Because a reporter says it in a newspaper doesn't mean it's true; in fact, that may be a good indication that it's propaganda, and off the point of the legal priorities of the case involving a lease agreement that long, long predated any recent discrimination statutes.
No, actually it's true. A California case, Evans v. Berkley, that resulted when the city of Berkley stopped providing free use of a marina to the Sea Scouts because of their policy towards homosexuals. The California Supreme Court ruled in favor of Berkley and against the Scouts and said that the city had done nothing wrong and said, "We agree with Berkeley and the Court of Appeal that a government entity may constitutionally require a recipient of funding or subsidy to provide written, unambiguous assurances of compliance with a generally applicable nondiscrimination policy. We further agree Berkeley reasonably concluded the Sea Scouts did not and could not provide satisfactory assurances because of their required adherence to BSA’s discriminatory policies." When the case was appealed to the Supreme Court, the court rejected the appeal without comment, and let the lower ruling stand.