The bill, H.B. No. 3427, seeks to amend the Local Government Code by adding Section 180.011, which prohibits political subdivisions from implementing certain diversity, equity, and inclusion (DEI) policies. Specifically, it defines DEI policies as those that require or promote hiring practices based on race, sex, color, or ethnicity, provide differential treatment based on these characteristics, or promote specific opinions related to concepts such as unconscious bias or systemic oppression. The bill stipulates that unless mandated by state or federal law, political subdivisions cannot adopt or enforce DEI policies or compel employees to participate in related training.

Additionally, the bill allows individuals, including the attorney general, to bring legal action against political subdivisions that violate these prohibitions, with the possibility of recovering attorney's fees and costs if they prevail. It also includes provisions for the potential loss of state grant funds for political subdivisions found to have violated the law. The bill is set to take effect on September 1, 2025.

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