HB 2739 Summary

• Adds sexual orientation and gender identity as protected classes in Arizona's public accommodations, employment, and housing discrimination laws, with exemptions for religious organizations and institutions.

• Defines gender identity as gender-related identity, appearance or mannerisms regardless of designated sex at birth, demonstrated through medical history, consistent assertion, or evidence that it is sincerely held and part of core identity.

• Establishes religious and sex-based exemptions allowing sex-segregated facilities (fitness centers, spas, pools) to maintain exclusive services while providing reasonable privacy accommodations to patrons requesting greater privacy.

• Reduces the employer threshold for coverage under employment discrimination laws from 15 employees to 5 employees for sexual harassment claims and adds protections for religious observances and practices in the workplace.

• Declares regulation of sexual orientation and gender identity discrimination in public accommodations, employment, and housing to be matters of statewide concern that preempt local ordinances, with limited exception for municipalities with pre-existing five-employee employer definitions.