SECTION 1. Chapter 34-18 of the General Laws entitled "Residential Landlord and Tenant Act" is hereby amended by adding thereto the following section: 34-18-63. Determination of rent amount -- Use of algorithmic device prohibited.
(a) Definitions. For the purposes of this section:
(1) “Algorithmic device” means a device, software, tool, or model that uses one or more computer-based algorithms, including machine learning or artificial intelligence, to perform calculations concerning local or statewide rent amounts, occupancy trends, or other rental market data for the primary purpose of advising, recommending, or determining the amount of rent a landlord may charge, including adjustments to existing rent, that is not widely publicly accessible.
(2) “Nonpublic competitor data” means information that is derived from or about other landlords, renters, occupancy, or pricing that is not widely available to the general public, including but not limited to:
(i) Actual current rent prices for specific properties, units, or landlords collected from nonpublic sources;
(ii) Occupancy rates, lease start/end data, or historical rental performance data obtained from proprietary sources;
(iii) Data licensed or shared among participants in a competitive rental marketplace.
(3) “Rent” means the total consideration, fees, or charges a residential tenant is required to pay for occupancy of a residential premises under any rental agreement, including concessions.
(b) Prohibition. Effective January 1, 2027, no landlord, property owner, property manager, agent, or person acting on their behalf shall:
(1) Employ, use, knowingly rely upon, or cause another to employ, use, or rely upon an algorithmic device that incorporates, uses, or was trained using nonpublic competitor data for the purpose of determining, fixing, or suggesting the amount of rent to be charged to a residential tenant; or
(2) Use an algorithmic device to determine any change in rent for a renewed lease term or rent adjustment for an existing residential tenant.
(c) Exemptions. This section does not apply to:
(1) Rent or income limits established by federal, state, or local housing programs where algorithmic tools are used solely to comply with program guidelines;
(2) Tools that produce only historical reporting of aggregate market data published no more frequently than monthly, provided no individualized rent recommendations are made;
(3) Bona fide internal record-keeping or accounting systems that do not influence or set rent amounts.
(d) Enforcement and remedies.
(1) Violations of this section shall be deemed an unfair or deceptive act or practice under chapter 13.1 of title 6 ("deceptive trade practices").
(2) The Rhode Island attorney general, or any person aggrieved by a violation, may seek relief including equitable relief and civil penalties, as appropriate, under § 6-13.1-5 et seq.
(3) The attorney general may promulgate regulations necessary for enforcement of this section, including definitions, exemptions, recordkeeping requirements, and compliance processes.
(e) Severability. Should any provision of this section be held invalid, the remainder shall remain in full force and effect.
SECTION 2. This act shall take effect upon passage.