U.S. Justice Department officials notified Gov. Pat McCrory on Wednesday that House Bill 2 violates the U.S. Civil Rights Act.
The department gave state officials until Monday to address the situation “by confirming that the State will not comply with or implement HB2,” the letter from Principal Deputy Assistant Attorney General Vanita Gupta said.
The letter said HB2, which requires transgender individuals to use bathrooms according to the gender on their birth certificate, violates Title VII, which prohibits an employer from discriminating against an individual on the basis of sex, and Title IX, which bars discrimination in education based on sex, of the Civil Rights Act.
If the determination is upheld, the state could lose millions in federal school funding.
You can read the full letter by clicking through the slideshow below or by viewing it as a PDF here.