-Based Services Shows Little Difference 06/02/2003
Ever since President Bush announced his faith-based initiative in January 2001, the administration has claimed faith-based programs are more effective than secular programs, but most of the evidence has been anecdotal. That has now changed, with publication of a study by Indiana University and Purdue University comparing results of faith-based and secular job training programs. Read More

Senate Passes CARE Act 95-5 04/09/2003
WHITE HOUSE SAYS IT OPPOSES FUNDS FOR SOCIAL SERVICES BLOCK GRANT

The Senate passed the Charity Aid Relief and Empowerment Act of 2003 on April 9, 2003, acting to increase charitable giving for the first time in two decades. The amended version of the bill did not include the "equal treatment" provisions on grant rules for faith-based organizations. In addition to the giving incentives it includes authorization and funding for the Compassion Capital Fund, and a $1.3 billion two-year increase in funding for programs under the Social Services Block Grant. House Republicans have agreed not to push for the "equal treatment" provisions when they consider the bill. (These issues are being considered in separate legislation.) Here’s what is in the bill: Read More

Faith-Based Grant Rules Debate Shifts to House 04/07/2003
Now that the Senate has agreed to proceed with the CARE Act without the "equal treatment" provisions addressing government grant rules for faith-based charities, the House of Representatives is currently taking up the issue in bills addressing national service and job training. Both houses are expected to consider these issues in depth when welfare reform programs are reauthorized later this year. Read More

Senate Republicans Drop Faith-Based Provisions of CARE 04/01/2003

OMB Watch has written to Senate leaders supporting passage of the modified CARE Act. See the full text of the letter.

On March 27 Senator Rick Santorum (R-PA) announced that Republican Senators have agreed to drop the portion of the Charity Aid Recovery and Empowerment Act (CARE) aimed at making it easier for religious organizations to get government grants. The remainder of the bill addresses tax incentives for charitable giving, simplifies the rules for charity lobbying and restores funding for Title XX of the Social Service Block Grant. Santorum said House Republicans have agreed to a scaled back bill. This means the CARE Act is likely to go forward in the Senate soon, and that issues relating to grant rules for religious organizations will be debated in reauthorization legislation, such as Temporary Assistance to Needy Families, or appropriations of specific programs. Read More

Faith-Based Initiative Update 03/24/2003
The House of Representatives is continuing to move forward with its faith-based agenda despite the fact that the CARE Act is stalled in the Senate amid controversy over issues relating to hiring discrimination, protection of beneficiaries, preemption of state and local laws and the role of intermediary organizations. (See March 4, 2003 Watcher for background.) Draft amendments are still circulating, but the Administration has made it clear it will veto the bill if it passes with a prohibition on religious discrimination for hiring in program positions paid for with federal funds.

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OMB Watch Comments Oppose Rule Allowing Federal Funding for Church Buildings 03/10/2003
On January 6 the Department of Housing and Urban Development (HUD) proposed new regulations implementing the President’s December 12, 2002, Executive Order requiring “equal treatment” of faith-based organizations in the federal grant process. The proposal is similar to regulations proposed last month by the Department of Health and Human Services (HHS). However, they go further, allowing religious organizations to partially fund construction, acquisition or rehabilitation of structures to be used for both religious and government funded purposes. OMB Watch opposed this proposal, writing, "This is a can of worms that should not be opened." Read More

Senate Briefing Focuses on CARE Act and Discrimination 03/09/2003

Comment on grant competition in an era of budget cuts in our forum.

On March 10 leaders of civil rights and religious groups held a Senate briefing for members of the Senate and their staff to discuss the serious civil rights and religious liberty problems inherent in the “equal treatment” provisions of S. 272, the version of the CARE Act proposed by Sens. Rick Santorum (R-PA) and Joe Lieberman (D-CT). Another version of CARE, S. 476 has passed the Senate Finance Committee and may reach the floor soon. It has charitable giving and oversight provisions, but not the faith-based provisions in the Santorum-Lieberman “equal treatment” bill. It is expected that the “equal treatment” faith-based language the White House supports will be added to the Finance Committee when it gets to the Senate floor. Read More

Senate May Consider CARE Act Soon 03/04/2003
The scaled back version of the CARE Act (S 476) passed by the Senate Finance Committee is on a list of eleven items Senate leadership expects to take up in the next few weeks, possibly as early as the week of March 10. Once the bill reaches the floor Senators Rick Santorum (R-PA) and Joe Lieberman (D-CT) will offer their comprehensive version of CARE, S 272, as an amendment. S 272 includes “equal treatment” provisions for faith-based organizations seeking grants and authorization of the Compassion Capital Fund. (See our summary). Read More

OMB Watch Comments on Charitable Choice Rules Seek Accountability, Less Discrimination 02/24/2003
In December the Department of Health and Human Services (HHS) released proposed rules on “equal treatment” of faith-based organizations competing for grants in the Temporary Assistance to Families in Need (TANF), Community Service Block Grant (CSBG) and Substance Abuse and Mental Health Services Administration (SAMHSA) programs. The public comment period ended last week, with OMB Watch filing comments calling for stronger financial and programmatic accountability rules and opposing rules that allow discrimination against program beneficiaries and employees based on religion.

Read the full text of the comments. Read More

Limited CARE Bill Passes Senate Finance Committee 02/10/2003

For more information see our summary of both bills. Tax policy expert Matt Hamill of the Institute for Higher Education Policy has put together a comparison of the charitable giving portions of H.R. 7, CARE Act 2002 and 2003 and the Bush Budget for FY 04.

On February 5, the Senate Finance Committee passed a scaled back version of the Charity Aid, Relief and Empowerment Act that has tax incentives for charitable giving, eliminates the distinction between direct and grassroots lobbying, restores funding for the Social Services Block Grant and increases oversight of nonprofits. The bill, S. 256, does not include the provisions on "equal treatment" of faith-based and community organizations applying for federal grants that were in last year's CARE bill. However, Sens. Rick Santorum (R-PA) and Joseph Lieberman (D-CT) have filed another version of CARE, S. 272, that does have the "equal treatment" provisions. It is expected that if the bill moves to the Senate floor the charitable giving and faith-based provisions will be merged. Read More

Agencies Going Full Steam Ahead With Faith-Based Initiative 01/13/2003
Since the President issued an Executive Order on December 12, 2002, requiring equal treatment of faith-based and secular organizations when applying for federal grants, three agencies have taken action to fill in the details with provisions that look very much like H.R. 7, the controversial version of charitable choice that passed the House of Representatives in 2001. Both the Department of Health and Human Services (HHS) and Housing and Urban Development (HUD) are seeking public comments on their proposed new grant regulations. The Department of Education has issued new guidelines, with no opportunity for public comment. Read More

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