HB1520: HB1520 Rental Pricing Integrity Act; enact

26 LC 60 0309 House Bill 1520 By: Representatives Miller of the 62nd, Draper of the 90th, Jackson of the 68th, Campbell of the 35th, Cummings of the 39th, and others A BILL TO BE ENTITLED AN ACT To amend Part 2 of Article 15 of Chapter 1 of Title 10 of the O fficial Code of Georgia1 Annotated, relating to the "Fair Business Practices Act of 1975 ," so as to prohibit certain2 practices by landlords and coordinators involving the use of no npublic competitor data to3 influence rental price and occupancy decisions; to provide for annual certification and record4 retention; to provide for enforcement; to provide for a short title; to provide for legislative5 findings and intent; to provide for an effective date and applicability; to provide for related6 matters; to repeal conflicting laws; and for other purposes.7 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:8 SECTION 1.9 This Act shall be known and may be cited as the "Rental Pricing Integrity Act." 10 SECTION 2.11 The General Assembly finds that fair competition in residential rental markets protects12 consumers from artificially inflated housing costs and that the use of nonpublic competitor13 data in coordinated pricing systems may undermine independent market competition. It is14 H. B. 1520 - 1 - 26 LC 60 0309 the intent of the General Assembly to promote transparency, acc ountability, and fair15 competition in residential rental pricing.16 SECTION 3.17 Part 2 of Article 15 of Chapter 1 of Title 10 of the Official C ode of Georgia Annotated,18 relating to the "Fair Business Practices Act of 1975," is amended in subsection (b) of Code19 Section 10-1-393, relating to unfair or deceptive practices in consumer transactions unlawful20 and examples, by striking "and" at the end of paragraph (36), replacing the period at the end21 of paragraph (37) with "; and", and by adding a new paragraph to read as follows:22 "(38) Failure to comply with the provisions of Code Section 10-1-393.22 regarding rent23 pricing for residential properties."24 SECTION 4.25 Said part is further amended by adding a new Code section to read as follows:26 "10-1-393.22.27 (a) As used in this Code section, the term:28 (1) 'Algorithmic rent-setting tool' means any system, software, data analytics platform,29 or computational process that:30 (A) Analyzes rental market data; and31 (B) Generates rental price or occupancy recommendations for residential property.32 (2) 'Coordinator' means any person that sells, licenses, or op erates an algorithmic33 rent-setting tool to or on behalf of a landlord.34 (3) 'Landlord' means the owner, lessor, or sublessor of a residential property or any agent35 thereof, including, but not limited to, a property manager.36 (4) 'Nonpublic competitor data' means rental market data of a landlord that is not37 publicly available.38 H. B. 1520 - 2 - 26 LC 60 0309 ( 5 ) ' R e n t a l m a r k e t d a t a ' m e a n s r e n t a l p r i cing, occupancy, lease term, concession,39 renewal, or supply data relating to residential property, or any data derived therefrom.40 (6) 'Residential property' means any building, structure, or portion thereof which is used41 or intended for use as a dwelling.42 (b) Without otherwise limiting the definition of unfair or deceptive acts or practices under43 this part, it shall be unlawful for any landlord or coordinator to sell, license, operate, use,44 or otherwise rely on an algorithmic rent-setting tool that uses or incorporates nonpublic45 competitor data from two or more landlords competing in the same or a similar market to46 generate rental price or occupancy recommendations for residential property.47 (c) Any landlord or coordinator that uses an algorithmic rent-setting tool shall:48 (1) Annually certify to the Attorney General, in such form as the Attorney General may49 prescribe, that such tool does not use or incorporate nonpublic competitor data in50 violation of subsection (b) of this Code section; and 51 (2) Retain for a period of not less than five years:52 (A) Contracts with rental pricing software vendors;53 (B) Documentation describing data inputs used by any algorithmic rent-setting tool;54 (C) Records of rental price recommendations generated; and55 (D) Records sufficient to demonstrate independent pricing decisions.56 (d) Any violation of subsection (b) or (c) of this Code section shall constitute an unfair or57 deceptive act or practice in the conduct of consumer transactions under this part; provided,58 however, that enforcement against such violations shall only be by public enforcement by59 the Attorney General pursuant to this part and shall not be enf orceable through a private60 right of action under Code Section 10-1-399."61 SECTION 5.62 (a) This Act shall become effective upon its approval by the Governor or upon its becoming63 law without such approval.64 H. B. 1520 - 3 - 26 LC 60 0309 (b) This Act shall apply to all rental agreements entered into on or after the effective date65 of this Act and to any renewals, modifications, or extensions of such agreements entered into66 on or after such date.67 SECTION 6.68 All laws and parts of laws in conflict with this Act are repealed.69 H. B. 1520 - 4 -