The Supreme Court has ruled that they cannot have a nativity scene in Washington, D.C. This wasn't for any religious reasons. They couldn't find three wise men and a virgin.

In this joke, Leno riffs on U.S. church–state controversies over public Christmas displays by feigning a legal rationale for banning a nativity scene in Washington, D.C. The punchline pivots from an expected constitutional explanation (religion in public space) to a cynical, worldly one: modern politics can’t supply the moral exemplars the nativity requires. “Three wise men” suggests a shortage of prudent leadership, while “a virgin” adds a bawdy insinuation about sexual mores and scandal. The humor depends on incongruity—treating a sacred tableau as if it were a casting problem—and on satirizing Washington as a place where virtue and wisdom are in short supply.