Tools for Community Initiatives Act - Establishes the Office of Faith-Based and Community Initiatives (the Office) in the Executive Office of the President. Requires the Director of the Office to encourage faith-based and community initiatives and work to eliminate improper Federal barriers so as to allow faith-based and community entities to compete for Federal funding to the fullest opportunity permitted by law, including by: (1) developing, leading, and coordinating policies with respect to such initiatives; (2) coordinating public education activities designed to mobilize public support for such initiatives; (3) advising the President on options and ideas to assist, strengthen, and replicate successful initiatives; (4) developing and implementing strategic initiatives in keeping with policies that will strengthen families, communities, and the institutions of civil society; and (5) working to eliminate unnecessary legislative and regulatory barriers which impede the efforts of such initiatives to solve social problems.
Requires the heads of the Departments of Education, Labor, Justice, Health and Human Services, Housing and Urban Development, Agriculture, Commerce, and Veteran Affairs, the Agency for International Development, and the Small Business Administration to designate a liaison to coordinate the activities of the department or agency with the Office.