BILL ANALYSIS Ó SB 1442 Page 1 SENATE THIRD READING SB 1442 (Liu) As Amended August 8, 2016 Majority vote SENATE VOTE: 39-0 ------------------------------------------------------------------ |Committee |Votes|Ayes |Noes | | | | | | | | | | | | | | | | |----------------+-----+----------------------+--------------------| |Judiciary |10-0 |Mark Stone, Wagner, | | | | |Alejo, Chau, Chiu, | | | | |Gallagher, | | | | | | | | | | | | | | |Cristina Garcia, | | | | |Holden, Maienschein, | | | | |Ting | | | | | | | |----------------+-----+----------------------+--------------------| |Appropriations |20-0 |Gonzalez, Bigelow, | | | | |Bloom, Bonilla, | | | | |Bonta, Calderon, | | | | |Chang, Daly, Eggman, | | | | |Gallagher, Eduardo | | | | |Garcia, Holden, | | | | |Jones, Obernolte, | | SB 1442 Page 2 | | |Quirk, Santiago, | | | | |Wagner, Weber, Wood, | | | | |Chau | | | | | | | | | | | | ------------------------------------------------------------------ SUMMARY: Reorganizes, replaces, and relocates various anti-discrimination statutes and moves the authority to promulgate regulations that implement those statutes from various state agencies to the Department of Fair Employment and Housing. Specifically this bill: 1)Repeals and reorganizes various anti-discrimination statutes and transfers the authority to promulgate the rules and regulations that implement those statutes from the California Health and Human Services Agency (CHHSA) and other state agencies to the Department of Fair Employment and Housing (DFEH). 2)Specifies that, as of January 1, 2017, certain portions of the California Code of Regulations under the authority of the California Health and Human Services Agency shall be transferred to the portions of the California Code of Regulations under the jurisdiction of FEHA and specifies that, upon transfer, those regulations shall be deemed adopted by the Fair Employment and Housing Council of the DFEH (Council). 3)Requires the Council, within existing resources, to adopt additional regulations, as necessary, and to amend or repeal, as necessary, the regulations transferred to the DFEH from CHHSA, as specified. SB 1442 Page 3 4)Clarifies, consistent with other statutes, that discrimination based on a person's "disability" includes discrimination based on either a mental or physical disability. EXISTING LAW: 1)Provides, under the Unruh Civil Rights Act, that persons within the jurisdiction of this state are free and equal, and no matter what their sex, race, color, religion, ancestry, national origin, disability, medical condition, genetic information, marital status, sexual orientation, citizenship, primary language, or immigration status, are entitled to the full and equal accommodations, advantages, facilities, privileges, or services in all business establishments of every kind whatsoever. (Civil Code Section 51.) 2)Provides that no person in this state shall, on the basis of race, national origin, ethnic group identification, religion, age, sex, sexual orientation, color, genetic information, or disability, be unlawfully denied full and equal access to the benefits of, or be unlawfully be subject to discrimination under, any program or activity that is conducted, operated, or administered by the state or by any state agency, is funded directly by the state, or receives any financial assistance from the state. (Government Code Section 11135.) 3)Requires each state agency that administers a program or activity that is funded directly by the state or receives any financial assistance from the state and provides services to the public, as specified, to adopt such rules and regulations as are necessary to carry out the purpose and provisions of specified anti-discrimination provisions in the Government Code. (Government Code Section 11138.) SB 1442 Page 4 4)Requires the Secretary of California Health and Human Services (Secretary), with the advice and concurrence of the Council, to establish standards for determining which persons are protected by anti-discrimination provisions in the Government Code and standards for determining what practices are discriminatory. Specifies that the Secretary and the Council shall assist state agencies in coordinating their programs and activities as necessary so that consistent policies, practices, and procedures are adopted with respect to the anti-discrimination provisions of the Government Code. (Government Code Section 11139.5.) 5)Makes it an unlawful employment practice, subject to certain exceptions, for an employer because of the race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, genetic information, marital status, sex, gender, gender identity, gender expression, age, sexual orientation, or military and veteran status of any person, to refuse to hire or employ the person or to refuse to select the person for a training program leading to employment, or to bar or to discharge the person from employment or from a training program leading to employment, or to discriminate against the person in compensation or in terms, conditions, or privileges of employment. (Government Code Section 12940.) FISCAL EFFECT: According to the Assembly Appropriation committee, any additional costs to DFEH, for modifying regulations and administering what would likely be a small number of additional claims, would be minor and absorbable, and would be offset to some extent by the efficiencies gained in consolidating the specified responsibilities within DFEH. COMMENTS: This bill, which is sponsored by the Department of Fair Employment and Housing (DFEH), seeks to reorganize various anti-discrimination statutes in California and consolidate the SB 1442 Page 5 authority to promulgate rules and regulations pursuant to these statutes within DFEH, and more specifically within the Fair Employment and Housing Council of DFEH (Council), which, under existing law, is given the power and duty to adopt, promulgate, amend, and rescind rules and regulations consistent with the anti-discrimination provisions in Fair Employment and Housing Act (FEHA). According to the author, the problem with existing law is that that anti-discrimination provisions are spread across different statutes and "nearly each state agency [is required] to adopt its own implementing regulations." The author points out that DFEH is "the state entity with the expertise in enforcing anti-discrimination laws...which makes it the more logical choice" to administer the anti-discrimination statutes relating to state-funded programs. This bill will correct this deficiency in existing law by centralizing rule-making, investigation, and enforcement power squarely within the jurisdiction of DFEH. In order to ensure continuity in the transfer of these regulations, the bill specifies that upon transfer the regulations shall also be "deemed adopted" by the Council. Bill Does not Change Substantive Law or Create Any New Rights: The author and sponsor point out that SB 1442 "does not create a new right of action or expand existing rights." That is, the purpose of this measure is simply to reorganize the statutory framework and transfer portions of the Code of Regulations from one jurisdiction to another, but the bill seeks to do that by keeping the substance of existing rights, remedies, and regulations intact. Nor is the bill intended to change the law regarding administrative exhaustion, which is not required under Government Code Section 11135, but which generally is required under FEHA. This bill, however, does change existing language in one instance, but this is merely a clarification of existing law. Specifically, some anti-discrimination statutes list "disability" as one of the protected characteristics, while others list both "mental disability" and "physical disability." Substantively this does not make a difference, because "disability" has generally been construed as a broader term that SB 1442 Page 6 encompasses both mental and physical disabilities. Indeed, Government Code Section 11135(a) uses the term "disability" in its list of protected characteristics, but a later subdivision in the same section defines "disability" to mean "any mental or physical disability, as defined in Section 12926." This bill will simply clarify this by using both terms in Section 11135. Analysis Prepared by: Thomas Clark / JUD. / (916) 319-2334 FN: 0003981