Minnesota House Bill HF1142

Minnesota 2025-2026 Regular Session

• Introduced: 2/19/25
• Refer: 2/19/25

Caption

Use of tenant screening software that uses nonpublic competitor data to set rent prohibited, and use of software that is biased against protected classes prohibited.

Impact

The implications of HF1142 are significant, as it seeks to amend Minnesota Statutes, specifically section 504B.245, relating to tenant protections. By disallowing the algorithmic determination of rent based solely on nonpublic data, it aims to promote equity in housing access and affordability. Moreover, the introduction of strict regulations around screening software seeks to mitigate biases that may discriminate against protected classes, potentially improving housing security for vulnerable populations.

Summary

HF1142 is a legislative bill aimed at regulating the use of tenant screening software in Minnesota, particularly prohibiting its reliance on nonpublic competitor data for determining rent prices. The bill delineates specific guidelines preventing landlords from utilizing algorithmic tools that might use proprietary data from competing rental properties to set rent amounts, reflecting a growing concern over fairness and transparency in rental practices. Alongside these provisions, the bill calls for the prohibition of algorithms that disproportionately and arbitrarily affect certain protected classes as outlined in state law.

Contention

Debate surrounding the bill may arise particularly around concerns regarding landlords’ operational flexibility and the broader impacts on rental market dynamics. Proponents of the bill argue that it is vital for promoting justice and preventing discriminatory practices in the housing market. However, opponents might contend that these measures could limit landlords' ability to make informed decisions based on market trends, potentially leading to adverse effects on the availability of rental housing and increasing rents in certain areas.