Lifting Local Communities Act

Bill Number

S. 2908

Origin Chamber

Senate

Congress

119th Congress, Session 1

Policy Area

Civil Rights and Liberties, Minority Issues

Status

Introduced

Latest Action

2025-09-18: Read twice and referred to the Committee on Finance.

Last Updated

2025-12-16T16:40:19Z

AI-Generated Summary

Purpose of the Legislation

The Lifting Local Communities Act (S. 2908) aims to promote effective delivery of social services to people in need by ensuring religious organizations are treated equally to nonreligious ones when receiving or administering federal funding. It seeks to prevent discrimination based on religion, allow religious groups to operate according to their beliefs while using federal funds, expand their role in social services, and protect the religious freedoms of both service providers and beneficiaries.

Key Provisions

The bill inserts a new section (SEC. 1990A) into Title XXIV of the Revised Statutes, applying to federal, state, local, or pass-through entity-administered social services programs (defined as programs reducing poverty, supporting low-income families, or providing aid like child care, job training, health support, or housing assistance).

• Equal Eligibility and Selection: Religious organizations can apply for and receive federal financial assistance (e.g., grants, contracts, loans) on the same terms as nonreligious private organizations. Governments and funders cannot favor or discriminate against them based on religious character, affiliation, or practices.

• Prohibitions on Burdens and Disqualifications:
• Religious groups are not required to provide assurances, notices, or comply with restrictions that nonreligious groups do not face.
• All recipients must follow program rules equally, but religious groups cannot be disqualified or penalized for their religious exercise (defined as any sincere religious practice or belief).
• Religious activities can occur at the same time and place as federally funded services.

• Preservation of Religious Independence: Religious organizations retain full autonomy, including:
• Keeping religious terms in their name and mission statements.
• Displaying religious symbols and expressing beliefs in facilities.
• Hiring, promoting, or dismissing staff based on adherence to religious tenets.

• Beneficiary Protections:
• Organizations cannot discriminate against recipients based on their religion or beliefs.
• However, they are not required to alter program components to accommodate a beneficiary's religious objections.
• If a beneficiary objects to a religious organization's character, the government must provide reasonably accessible alternative services of similar value.

• Religious Exemptions: Existing legal protections for religious groups (e.g., from employment discrimination under Title VII of the Civil Rights Act, fair housing under Title VIII, education nondiscrimination under Title IX, disability rights under the ADA, and religious freedom laws like RFRA or RLUIPA) remain intact even when receiving federal funds.

• Audit and Funding Rules: Religious organizations can segregate federal and matching funds into separate accounts for limited audits (only those funds are reviewed). Their own non-matching funds can be kept separate or commingled, with commingled funds potentially subject to audit.

• Enforcement and Preemption:
• Religious organizations can sue in court for violations, seeking remedies like attorney's fees.
• Federal rules preempt conflicting state or local laws.
• The new section supersedes all prior federal laws and cannot be limited by future laws unless explicitly stated.
• Includes a severability clause: If any part is ruled unconstitutional, the rest remains effective.

• Definitions: Key terms include "discriminate on the basis of religious exercise" (disfavoring a group for religious practices that would not penalize nonreligious ones or for which exemptions apply under the First Amendment or related laws); "federal financial assistance" (funds via grants, contracts, etc., excluding tax benefits); and "social services program" (broadly covering aid for poverty, child welfare, job training, nutrition, health, and more).

Significant Changes to Existing Law

This bill introduces broad new mandates for equal treatment, overriding prior federal policies or regulations that may have imposed unequal requirements on religious organizations (e.g., forcing them to remove religious symbols or provide secular assurances). It explicitly protects religious hiring and operations in funded programs, expands beneficiary choice with referral requirements, and limits audits to federal funds only—changes not uniformly present in current laws like those governing faith-based initiatives under the Charitable Choice provisions or executive orders on religious liberty.

Potential Impacts

• Government Agencies: Federal, state, and local entities must revise grant, contract, and oversight processes to ensure nondiscrimination, potentially increasing administrative burdens for compliance monitoring and alternative service referrals. Pass-through entities (e.g., nonprofits distributing funds) face similar equal-treatment obligations, which could expand religious organizations' role in programs like welfare or foster care.

• Citizens: Individuals and families receiving social services gain more options, including faith-based providers, with protections against religious discrimination but also rights to secular alternatives. This could improve access to services in underserved areas but might raise concerns for beneficiaries uncomfortable with religious settings.

• International Relations: No direct impacts mentioned, as the bill focuses on domestic social services.

Main Stakeholders Affected

• Religious Organizations: Gain equal access to funding, preserved autonomy, and legal protections, enabling greater involvement in social services without compromising beliefs.
• Nonreligious Private Organizations: Remain on a level playing field for funding but may face indirect competition from expanded religious participation.
• Government Agencies and Funders: Must enforce nondiscrimination and provide alternatives, affecting how they award and oversee grants/contracts.
• Beneficiaries (Covered Individuals): Low-income families, children, seniors, disabled persons, and others in need benefit from expanded providers and choice, with safeguards against unwanted religious influence.

Notable Legal, Constitutional, or Political Implications

• Legal: Creates a private right of action for religious groups to challenge violations, potentially increasing litigation over funding decisions. Preemption of state/local laws ensures uniform federal standards but could lead to conflicts with jurisdictions favoring stricter secular requirements.

• Constitutional: Reinforces First Amendment protections for religious exercise by prohibiting burdens on faith-based operations and aligning with the Religious Freedom Restoration Act (RFRA), which requires the least restrictive means for government actions impacting religion. It balances this with beneficiary rights, avoiding establishment clause issues by allowing opt-outs.

• Political: Promotes faith-based initiatives, potentially shifting social service delivery toward religious providers and sparking debates on church-state separation, though the bill emphasizes neutrality and choice to mitigate controversy.

This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.

Sponsor

Sen. Scott, Rick [R-FL]

Cosponsors (2)

Sen. Lankford, James [R-OK], Sen. Scott, Tim [R-SC]

Recent Actions

• 2025-09-18: Read twice and referred to the Committee on Finance.
• 2025-09-18: Introduced in Senate

Bill Versions

• Lifting Local Communities Act — issued 2025-09-18 — PDF (16 pages)