1 of 1 SENATE DOCKET, NO. 1607 FILED ON: 1/16/2025 SENATE . . . . . . . . . . . . . . No. 994 The Commonwealth of Massachusetts _________________ PRESENTED BY: Cindy F. Friedman _________________ To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General Court assembled: The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill: An Act prohibiting algorithmic rent setting. _______________ PETITION OF: NAME:DISTRICT/ADDRESS :Cindy F. FriedmanFourth MiddlesexJulian CyrCape and Islands2/13/2025 1 of 3 SENATE DOCKET, NO. 1607 FILED ON: 1/16/2025 SENATE . . . . . . . . . . . . . . No. 994 By Ms. Friedman, a petition (accompanied by bill, Senate, No. 994) of Cindy F. Friedman and Julian Cyr for legislation to prohibit algorithmic rent setting. Housing. The Commonwealth of Massachusetts _______________ In the One Hundred and Ninety-Fourth General Court (2025-2026) _______________ An Act prohibiting algorithmic rent setting. Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows: 1 SECTION 1. Chapter 186 of the General Laws is hereby amended by adding the 2following section:- 3 Section 15G. (a) As used in this section, the following words shall have the following 4meanings unless the context clearly requires otherwise: 5 "Algorithmic device", any computational process, including a computational process 6derived from machine learning or other artificial intelligence techniques, that processes or 7calculates nonpublic competitor data for the purpose of advising a lessor or landlord concerning 8the amount of rent that the lessor or landlord may consider charging a tenant; provided, however 9that "algorithmic device" shall not include: (i) any report published periodically, but not more 10frequently than monthly, by a trade association that receives renter data and publishes it in an 11aggregated and anonymous matter; or (ii) a product used for the purpose of establishing rent or 2 of 3 12income limits in accordance with the affordable housing program guidelines of a local 13government, the commonwealth, the federal government or other political subdivision. 14 “Coordinating function”, any action that includes: (i) collecting historical or 15contemporaneous prices, supply levels or lease or rental contract termination and renewal dates 16of residential dwelling units from two or more rental property lessors or landlords; (ii) analyzing 17or processing of historical or contemporaneous prices, supply levels or lease or rental contract 18termination and renewal dates of residential dwelling units from two or more rental property 19lessors or landlords through use of a system, software or process that uses computation, 20including by using the information to train an algorithm; and (iii) recommending rental prices, 21lease renewal terms or ideal occupancy levels to a rental property lessor or landlord. 22 "Coordinator", any person who operates an algorithmic device, software or data analytics 23service that performs a coordinating function for any residential rental property lessor or 24landlord, including a residential rental property lessor or landlord performing a coordinating 25function for their own benefit. 26 "Nonpublic competitor data", information that is not widely available or easily accessible 27to the public, including information about actual rent prices, occupancy rates, lease start and end 28dates, and similar data, regardless of whether the data are attributable to a specific competitor or 29anonymized, and that is derived from or otherwise provided by another person that competes in 30the same market as a person, or a related market. 31 “Person”, any natural person or persons, or any corporation, partnership, company, trust 32or association of persons. 3 of 3 33 "Residential Dwelling Unit", any house, apartment, accessory unit or other unit intended 34to be used as a primary residence in the state. 35 (b) In setting the amount of rent to be charged to a tenant for the occupancy of a 36residential dwelling unit, determining any change in the amount of rent to be charged to a tenant 37for the renewed occupancy of a residential dwelling unit, or otherwise determining what amount 38to charge a tenant to rent a residential dwelling unit, or determining occupancy levels of 39residential dwelling units, no lessor or landlord shall employ, use or rely upon an algorithmic 40device or coordinator. 41 (c) A violation of this section shall constitute a violation of section 2 of Chapter 93A. 42 SECTION 2. This act shall take effect 90 days after its passage.