“Current SBA [Small Business Administration] regulations and SBA Form 1971 make certain religious entities ineligible to participate in several SBA loan programs. The Trump Administration proposed a rule that would remove the provisions on the ground that they would violate the First Amendment.” (Economy, Small Business Admin, Page 754)

SBA Form 1971, also known as the Religious Eligibility Worksheet, ensures transparency and compliance when religious entities apply for small business loans. It serves as a tool to evaluate eligibility and does not inherently make them ineligible. Religious organizations must demonstrate that their primary purpose for the loan is not religious in nature (bookstore, daycare services, coffee shop, etc.). For more information and its relation to the First Amendment, see this explainer.

On the next page, the author clarifies that they intend to take down SBA Form 1971 and will not enforce any related regulations. This means that religious entities will likely receive government loans for religious activities (worship services, religious education) under the next conservative administration.