Church Arson Prevention Act of 1996 - Makes Federal criminal code prohibitions against, and penalties for, damaging religious property or obstructing any person's free exercise of religious beliefs applicable where: (1) the property is damaged because of its racial or ethnic character; and (2) the offense is in, or affects, interstate commerce. (Currently such provisions apply only where: (1) the property is damaged because of its religious character; (2) the defendant, in committing the offense, travels in interstate or foreign commerce or uses a facility or instrumentality of interstate or foreign commerce in interstate or foreign commerce; and (3) the loss exceeds $10,000.)