This rule will revise the Department of Commerce's (Department) regulations, as well as several program-specific regulations, regarding the equal participation of faith-based organizations in the Department's programs and activities. These revisions are being undertaken to implement the provisions of Executive Order 13559, "Fundamental Principles and Policymaking Criteria for Partnerships with Faith-Based and Other Neighborhood Organizations." Executive Order 13559 revised Executive Order 13279, which provides the legal basis for the Department's current faith-based rules, by changing terminology, clarifying existing principles, and prescribing additional beneficiary protections. Some of the changes that pertain to this rulemaking include restating "inherently religious activities" as "explicitly religious activities," clarifying the distinction between direct and indirect Federal financial assistance, and implementing the beneficiary protections specified in section 2(h) of Executive Order 13559.