42 CFR § 54a.6
Employment practices
June 11, 2020
(a) The participation of a religious organization in or its receipt of funds from an applicable program does not affect that organization's exemption provided under 42 U.S.C. 2000e-1 regarding employment practices.
(b) Nothing in this section shall be construed to modify or affect any State law or regulation that relates to discrimination in employment.