http://www.npr.org/templates/story/story.php?storyId=176708316
Author: Associated Press Source: NPR News/AP

Lawmakers in California are considering a tax bill known as the Youth Equality Act which would take away some of the tax exemptions for youth groups that discriminate against members and leaders based on gender identity, sexual orientation, race, nationality, religion/religious affiliation. "The legislation would deny tax-exempt status to nonprofit youth groups that discriminate on the basis of gender identity, race, sexual orientation, nationality, religion or religious affiliation. As a result, it would require those organizations to pay corporate taxes on donations, membership dues, camp fees and other sources of income, and to obtain sellers permits and pay sales taxes on food, beverages and homemade items sold at fundraisers."

Some groups are concerned about First Amendment rights, since the Supreme Court has said that private organizations can exclude gays and lesbians, but the California Legislative Analyst's Office has said the state has the authority to decide what groups qualify for tax breaks.

As written, this bill will do little in financial damage to the Boy Scouts Of America or to its local scout units.  This is due to the structure of the Boy Scout organization.  Non profit organizations that will keep their tax exempt status are the primary donees of funds by Scout families.  I see this as a bigger finanacial burden for the state tax agency that will enforce this than it will provide offsetting revenue. (I used to work for that agency, and I was also fully trained in the Boy Scout program and its financial dealings, thus my pessimism.)

California has much bigger and significant problems than the Boy Scouts.

  I agree with tht two posts above. 

  Joelene,
  Former Boy Scout