BY Benjamin ClarkJuly 16, 2025
7 months ago
BY 
 | July 16, 2025
7 months ago

SBA opens faith office and lifts rules limiting disaster aid to religious groups

The Small Business Administration has launched a new division aimed at expanding support for religious and faith-based groups involved in community development and disaster response.According to The Christian Post, in a sweeping policy reversal, the SBA will roll back regulations that previously excluded religious organizations from receiving certain types of financial assistance, while introducing the new Center for Faith to improve access to federal resources.

The announcement was made Monday through an official statement from the SBA, outlining the agency’s effort to strengthen collaboration with religious entities nationwide. The new Center for Faith will help churches, synagogues, mosques, and other faith-linked groups obtain financial aid, consulting services, and federal contracts.

New Office Aims to Empower Faith-Based Organizations

Janna Bowman, who leads the SBA’s faith outreach efforts, has been appointed to head the new Center for Faith. Her role will include helping these organizations better understand the resources offered by the government and ensuring that barriers to access are removed.

The SBA created the center with the goal of expanding inclusion within its various programs, according to agency officials. These efforts will ensure that religious organizations have equal opportunities when it comes to accessing funding and disaster relief provided by the federal government.

SBA Administrator Kelly Loeffler praised the launch, saying the agency is committed to making every program available to all qualified Americans, regardless of their religious association. She added that the move is rooted in a broader commitment to religious liberty.

Regulation Reversal Opens Doors for Disaster Relief

As part of the initiative, the SBA will repeal a regulation originating during the Biden administration that blocked groups whose primary purpose involves religious instruction or guidance from eligibility for Economic Injury Disaster Loans.

The loans are designed to help small businesses and nonprofits in officially declared disaster zones that face economic hardship and lack other access to funding. Under the now-defunct rule, faith-based organizations often found themselves cut off from this critical financial assistance.

Agency leadership cited a 2017 U.S. Supreme Court ruling in Trinity Lutheran Church of Columbia, Inc. v. Comer, which found that excluding religious entities from public benefit programs violates the First Amendment. Based on this precedent, officials say the prior SBA rule is not legally sound.

Immediate Relief Now Available for Religious Groups

With the repeal now effective, religious organizations across the country are immediately eligible to receive disaster assistance through SBA programs. This includes access to EIDL funding and other emergency services previously inaccessible to many faith groups.

The SBA emphasized in its announcement that the shift marks a larger movement toward correcting past policies that unfairly excluded faith-based actors during times of crisis. Officials are framing the change as a matter of constitutional fairness and equal access.

Administrator Loeffler stated that the agency intends to end what she described as a legacy of institutional discrimination against Americans of faith. She characterized past restrictions on disaster aid as a form of targeted exclusion during moments when help was urgently needed.

Part of Broader Federal Faith Initiative

The Center for Faith’s creation follows President Donald Trump’s executive order from February 7, which reestablished the White House Faith Office and directed federal agencies to enhance their partnerships with religious communities.

In accordance with that order, several other federal departments have created their own faith affairs offices. These include the Environmental Protection Agency, United States Agency for International Development, Department of Agriculture, and Department of Education, among others.

This wave of faith engagement initiatives signals a strategic shift across multiple federal offices to better work with religious organizations in areas such as community service, public health, housing, and disaster response.

Agency Builds Long-Term Strategy with Religious Communities

SBA leaders say the Center for Faith will not only support organizations in times of crisis, but also help them grow their institutional capacity year-round. This includes abilities to apply for SBA-backed loans, compete for federal contracts, and receive training and technical assistance.

Faith partners are considered essential to community recovery and development, especially in underserved areas. Officials hope that better inclusion of these partners will strengthen economic resilience in neighborhoods nationwide.

The SBA sees this new office as a permanent feature of its organizational structure. It intends to embed faith outreach as a core part of the agency’s mission moving forward, a move that administrators say reflects the diversity of America’s community networks.

Written by: Benjamin Clark
Benjamin Clark delivers clear, concise reporting on today’s biggest political stories.

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