[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[S. 2046 Introduced in Senate (IS)]







105th CONGRESS
  2d Session
                                S. 2046

   To ensure that Federal, State, and local governments consider all 
  nongovernmental organizations on an equal basis when choosing such 
organizations to provide assistance under certain government programs, 
without impairing the religious character of any of the organizations, 
   and without diminishing the religious freedom of beneficiaries of 
     assistance funded under such programs, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              May 7, 1998

 Mr. Ashcroft introduced the following bill; which was read twice and 
           referred to the Committee on Governmental Affairs

_______________________________________________________________________

                                 A BILL


 
   To ensure that Federal, State, and local governments consider all 
  nongovernmental organizations on an equal basis when choosing such 
organizations to provide assistance under certain government programs, 
without impairing the religious character of any of the organizations, 
   and without diminishing the religious freedom of beneficiaries of 
     assistance funded under such programs, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Charitable Choice Expansion Act of 
1998''.

SEC. 2. PURPOSE.

    The purpose of this Act is to ensure that Federal, State, and local 
governments consider all nongovernmental organizations on an equal 
basis when choosing such organizations to provide assistance to 
beneficiaries under government programs described in section 3(a), 
without impairing the religious character of any of the organizations, 
and without diminishing the religious freedom of beneficiaries of 
assistance funded under such programs.

SEC. 3. PROVISION OF ASSISTANCE UNDER GOVERNMENT PROGRAMS.

    (a) Religious Organizations Included as Nongovernmental 
Providers.--For any program carried out by the Federal Government, or 
by a State or local government with Federal funds, in which the 
Federal, State, or local government is authorized to use 
nongovernmental organizations, through contracts, grants, certificates, 
vouchers, or other forms of disbursement, to provide assistance to 
beneficiaries under the program, the government shall consider, on the 
same basis as other nongovernmental organizations, religious 
organizations to provide the assistance under the program, so long as 
the program is implemented in a manner consistent with the 
Establishment Clause of the first amendment to the Constitution. 
Neither the Federal Government nor a State or local government 
receiving funds under such program shall discriminate against an 
organization that provides assistance under, or applies to provide 
assistance under, such program, on the basis that the organization has 
a religious character.
    (b) Exclusions.--As used in subsection (a), the term ``program'' 
does not include activities carried out under--
            (1) Federal programs providing education to children 
        eligible to attend elementary schools or secondary schools, as 
        defined in section 14101 of the Elementary and Secondary 
        Education Act of 1965 (20 U.S.C. 8801) (except for activities 
        to assist students in obtaining the recognized equivalents of 
        secondary school diplomas);
            (2) the Higher Education Act of 1965 (20 U.S.C. 1001 et 
        seq.);
            (3) the Head Start Act (42 U.S.C. 9831 et seq.); or
            (4) the Child Care and Development Block Grant Act of 1990 
        (42 U.S.C. 9858 et seq.).
    (c) Religious Character and Independence.--
            (1) In general.--A religious organization that provides 
        assistance under a program described in subsection (a) shall 
        retain its independence from Federal, State, and local 
        governments, including such organization's control over the 
definition, development, practice, and expression of its religious 
beliefs.
            (2) Additional safeguards.--Neither the Federal Government 
        nor a State or local government shall require a religious 
        organization--
                    (A) to alter its form of internal governance; or
                    (B) to remove religious art, icons, scripture, or 
                other symbols;
        in order to be eligible to provide assistance under a program 
        described in subsection (a).
    (d) Employment Practices.--The exemption of a religious 
organization provided under section 702 or 703(e)(2) of the Civil 
Rights Act of 1964 (42 U.S.C. 2000e-1, 2000e-2(e)(2)) regarding 
employment practices shall not be affected by the religious 
organization's provision of assistance under, or receipt of funds from, 
programs described in subsection (a).
    (e) Rights of Beneficiaries of Assistance.--
            (1) In general.--If an individual described in paragraph 
        (3) has an objection to the religious character of the 
        organization from which the individual receives, or would 
        receive, assistance funded under any program described in 
        subsection (a), the appropriate Federal, State, or local 
        governmental entity shall provide to such individual (if 
        otherwise eligible for such assistance) within a reasonable 
        period of time after the date of such objection, assistance 
        that--
                    (A) is from an alternative organization that is 
                accessible to the individual; and
                    (B) has a value that is not less than the value of 
                the assistance that the individual would have received 
                from such organization.
            (2) Notice.--The appropriate Federal, State, or local 
        governmental entity shall ensure that notice is provided to 
        individuals described in paragraph (3) of the right of such 
        individuals to make the objection described in paragraph (1).
            (3) Individual described.--An individual described in this 
        paragraph is an individual who receives or applies for 
        assistance under a program described in subsection (a).
    (f) Nondiscrimination Against Beneficiaries.--A religious 
organization shall not discriminate against an individual described in 
subsection (e)(3) in regard to--
            (1) rendering assistance funded under any program described 
        in subsection (a) on the basis of religion, a religious belief, 
        or refusal to hold a religious belief; or
            (2) rendering assistance funded through a grant or contract 
        under such program on the basis of refusal to actively 
        participate in a religious practice.
    (g) Fiscal Accountability.--
            (1) In general.--Except as provided in paragraph (2), any 
        religious organization providing assistance under any program 
        described in subsection (a) shall be subject to the same 
        regulations as other nongovernmental organizations to account 
        in accord with generally accepted accounting principles for the 
        use of such funds provided under such program.
            (2) Limited audit.--Such organization shall segregate 
        government funds provided under such program into a separate 
        account. Only the government funds shall be subject to audit by 
        the government.
    (h) Compliance.--A party alleging that the rights of the party 
under this section have been violated by a State or local government 
may bring a civil action pursuant to section 1979 of the Revised 
Statutes (42 U.S.C. 1983) against the official or government agency 
that has allegedly committed such violation. A party alleging that the 
rights of the party under this section have been violated by the 
Federal Government may bring a civil action for appropriate relief in 
an appropriate Federal district court against the official or 
government agency that has allegedly committed such violation.
    (i) Limitations on Use of Funds for Certain Purposes.--No funds 
provided through a grant or contract to a religious organization to 
provide assistance under any program described in subsection (a) shall 
be expended for sectarian worship, instruction, or proselytization.
    (j) Effect on State and Local Laws.--
            (1) In general.--If a State or local government contributes 
        State or local funds to carry out a program described in 
        subsection (a), the government may--
                    (A) segregate the State or local funds from the 
                Federal funds provided to carry out the program; or
                    (B) commingle the State or local funds with the 
                Federal funds.
            (2) Segregated funds.--If the State or local government 
        segregates the State or local funds, the provisions of State 
        law relating to the expenditure of public funds in or by 
        sectarian institutions shall apply only to the segregated State 
        or local funds.
            (3) Commingled funds.--If the State or local government 
        commingles the State or local funds, the provisions of this 
        section shall apply to the commingled funds in the same manner, 
        and to the same extent, as the provisions apply to the Federal 
        funds, and the provisions of State law described in paragraph 
        (2) shall not apply to the commingled funds.
    (k) Treatment of Intermediate Contractors.--If a nongovernmental 
organization (referred to in this subsection as an ``intermediate 
organization''), acting under a contract or other agreement with the 
Federal Government or a State or local government, is given the 
authority under the contract or agreement to select nongovernmental 
organizations to provide assistance under the programs described in 
subsection (a), the intermediate organization shall have the same 
duties under this section as the government.
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