Study: 'Bathroom law' could cost North Carolina $5 billion a year
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North Carolina’s “bathroom law” could cost the state nearly $5 billion a year, according to a new study released by the Williams Institute at the UCLA School of Law.

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The controversial law, which requires that people use public restrooms that correspond to their biological sex, would cause the state to lose nearly $4.8 billion in federal grants and contracts, including $4.7 billion in funding for public schools, colleges and universities.

That’s in addition to the $40 million in business investment already withdrawn from the state and the risk of losing another $20 million from businesses, according to the study

U.S. Attorney General Loretta Lynch on Monday announced legal action against North Carolina, casting the issue as the latest civil rights struggle of the era.

“It was not so very long ago that states, including North Carolina, had other signs above restrooms, water fountains, and on public accommodations, keeping people out based on a distinction without a difference, ” Lynch said Tuesday.  

North Carolina officials also filed a lawsuit against the Justice Department, calling its position a “radical reinterpretation of Title VII of the Civil Rights Act.”

Gov. Pat McCrory (R) signed the law in March, sparking immediate controversy. City governments in other states have restricted travel to North Carolina for public business and numerous entertainment acts to cancel appearances.

Opponents of the law call it discriminatory to the transgender community.