This bill prohibits institutions of higher education from using cultural competency and knowledge of specific ethnic or religious groups as criteria for employment or promotion decisions. Specifically, it states that candidates' cultural competency skills and their knowledge of any particular ethnic or religious group cannot be considered during the review process. If an institution fails to comply with this provision, as determined by the Secretary of Higher Education, it will lose eligibility for state support for its operational and capital costs.

However, the bill does include an exemption for positions where cultural competency skills or knowledge of a particular ethnic or religious group is deemed essential, as determined by the Secretary of Higher Education. This means that while the general criteria are prohibited, certain roles that require such competencies may still consider them in their hiring or promotion processes. The bill is set to take effect immediately upon passage.