BILL NUMBER: SB 504	CHAPTERED  10/14/01

	CHAPTER  910
	FILED WITH SECRETARY OF STATE  OCTOBER 14, 2001
	APPROVED BY GOVERNOR  OCTOBER 14, 2001
	PASSED THE SENATE  SEPTEMBER 12, 2001
	PASSED THE ASSEMBLY  SEPTEMBER 6, 2001
	AMENDED IN ASSEMBLY  JULY 12, 2001
	AMENDED IN SENATE  MAY 1, 2001
	AMENDED IN SENATE  APRIL 16, 2001
	AMENDED IN SENATE  MARCH 28, 2001

INTRODUCED BY   Senator Scott
   (Principal coauthor:  Senator Kuehl)
   (Coauthor:  Assembly Member Shelley)

                        FEBRUARY 22, 2001

   An act to amend Section 12926.2 of the Government Code, relating
to employment.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 504, Scott.  Employment discrimination:  nonprofit educational
institutions.
   Under existing law, nonprofit public benefit corporations are
subject to the antidiscrimination provisions of the California Fair
Employment and Housing Act pertaining to employers, except that
nonprofit public benefit corporations incorporated to provide health
care on behalf of a religious organization are excluded from the
provisions of the act pertaining to employers with respect to
employment, including promotion, of an individual of a particular
religion in an executive or pastoral-care position connected with the
provision of health care.
   This bill, notwithstanding any other provisions of law, would
permit nonprofit public benefit corporations formed by or affiliated
with a particular religion, that operate an educational institution
as the sole or primary activity, to restrict employment, including
promotion, in any or all employment categories to individuals of the
particular religion.  The bill would specify that nonprofit public
benefit corporations remain subject to certain existing prohibitions
against discrimination in employment.   The bill would also make
technical, nonsubstantive changes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 12926.2 of the Government Code is amended to
read:
   12926.2.  As used in this part in connection with unlawful
practices, unless a different meaning clearly appears from the
context:
   (a) "Religious corporation" means any corporation formed under, or
otherwise subject to, Part 4 (commencing with Section 9110) or Part
6 (commencing with Section 10000) of Division 2 of Title 1 of the
Corporations Code, and also includes a corporation that is formed
primarily or exclusively for religious purposes under the laws of any
other state to administer the affairs of an organized religious
group and that is not organized for private profit.
   (b) "Religious duties" means duties of employment connected with
carrying on the religious activities of a religious corporation or
association.
   (c) Notwithstanding subdivision (d) of Section 12926 and except as
otherwise provided in subdivision (d) of this section, "employer"
includes a religious corporation or association with respect to
persons employed by the religious association or corporation to
perform duties, other than religious duties, at a health care
facility operated by the religious association or corporation for the
provision of health care that is not restricted to adherents of the
religion that established the association or corporation.
   (d) "Employer" does not include a religious corporation with
respect to either the employment, including promotion, of an
individual of a particular religion, or the application of the
employer's religious doctrines, tenets, or teachings, in any work
connected with the provision of health care.
   (e) Notwithstanding subdivision (d) of Section 12926, "employer"
does not include a nonprofit public benefit corporation incorporated
to provide health care on behalf of a religious organization under
Part 2 (commencing with Section 5110) of Division 2 of Title 1 of the
Corporations Code, with respect to employment, including promotion,
of an individual of a particular religion in an executive or
pastoral-care position connected with the provision of health care.
   (f) (1) Notwithstanding any other provision of law, a nonprofit
public benefit corporation formed by, or affiliated with, a
particular religion and that operates an educational institution as
its sole or primary activity, may restrict employment, including
promotion, in any or all employment categories to individuals of a
particular religion.
   (2) Notwithstanding paragraph (1) or any other provision of law,
employers that are nonprofit public benefit corporations specified in
paragraph (1) shall be subject to the provisions of this part in all
other respects, including, but not limited to, the prohibitions
against discrimination made unlawful employment practices by this
part.