Question 1:

What are faith-based organizations that receive federal funds allowed to do?

Answer:

Faith-based organizations who have received funding are allowed to:

• Use facilities without removing religious art, icons, scriptures or other religious symbols
• Retain religious terms in organization's name
• Select board members on a religious basis
• Include religious references in their mission statements and other governing documents
• Retain their right under Title VII of the Civil Rights Act to consider religion in employment decisions, except in cases where the federal program statute forbids it
• Retain their authority over internal governance

Question 2:

Can a faith-based organization still have religious elements?

Answer:

Faith-based organizations may offer religious activities to those being served by the directly funded program, but three requirements must be followed. All religious activities must be:

1. Separate in time or location from federally-supported activities
2. Voluntary for clients of the federally-supported activities
3. Privately funded by the organization providing the religious activity

Question 3:

Are USAID missions responsible for evaluating their current practices to ensure FBOs are given equal treatment?

Answer:

Yes, all USAID Operating Units must ensure that current practices reflect USAID regulations and policy. That means they must ensure that no bias exists in procedures and policies that would exclude or disadvantage a faith-based service-providing organization for the simple reason that it is religious (even "pervasively" so). Likewise, they must ensure that FBOs are not the subject of favoritism.

Question 4:

Our Mission is only beginning to reach out to FBCOs. What are the core guidelines and principles involved in partnering with religiously affiliated organizations?

Answer:

Mission and Embassy staff should keep in mind that the Faith-Based and Community Initiative is NOT a preference for FBCOs. Rather, it is the principle that all organizations, small or large, religious or secular, first-time applicants or long-standing contractors, should be allowed to compete for government grants on a level playing field to determine the best partner for the job. USAID policy emphasizes the principles of neutrality, non-discrimination and equal access. The Mission should have a broad outreach and education strategy when it comes to identifying and informing service delivery partners about USAID grant and contract opportunities. The intrinsic value of local organizations and networks for service delivery should be taken into account along with overall results and qualifications to serve, not whether they are religious or secular, nor on the basis of specific beliefs. In cases where FBOs are engaged, USAID policy also requires ensuring that impermissible religious activity does not occur as a part of federal programs. The government may not fund inherently religious activities.

Question 5:

What activities are clearly forbidden when government aid is involved?

Answer:

Federal funds may not be used for any type of inherently religious activities or for the printing and publication of overtly religious materials, such as sacred texts and other faith-filled materials. For example, government money may not be used for worship, religious instruction or proselytization. Groups that receive public money for public purposes must not divert funds to pay for inherently religious activities such as religious worship.

It would be difficult, if not impossible, to establish a complete list of all inherently religious activities. Inevitably, a regulatory definition would exclude some inherently religious activities while including activities that arguably may not be inherently religious. Some circumstances will always be open to interpretation. This should not prevent efforts to partner with FBCOs. When questions arise, USAID field staff should always consult their Regional Legal Advisor or with the Office of General Counsel at USAID headquarters in Washington to ensure that Agency practice is consistent with applicable law.

Question 6:

Many countries do not have laws similar to the First Amendment to the U.S. Constitution, which guarantees freedom of religious belief and expression as well as the non-establishment of religion. Does the First Amendment apply to grants and contracts outside the United States?

Answer:

Some Federal Courts have held that the Establishment Clause of the First Amendment does apply to certain USAID programs overseas. Accordingly, USAID designs all of its overseas activities as if the Establishment Clause were applicable.

Question 7:

Are Missions responsible for monitoring an FBO grantee?

Answer:

Yes, it is the responsibility of the government to ensure that all grantees first agree to comply with restrictions and then are faithful in operating within those restrictions. An FBO should be monitored in the same way that any other NGO would be monitored. USAID staff just need to keep in mind the specific guidance related to faith-based organizations. Your monitoring of FBOs need not and should not be any more or less intensive than of secular or traditional grantees; there is equal risk that either type of organization could misappropriate or misuse public funds. By engaging in appropriate monitoring, you are doing more than safeguarding constitutional and regulatory standards; you are helping grantees to avoid costly legal, political or media exposure. For example, FBO grantees that violate policy could be asked or sued to return their funds, could forfeit future funds, or could be targeted for legal action by a private person or organization.

To make sure that grants are used properly, organizations that seek and secure USAID grants must also be made fully aware of all filing and reporting requirements. In other words, creating an environment friendly to FBO providers requires familiarity by all parties with all relevant legal policies and procedures.

Question 8:

Can a government funded FBO use a church property for delivering services?

Answer:

Yes. An FBO can use space in a church, temple, mosque or other place of worship, but cannot engage in inherently religious activities while delivering services, or require beneficiaries to attend or participate in such activities, even if they are held separate from the federally funded program. Any religious activity must occur either at a different time or a different part of the building from the social service that the government is funding, and be voluntary for all beneficiaries of the government services.

Question 9:

Can a mosque or congregation itself be the grantee organization?

Answer:

Yes, a grant should be awarded without regard to the applicant's religious or secular characteristics. Rather, the issue should be which organization can best deliver a secular social service with public funds without including inherently religious activity. Houses of worship are not required to form a separate nonprofit organization or apply for federal 501(c)(3) status.

Question 10:

Explain the requirement that there be "time or place" separation of inherently religious activity and USAID-funded nonreligious activity.

Answer:

When an organization receives direct government assistance, its inherently religious activities must be offered separately-in time or place-from the USAID-funded activity. USAID does not require separation of both time and location, as that would impose a difficulty for small religious organizations that may have access to only one location.

For example, government-aided social services can be carried out in one wing of the building while instruction in the Koran or Bible is taking place in another. Or, to stick with that example, religious and non-religious activity can be offered in the same room, but not at the same time. Inherently religious programming cannot be carried out with the help of government aid.

An organization receiving government funds must be careful to communicate that while beneficiaries of their government funded services are welcome to attend its inherently religious programming, such attendance should be completely voluntary. Declining to participate will not result in the beneficiary losing the government funded service.

Question 11:

Can USAID funds be used to assist in the construction of a place of worship?

Answer:

Funds cannot be used to construct chapels or sanctuaries that are used by that organization as its principal place of worship. The Final Rule on Participation by Religious Organizations in USAID Programs (22 CFR Parts 202, 205, 211, and 226) provides that USAID funds can be used to assist an FBCO grant recipient in the acquisition, construction or rehabilitation of a facility, but only to the extent that those structures are used to deliver eligible services.

Question 12:

Can an FBO maintain its current board members and system of governance and still qualify?

Answer:

Yes. Religious charities need not change the way in which they select staff or board members in order to be eligible for government grants or contracts.

Question 13:

Must FBOs be subjected to the same performance standards and accountability measures as other organizations?

Answer:

Yes. According to the Final Rule, "All organizations, including religious ones, must carry out eligible activities in accordance with all program requirements and other applicable requirements governing the conduct of USAID-funded activities…"

The Rule continues: "USAID will apply the same cost-accounting principles to all organizations. Because inherently religious activities are non-USAID activities, USAID need not distinguish between program participants' religious and nonreligious non-USAID activities; the same mechanism by which USAID polices the line between eligible and ineligible activities will serve to exclude inherently religious activities from funding. The amount of oversight of religious organizations necessary to accomplish these purposes is no greater than that involved in other publicly funded programs that the Supreme Court has sustained." Missions and Embassies should evaluate the efficacy of all service providers, secular or religious, and use neutral, secular standards.

Question 14:

Do all FBCOs, including sub-grantees, subcontractors and local NGOs need to register with USAID's Office of Private & Voluntary Cooperation - American Schools and Hospitals Abroad (PVC-ASHA) before being considered for funding?

Answer:

Different registration and record keeping standards apply to local PVOs that operate only in their own country. A local, indigenous nonprofit organization is not required to register with USAID/Washington. Nor are sub-grantees or subcontractors required to register. However, organizations that meet the definition of a PVO are required to register. For more information, please see the PVC-ASHA website at www.usaid.gov, keyword "PVO Registration."

Missions do have other eligibility requirements, which include an organization's financial viability. Missions are expected to ensure that any local organization receiving funding from USAID is able to manage the funds and has sufficient control systems in place.

Question 15:

Can my USAID mission set aside funds for FBO partnering?

Answer:

No. While the ADS allows for exceptions to competition when partnering through small grants or with new entrants (ADS 303.3.6.5), favoritism specifically to faith-based organizations would violate the neutrality principle under-girding the Faith-Based and Community Initiative and USAID regulations. USAID programs should not discriminate against qualified secular groups.

Question 16:

To what extent can I show an interest in the nature or scope of an organization's religion?

Answer:

What matters is whether the group is qualified to fulfill its obligations under an agreement with USAID. What is not of interest is the organization's religious beliefs, practices or denominational affiliation. No religion or denominational sub-category should be favored or disfavored, and no organization should be disqualified because it is "too religious" or non-religious.

Question 17:

What about the environment in which services are rendered?

Answer:

A religious organization need not purge, conceal or compromise its religious character. For example, faith-based organizations may use space in their churches, synagogues, mosques, or other places of worship to provide Federally funded services.

In addition, there is no need to remove religious symbols from these rooms. For example, a faith-based organization may operate a Federally funded food assistance program in a church basement, or provide computer training in a classroom adjacent to a synagogue. Faith-based organizations do not have to remove religious symbols or artwork in their building in order to deliver a Federally funded service there. They may also keep their organization's name even if it includes religious words, and include religious references in your organization's mission statements.

However, organizations are prohibited from using government funds to pay for inherently religious activities such as worship, religious instruction, proselytizing or requiring beneficiaries to participate in inherently religious activities in order to receive the government-funded service. These activities must be offered separately, in time or place, from the USAID program.

Question 18:

If an FBO involved in a feeding program wishes to offer a prayer before a meal, is that allowed?

Answer:

No. Prayer may not accompany (or immediately precede) a Federally funded feeding program, even if attendance or participation is voluntary. However, it should be made clear to feeding program beneficiaries that whether they join in prayer is up to them, and that their decision will have no bearing on whether they receive services. Any prayer session or prayer meeting must be privately funded and must "be held either in a separate location or at a separate time from the food distribution."

Question 19:

Does acceptance of government money by an FBO affect that organization's freedom to hire persons of like faith?

Answer:

Agencies of the U.S. government are barred from engaging in faith-selective hiring. However, a religious organization does not become an arm of the state merely by contracting with the Federal government or accepting Federal funds. Foreign assistance legislation applicable to USAID is silent on the subject of grantees' hiring practices. Where a statute authorizing Federal funds contains no additional civil rights language, Title VII of the Civil Rights Act of 1964-including the religious hiring exemption for religious employers-applies. Thus, an organization that receives funds from this type of program may continue to take its faith into account in making employment decisions. Should future foreign assistance legislation expressly prohibit grantees from considering religion in employment, an FBO grantee could still accept the grant and prefer co-religionists for its staff if the organization qualifies for an exemption under the Religious Freedom Restoration Act.

Question 20:

Can recipients of services be encouraged to participate in religious activities?

Answer:

Invited? Yes. Pressured to participate? No. It must be made clear that participation is entirely voluntary and that access to services is unrelated to whether the individual chooses to participate. Information on spiritual content and programming can be placed on display, but recipients of aid funded by the government cannot be required to attend religious programs. For example, a recipient of aid cannot be expected to take an interest in the Bible, the Talmud or the Quran or to attend Chapel or Friday prayers as a condition of receiving services.

Question 21:

If a recipient of services asks the FBO provider for information on religion, can it be shared?

Answer:

Yes. In most circumstances, a brief answer that is sufficient to satisfy the question is allowed. However, if a longer conversation is requested, provider staff should set up a time to talk after the Federally funded program is concluded or separate from the location of the Federally funded program. For example, if a USG-funded program goes from 2-4 pm, let the person asking the questions know that it will be fine to hold the conversation sometime after 4 pm.

Question 22:

Can government funds be used to purchase religious materials?

Answer:

No. USAID funds cannot be used to purchase sacred texts or other faith-infused reading materials, hymnals, sacramental elements or garments, or anything else that is used for worship, religious instruction or proselytizing. Questions about the appropriateness of materials used in the course of delivery services should be directed to the Regional Legal Advisor or the Office of General Counsel at USAID headquarters.

Question 23:

Can government funds be used to pay the salary of a member of an FBO's staff?

Answer:

Yes, but only to support the portion of the staff's time that is dedicated to delivering services under the grant or contract. Those staff members can engage in religious activity that is privately funded if it is conducted at a different time, but cannot be paid for time spent planning, conducting or participating in inherently religious activities (or any other non-USAID program activities.) For example, staff that might also function as a rabbi, priest, imam or other religious leader, must be certain to separate their religious instruction or pastoral activity from the funded social service programming, and account for time spent on religious activities versus time spent on federally funded program activities.

Question 24:

If an FBO receives a grant, can they limit their service provision to members of their own faith?

Answer:

No. Beneficiaries of assistance may not be selected by reference to religion. The religious affiliation of the participant cannot be taken into account in advertising or delivering services. FBOs must understand that if they take Federal funds, they are required to serve people of all faiths or people of no faith in any program that they administer with Federal dollars.