The government will not SPONSOR a religion. The intention of that clause was to prevent the government from establishing a religion or cooperating with a particular religion as was going on with the Church of England during the founding of the US. If a government and a church join forces, bad things happen (look up the Spanish Inquisition).
Seems like the government is unconstitutionally promoting slamism.
The Church didn’t cooperate in the Spanish Inquisition, it merely observed.
And while brutal, it was the only way the Spanish Kingdoms could root the Muslims out. Muslims have no use for dhimmi legal systems.
Granada history sites mention Moors living in the Spanish Granada as late as 1568, but a suppression following an unsuccessful rebellion by Muslims and their allies was the end of the Moors there. 1609 (during the Inquisition) is the date I've found for the final expulsion of the seditious "conversos" from Spain.
They saw it as a security thing: expelling the Moors and their political allies. No reason for it, of course. Probably just xenophobia. (Scratches head in bewilderment.)