This is a very interesting situation. I can see both sides of the matter, and I would be very interested in hearing what y'all think about this.

It is unfortunate in the context (Ms Almontaser having been pressured to quit), but if we look at the bigger picture, one's religion (or race, gender, ...) should not be taken into account. Also, in this case, Ms Salzberg was already part of the project, having helped develop the curriculum.

Rimawi is taking this too far, Does it matter who is the principal of that school. People of all religions need to co-operate with each other, they may not believe in each other's religion but they are still very alike. They all believe in god/gods.
Religion has the basis of Good and good-doing around it, but religion is so easy to manipulate and distort views upon others to do terrible things. It is too easy to reflect the view of any religion to manipulate people into doing inhumane things, with the victim (the person who has been manipulated) thinking what they are doing or done is right in the sight of their God/Gods.

The equality of religion (or race, creed, orientation, etc etc) gets a lot more air time in the US than in the mid-east. Though I agree that her faith should have nothing to do with whether she is qualified for the job, the arabs may not exist in a cultural climate that celebrates (or tries to) diversity as much as we westerners.