Disturbing Behavior

So I'm reading the newspaper and found this one quite sad and disturbing. Especially being Jewish myself:

http://www.delawareonline.com/apps/pbcs.dll/article?AID=/20050815/NEWS01/508150327/1006

A Jewish family living in Deleware was forced to move because they were retaliated against in a community for, being Jewish and opposing Christian prayer during public events such as school board meetings, graduations and dinners.

Now here is a question: If it's a public school (by all indications it is) isn't there seperation of church and state or in otherwords shouldn't all religions be welcomed and not threatened by having views other then christianity?

It's sad when a family has to move because of their religion. That's why I was and am against things like Bush's faith-based programs because unless you are christian you get screwed.