Governor Brown Signs SB 1038, Eliminating FEHC and Transferring Duties to DFEH

Governor Brown yesterday signed Senate Bill 1038, which eliminates the Fair Employment and Housing Commission (FEHC), transfers its duties to the Department of Fair Employment and Housing (DFEH) and makes certain other changes to the Fair Employment and Housing Act (FEHA). The new law takes effect on January 1, 2013.  As summarized by DFEH Director Phyllis Cheng:

The California Fair Employment and Housing Act [FEHA] establishes the Department of Fair Employment and Housing [DFEH] in the State and Consumer Services Agency, with the power and duties to, among other things, receive, investigate, and conciliate complaints relating to employment and housing discrimination. The [FEHA] also establishes the Fair Employment and Housing Commission [FEHC] within the State and Consumer Services Agency, with the powers and duties to, among other things, conduct hearings, subpoena witnesses, create or provide financial or technical assistance to advisory agencies and conciliation councils, publish opinions and publications, and conduct mediations at the request of the [DFEH].

This bill would eliminate the [FEHC] and would transfer the duties of the commission to the [DFEH]. The bill would create within the department a Fair Employment and Housing Council that would succeed to the powers and duties of the former commission. The bill would establish the Fair Employment and Housing Enforcement and Litigation Fund in the State Treasury to be administered by the department, subject to appropriation, for purposes of deposit of attorney’s fees and costs awarded to the department in specified civil actions. The bill would expand specified powers of the department related to complaints, mediations, and prosecutions, and would provide mandatory dispute resolution at no cost to the parties involved, as specified. The bill would eliminate a specified cap of actual damages under the act, and would instead require certain actions be brought in court by civil action, rather than by accusation by the department. The bill would make these provisions operative on January 1, 2013.

For those who want to read the whole bill (all 150+ pages of it), it is available here.