BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 559
                                                                  Page  1

          SENATE THIRD READING
          SB 559 (Padilla)
          As Amended  August 15, 2011
          Majority vote 

           SENATE VOTE  :25-13  
           
           JUDICIARY           7-3         APPROPRIATIONS      11-5        
           
           ----------------------------------------------------------------- 
          |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 








                                                                  SB 559
                                                                  Page  2

            prevalent 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.

          5)Contains chaptering out language with AB 887 (Atkins).

           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.  








                                                                  SB 559
                                                                  Page  3


           FISCAL EFFECT  :  According to the Assembly Appropriations 
          Committee:

          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 








                                                                  SB 559
                                                                  Page  4

          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 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 








                                                                  SB 559
                                                                  Page  5

          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; 
          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) 319-2334


                                                                FN: 0001777