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R fesearch Service
Carson v. Makin: Using Government Funds
for Religious Activity
July 6, 2022
When the government decides whether to give public funds to religious entities, that decision can raise
constitutional questions under both of the First Amendment's Religion Clauses. For many years, Supreme
Court precedent focused primarily on whether federal, state, or local governments violated the
Establishment Clause by funding religious activity. Accordingly, governments sometimes barred public
funds from being given to religious activities or religious groups. In recent years, however, the Supreme
Court has made clear that governments may violate the Free Exercise Clause by barring religious entities
from receiving public benefits because of their faith. Under prevailing precedent, then, governments
might sometimes be constitutionally or statutorily barred from giving public funds to religious activities
but also cannot exclude religious entities from eligibility solely because of their religious character.
In Carson v. Makin, issued on June 21, 2022, the Supreme Court held that states could not exclude
religious schools from an indirect aid program based on the schools' religious use of the funds. This Legal
Sidebar explains that decision and discusses possible implications for federal funding, as well as further
implications stemming from the Supreme Court's subsequent Establishment Clause ruling in Kennedy v.
Bremerton School District.
Legal Background
The First Amendment provides that the government shall make no law respecting an establishment of
religion, or prohibiting the free exercise thereof The intersection of these two clauses-the
Establishment Clause and the Free Exercise Clause, collectively described as the Religion Clauses-is a
perennial issue in constitutional law.
The Supreme Court has said the Establishment Clause forbids, among other things, financial support of
religious activity. For example, the Court in 1973 invalidated a government tuition-reimbursement
program that directly provided money to religious institutions but lacked safeguards to ensure that the
money was used only for secular, neutral, and nonideological purposes. Subsequent cases, however,
seemed to walk back such Establishment Clause restrictions, and in 1988, the Supreme Court upheld a
federal grant program that did not expressly restrict the religious use of funds. That case said absent
evidence to the contrary, and particularly when the funds were granted to institutions that were not
Congressional Research Service
https://crsreports. congress.gov
LSB10785
CRS Legal Sidebar
Prepared for Members and
Committees of Congress

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