[Jimgolf]

This article doesn't quote the law that is being interpreted, so it's hard to predict which way the court will rule.

The law prohibits religious discrimination in education. The question is whether not accomodating a religious school amounts to discrimination. It appears that the answer is no, but that a reasonable attempt must be made to accomodate them. Making accomodations for other reasons, but not for religious reasons, clearly seems to be discriminatory.

It appears to me that the court will rule that the association must make an attempt to accomodate and not dismiss the accomodation out of hand. This still leaves the final decision to the association but doesn't leave the religious schools totally in the lurch.