BILL ANALYSIS                                                                                                                                                                                                    �



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         SENATE THIRD READING
         SB 559 (Padilla)
         As Amended June 21, 2011
         Majority vote 

          SENATE VOTE  :25-13  
          
         JUDICIARY           7-3         APPROPRIATIONS      11-5        
          
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         |Ayes:|Feuer, Atkins, Dickinson, |Ayes:|Fuentes, Blumenfield,     |
         |     |Huber, Huffman, Monning,  |     |Bradford, Charles         |
         |     |Wieckowski                |     |Calderon, Campos, Gatto,  |
         |     |                          |     |Hall, Hill, Lara,         |
         |     |                          |     |Mitchell, Solorio         |
         |     |                          |     |                          |
         |-----+--------------------------+-----+--------------------------|
         |Nays:|Wagner, Beth Gaines,      |Nays:|Harkey, Donnelly,         |
         |     |Jones                     |     |Nielsen, Norby, Wagner    |
         |     |                          |     |                          |
          ----------------------------------------------------------------- 
          SUMMARY  :  Prohibits discrimination based on genetic information.  
         Specifically,  this bill  : 

         1)Prohibits discrimination under the Unruh Civil Rights Act 
           (Unruh) and the Fair Employment and Housing Act (FEHA) on the 
           basis of genetic information.

         2)Prohibits discrimination in state government programs, benefits 
           and activities, or in programs receiving financial assistance 
           from the state on the basis of genetic information.

         3)Defines "genetic information" as information about any of the 
           following:  a) an individual's genetic tests; b) the genetic 
           tests of family members of the individual; and, c) the 
           manifestation of a disease or disorder in family members of the 
           individual.  Includes in the meaning of genetic information any 
           request for, or receipt of, genetic services, or participation 
           in clinical research that includes genetic services by an 
           individual or any family member of the individual.  Excludes 
           information about sex or age of an individual from the 
           definition of genetic information.

         4)States the findings and intent of the Legislature that, among 
           other things:  a) because some genetic traits are most prevalent 







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           in particular groups, members of a particular group may be 
           stigmatized or discriminated against as a result of that genetic 
           information; b) examples of genetic discrimination in the 
           workplace include the use of pre-employment genetic screening at 
           Lawrence Berkeley Laboratory; and, c) the State of California 
           has a compelling public interest in realizing the medical 
           promise of genomics, but also has a compelling public interest 
           in relieving the fear of discrimination and in prohibiting its 
           actual practice.

          EXISTING LAW  :

         1)Prohibits, under Unruh, business establishments from 
           discriminating on the basis of sex, race, color, religion, 
           ancestry, national origin, disability, medical condition, 
           marital status, or sexual orientation and provides civil 
           remedies for violations of its provisions.  

         2)Prohibits, under FEHA, discrimination in housing and employment 
           on the basis of race, religious creed, color, national origin, 
           ancestry, physical disability, mental disability, medical 
           condition, marital status, sex, age, or sexual orientation.  

         3)Prohibits discrimination in state government programs, benefits 
           and activities, or in programs receiving financial assistance 
           from the state, on the basis of race, national origin, ethnic 
           group identification, religion, age, sex, sexual orientation, 
           color or disability.  

         4)Prohibits licensees under the Business and Professions Code from 
           discriminating on the basis of any characteristic set forth in 
           Unruh, but provides that this provision should not be 
           interpreted to prevent a physician or licensed health care 
           professional from considering those characteristics if medically 
           necessary to determine the appropriate diagnosis or treatment of 
           a patient.  

         5)Prevents health insurance plans from discriminating on the basis 
           of a person's genetic characteristics, as defined.  

         6)Limits how life or disability insurance plans can use a person's 
           genetic characteristics, as defined.  

          FISCAL EFFECT  :  According to the Assembly Appropriations 
         Committee:







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         1)Potential minor absorbable costs to the Department of Fair 
           Employment and Housing to receive and investigate discrimination 
           claims based on the added characteristic of genetic information.

         2)Minor increase in court costs and caseloads, and in the civil 
           case backlogs, due to additional filings related to a new cause 
           of action, and minor non-reimbursable costs to local governments 
           regarding investigation and prosecution of potential violations 
           of certain nondiscrimination statutes which carry a misdemeanor 
           penalty. 
          
         COMMENTS  :  Genetic testing is a sophisticated technique used to 
         test for genetic disorders.  The technology can lead to earlier 
         detection of illnesses, sometimes even before symptoms have begun, 
         which allows individuals to take steps early on to reduce the 
         likelihood that they will contract a particular disease.  These 
         rapid advances provide new opportunities for medical progress, but 
         may also give rise to the potential for discrimination based on 
         misuse of the genetic information.   
           
         The FEHA, Unruh and other statutes prohibit discrimination in 
         employment, housing, public accommodation, government programs and 
         services provided by business establishments on the basis of 
         specified personal characteristics such as sex, race, color, 
         national origin, religion, and disability.  Over time, these 
         statutes have evolved to include other characteristics such as 
         medical condition, marital status and sexual orientation to 
         generally reflect the state's public policy against discrimination 
         in all forms.  This bill adds genetic discrimination to the list 
         of the prohibited classifications for discrimination.

         Based on the early science of genetics, state laws were enacted 
         providing for the sterilization of persons deemed to have genetic 
         "defects."  California passed a nonconsensual sterilization law in 
         1909 and sterilized nearly 22,000 people from the time it was 
         enacted to when it was finally repealed in 1979.  Individuals 
         subjected to sterilization had been diagnosed with, among other 
         things, mental retardation, mental disease, epilepsy, blindness, 
         and hearing loss.  Most of these people were young, poor women.  

         Misuse of genetic information was again used as a basis for 
         discrimination in the 1970s when programs were implemented to 
         screen and identify carriers of sickle cell anemia, a disease 
         which predominately affects African Americans.  State legislatures 







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         began enacting laws requiring all African Americans to be screened 
         for sickle cell anemia even though other ethnic backgrounds are 
         potential carriers of the disease.  As a result, people carrying 
         the sickle cell anemia trait had difficulty finding employment and 
         health insurance even if they did not ultimately develop the 
         disease.  

         As recently as the 1990s, the Lawrence Berkeley Laboratory used 
         genetic screening, including screening for the sickle cell anemia 
         trait, under the premise of testing employees for drugs.  The 
         employees brought suit against their employer, alleging a 
         violation of both federal and California privacy rights which led 
         to a court decision in favor of the employees.  (Norman-Bloodsaw 
         v. Lawrence Berkeley Lab. (1998) 135 F.3d 1260.)

         In 2008, Congress enacted the federal Genetic Information 
         Nondiscrimination Act (GINA) which prohibits discrimination in 
         employment and health insurance based on genetic information.  
         (P.L. 110-233.)  The federal GINA garnered bipartisan support, 
         passing the United States Senate unanimously and by a 414-1 vote 
         in the Unites States House of Representatives and was signed into 
         law by President Bush in 2008.  GINA prohibits health insurers or 
         health plan administrators from requiring genetic information 
         about an individual or the individual's family members, or using 
         it for decisions regarding coverage, rates, or preexisting 
         conditions.  The federal law also generally prohibits employers 
         from using genetic information for hiring, firing, or promotion 
         decisions.  However, GINA is not comprehensive as California law 
         is in protecting against discrimination in other areas.  For 
         example, GINA's prohibition on employer discrimination only 
         applies to employers of 15 or more employees.  This bill codifies 
         in state law the same protections in GINA, but also expands upon 
         those protections. 

         The Unruh Act generally prohibits business establishments from 
         discriminating on the basis of sex, race, color, religion, 
         ancestry, national origin, disability, or medical condition, 
         marital status, or sexual orientation.  The Unruh Act is meant to 
         cover all arbitrary and intentional discrimination by a business 
         establishment on the basis of the personal characteristics listed 
         above.  

         FEHA prohibits discrimination in housing and employment on the 
         basis of race or color; religion; national origin or ancestry; 
         physical disability; mental disability or medical condition; 







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         marital status; sex or sexual orientation; age, with respect to 
         persons over the age of 40; and, pregnancy, childbirth, or related 
         medical conditions.  Additionally, FEHA prohibits discrimination 
         in housing based on the person's ability to pay.  The FEHA is the 
         principal California statute prohibiting employment and housing 
         discrimination covering employers, labor organizations, employment 
         agencies, apprenticeship programs, and any person or entity, who 
         aids, abets, incites, compels, or coerces the doing of a 
         discriminatory act.  

         This bill adds genetic information to the list of protected 
         classes to further enhance protections against discrimination.  
         While this bill would not have prevented Lawrence Berkeley 
         Laboratory from collecting its employees' genetic information, it 
         would have prevented the lab from using that information to 
         discriminate against employees.  For example, if an employee was 
         tested and determined to have a predisposition for a genetic 
         disorder, this bill would prohibit the lab from using that 
         information to decide not to promote the employee.
          

         Analysis Prepared by  :  Leora Gershenzon / JUD. / (916) 319-2334FN: 
         0001511