This is a RUSH transcript from "The O'Reilly Factor," October 1, 2009. This copy may not be in its final form and may be updated.
Watch "The O'Reilly Factor" weeknights at 8 p.m. and 11 p.m. ET!
BILL O'REILLY, HOST: In the "Culture Warriors" segment tonight: Did you know some colleges have to tell their students they can't have sex in front of their roommates? Did you know that? It's happening.
But first, another controversial California lesson plan in public schools. Some middle and high school students apparently being shown films produced by a gay media group in San Francisco, including this one about cross-dressing.
O'REILLY: Brilliant. Joining us now from Charleston, South Carolina, FOX News analyst Margaret Hoover, and here in the studio, "FOX & FRIENDS" co-anchor Gretchen Carlson.
You know people who live in other parts of the country, and they're going: Are you kidding me? We're not kidding you, ladies and gentlemen. California public schools, all right? Here's the punt. Students sit there, here it is. Now, I guess it's the tolerance thing again, right?
GRETCHEN CARLSON, CO-HOST, "FOX & FRIENDS": Oh, come on.
O'REILLY: Well, that's why — that's how it's being marketed.
CARLSON: This obviously crosses the line of tolerance.
O'REILLY: But OK, but let's walk through it. It's being marketed by the California public school authorities as teaching their students to be tolerant of all lifestyles, including this person wearing women's clothes. He's a guy.
O'REILLY: That's what the intent is, correct?
CARLSON: Well, the problem is, and first of all, nothing against gays, lesbians or transgender people, but there's a time and a place for everything. And I do not believe the time and place for a child to learn about this is elementary school, maybe even middle school.
O'REILLY: Middle school, yeah. Middle school.
CARLSON: And No. 1, the time and the place should be for the parent to tell the child about these specific things, if they so chose. Why is it so always that the parent who has to opt out of these particular programs at school? And by the way, in this California case, the parents didn't even know about these videos.
O'REILLY: Yeah, they just dropped on the kids. Right.
CARLSON: Can you imagine that if you're — I don't know how you'd feel about your kids seeing this at school without your knowledge, but I would be outraged.
O'REILLY: Well, I'm not happy about this at all, Hoover, because again, it's a social engineering project in the public schools. The parents don't know about it. I don't want cross-dressers to have a hard time in their lives. I certainly don't want any bullying of gay people, and I think it's a problem. And I think it has to be addressed by the school authorities, but you're basically social engineering. You're not teaching anymore. Am I wrong?
MARGARET HOOVER, REPUBLICAN STRATEGIST: Right. No, you're right. And also, sexuality studies has no place in an elementary, middle school or high school curriculum. That's like an elective in college. This is not to be taught in our public schools, when you're know, five through 12 years.
O'REILLY: But they have sex ed all day long in the public schools now. They have sex ed.
HOOVER: Right. And you know what? And that's why, you know what, not all day long but this is — they need to be teaching kids the Gettysburg Address and the American presidents. And you know what? The California kids could take a lesson in finance or two and maybe their state legislatures would learn how to balance their budget. I mean, this is a problem.
O'REILLY: But let's deal with reality, Hoover. Hoover, let's deal with reality.
HOOVER: They're not.
O'REILLY: They have sex ed. It's in the schools. It has to be in the schools. We understand why, because you've got a society that's fairly permissive. And children are becoming pregnant. And they're getting abortions. And they're having babies. And the school has an obligation in a health situation, in a health situation, all right, to say, look, here's what is going on. Here's how you can prevent it. Here's why you shouldn't do it. The Congress is going to pass more abstinence money — that drives the left crazy, but that's happening. But this, Hoover…
HOOVER: There's nothing wrong…
O'REILLY: This is social engineering. This is basically saying, look, you kids, there are cross-dressers and you should be accepting of them. And kids are going what's cross-dressing and why am I watching this?
CARLSON: Exactly. And about one percent of the population may be cross-dressers. It's probably even less than that. So again, why are we…
O'REILLY: I don't know. I don't know why we are doing this.
CARLSON: …catering to a very small percentage of society?
O'REILLY: Because they have a lot of power, and the loopy educational people…
CARLSON: I just know my kids have a tough enough time figuring out regular, you know, married man and woman. And to introduce this at a young level just complicates matters.
O'REILLY: OK, Hoover you went to Stanford University, right?
HOOVER: No, I didn't. I went to Bryn Mawr College.
O'REILLY: Oh, Bryn Mawr in Philadelphia. I thought you went to Stanford. OK.
CARLSON: I did.
O'REILLY: You went to Stanford?
O'REILLY: I'm sorry. I got the "Culture Warriors" mixed up.
HOOVER: You confused the "Culture Warriors."
O'REILLY: Right, right. Yeah, no, Carlson went there. You went to Bryn Mawr.
HOOVER: No, it's OK.
HOOVER: You got it.
O'REILLY: All right. Now, Tufts, outside of Boston, issued their 2010 student handbook. And in the handbook it says, HOOVER: "Students may not engage in sexual activity with your roommate present in the room. And sexual activity within your assigned room should not ever deprive your roommate of privacy, study, or sleep time."
Now, when I went to Marist College, my yearbook said if you get drunk, we're throwing you off campus. They didn't have to say this, OK?
HOOVER: You know, I hate to break it to you, but since the olden days when you were in college…
O'REILLY: The olden days.
HOOVER: ...kids now…
O'REILLY: It's kind of like Death Valley days.
HOOVER: Kids have, kids, Bill, have way more sex and way less manners.
HOOVER: And this actually is probably a very useful rule for kids to think, wow…
O'REILLY: It's unbelievable…
HOOVER: …I need to be respectful…
O'REILLY: …that they have to put that in the student handbook.
HOOVER: ...of other people.
CARLSON: Oh, come on. I think that this is a necessity, actually.
CARLSON: Yes, I think it's totally disrespectful to your roommate.
O'REILLY: Of course it is, but shouldn't everybody know that?
CARLSON: No. Are you kidding me?
O'REILLY: No, but they don't know that?
CARLSON: It's a "me, me" society now. Are you kidding?
O'REILLY: Wait, Carlson, you're sitting there and you're telling me that college students don't know you're not supposed to have sex in front of your roommate? Are you sitting there telling me that?
CARLSON: Why is that so shocking?
O'REILLY: Because they're stupid. How did they get into college? That's stupid.
CARLSON: Come on, I think that's being naive that you don't think that they might actually have sex…
O'REILLY: You're telling me that college students don't know they're not supposed to do that?
CARLSON: I'm telling you that they're doing it.
O'REILLY: Well, they may be doing it, but they have to know — am I wrong, Hoover, that it's stupid, wrong, whatever you want to say? Intrusive?
HOOVER: A lot of people know that it's disrespectful. Most people know that…
HOOVER: …it's disrespectful. And for — however, if you don't lay out some ground rules, then how is the RA going to be able to go to the kid who did it and say, look…
O'REILLY: But you have to…
HOOVER: …you do (INAUDIBLE).
O'REILLY: ...define it in order to punish it.
CARLSON: It's impossible to enforce though.
HOOVER: So it's not even punishing, but it is impossible to enforce.
CARLSON: It's impossible to enforce.
HOOVER: But you have to have residential rules, and this is one of them. Not necessarily obvious.
O'REILLY: OK, here we go.
CARLSON: News flash.
O'REILLY: This is America. I got it. Look, I got it. The olden days, ladies and gentlemen, I think they were better.
Content and Programming Copyright 2009 FOX News Network, LLC. ALL RIGHTS RESERVED. Transcription Copyright 2009 CQ Transcriptions, LLC, which takes sole responsibility for the accuracy of the transcription. ALL RIGHTS RESERVED. No license is granted to the user of this material except for the user's personal or internal use and, in such case, only one copy may be printed, nor shall user use any material for commercial purposes or in any fashion that may infringe upon FOX News Network, LLC'S and CQ Transcriptions, LLC's copyrights or other proprietary rights or interests in the material. This is not a legal transcript for purposes of litigation.