was in place since 1953 then in 1979 Jimmy Carter separated out the Department of Education.
Government is not prohibiting Christian prayer in school.
Although the Constitution forbids public school officials from directing or favoring prayer, students do not "shed their constitutional rights to freedom of speech or expression at the schoolhouse gate," < 9 > and the Supreme Court has made clear that "private religious speech, far from being a First Amendment orphan, is as fully protected under the Free Speech Clause as secular private expression." < 10 > Moreover, not all religious speech that takes place in the public schools or at school-sponsored events is governmental speech. < 11 > For example, "nothing in the Constitution ... prohibits any public school student from voluntarily praying at any time before, during, or after the school day," < 12 > and students may pray with fellow students during the school day on the same terms and conditions that they may engage in other conversation or speech. Likewise, local school authorities possess substantial discretion to impose rules of order and pedagogical restrictions on student activities, < 13 > but they may not structure or administer such rules to discriminate against student prayer or religious speech. For instance, where schools permit student expression on the basis of genuinely neutral criteria and students retain primary control over the content of their expression, the speech of students who choose to express themselves through religious means such as prayer is not attributable to the state and therefore may not be restricted because of its religious content. < 14 > Student remarks are not attributable to the state simply because they are delivered in a public setting or to a public audience. < 15 > As the Supreme Court has explained: "The proposition that schools do not endorse everything they fail to censor is not complicated," < 16 > and the Constitution mandates neutrality rather than hostility toward privately initiated religious expression. < 17 >
http://www2.ed.gov/policy/gen/guid/religionandschools/prayer_guidance.html