It's actually more complicated than that. I'm from SF and had friends there. Here's what one posted about it...
"Her performance was simply this: She took one person from a bunch of different types: White Queen, Black Queen, Asian Queen, Straight Girl. After choosing these 4 people, they were all going to lip sync. Well, she had 4 wigs in a crate. Some chunky Latino bitch in the audience who thought she was the shit said "What about the Latinos??" She said fine, latino bitch you too. So the latino gay dude was last, his performance sucked, she basically read him to filth using the stereo types (and said I think your asshole knew the lyrics to that song better than you did! hilarious cuz thats all he did was shake his ass).
At the end when she brought everyone back on stage to applaud the "winner" (obviously the black guy with amazing dancing), this guy in the video, was on his way out of the club and yelled at her from the stair way. She said oh ya, you have something to say come up here and say it! So he did, he basically was almost in drunken tears while trying to say the entire latino community was insulted, then thats when the video you see takes place.
See, the thing is, Bianca stays true to herself. Is it really racist if she picks on everyone equally? She hates everyone. She even made fun of "that old queen that jacks off on everyone at Folsom Street Fair, whats his name? Oh ya Brian Kent" No one would get that joke but I sure as hell did and I FUCKIN DIED! (because he's my boss, he was in the audience, and theyre friends from NYC)
She made fun of white, black, asian, straight girl, latino.... I was in stitches and actually quite embarrassed for this guy who was obviously drunk and doesnt have the intelligence to realize this is an act that plays on stereotypes. I highly doubt she truly believes half the stuff that came out of her mouth, but her shit is hilarious and I applaud her for letting this guy speak his mind then shutting him DOWN."