H.B. No. 38, introduced by Gonzlez of Dallas, seeks to prohibit discrimination in public accommodations across Texas and establishes civil penalties for violations. The bill adds Chapter 101A to the Business & Commerce Code, defining key terms such as "discriminatory practice," "public accommodation," "gender identity," and "sexual orientation." It explicitly prohibits discrimination based on various categories, including race, color, disability, religion, sex, national origin, age, sexual orientation, gender identity, and military veteran status, while exempting certain establishments like private clubs and religious organizations. The legislation also outlines a complaint process through the Texas Workforce Commission, including a 180-day statute of limitations and encourages alternative dispute resolution methods.

Additionally, the bill amends the Labor Code and Property Code to expand protections against discrimination in employment and housing, specifically including sexual orientation, gender identity, and military veteran status. It removes previous exclusions of age and disability in certain contexts and establishes a new subchapter for judicial enforcement, allowing the commission to pursue civil actions against discriminatory practices. The bill emphasizes expedited legal processes and the potential for compensatory and punitive damages, ensuring individuals facing discrimination have clear legal recourse. Importantly, the changes will apply only to conduct occurring on or after the effective date of September 1, 2025, maintaining the validity of prior laws for actions and complaints that occurred before this date.

Statutes affected:
Introduced: Labor Code 21.002, Labor Code 21.005, Labor Code 21.051, Labor Code 21.052, Labor Code 21.053, Labor Code 21.054, Labor Code 21.059, Labor Code 21.102, Labor Code 21.112, Labor Code 21.113, Labor Code 21.120, Labor Code 21.122, Labor Code 21.124, Labor Code 21.125, Labor Code 21.126, Labor Code 21.152, Labor Code 21.155, Property Code 301.003, Property Code 301.021, Property Code 301.022, Property Code 301.023, Property Code 301.024, Property Code 301.026, Property Code 301.027, Property Code 301.042, Property Code 301.068, Property Code 301.171 (Property Code 301, Labor Code 21)