Why is it I always hear separation of church and state and yet the state keeps butting in on church matters.
You’re correct.
Jefferson issued that statement in a letter to a Baptist group (after he was elected pres.) which was concerned that the fed gov would interfere in the free exercise of religion. Jefferson said he would support ‘a wall of separation between church and state’ to ensure that the fed gov would not get involved in establishing a national religion or regulation of it.
See David Barton’s excellent book, Original Intent, for a discussion and review Jefferson’s complete letter.
Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof;