Committee hears bill to pilot rent-payment credit reporting for tenants

House Bill 19-27, which would create a rent-payment reporting pilot allowing tenants to opt in to have rent payment history reported to consumer reporting agencies, drew broadly supportive testimony on Feb. 17 before the Washington State House Housing Committee.

The bill matters because proponents say reporting on-time rent payments could help renters — particularly low-income households, students and single parents — build credit scores and improve access to loans and housing, a step supporters say can create a clearer pathway to homeownership.

Audrey Vasek, staff to the committee, summarized the bill: the Department of Financial Institutions (DFI) would contract with a third party to administer a pilot and must adopt rules by Dec. 1, 2025, including a standard tenant opt-in/opt-out form. The third-party must begin recruiting participants on Dec. 15, 2025, attempting to include no more than 10 landlords and at least 100 tenants. Tenants and landlords must agree in writing to participate; landlords would commit to at least 14 months and may not charge tenants to participate. Subject to appropriations, landlords could be reimbursed for reasonable participation expenses. DFI must report to the Legislature by July 1, 2028, on participation, costs, reporting mechanisms and impact on tenant credit. The bill would expire July 1, 2029.

Audrey told the committee the bill is modeled on a Colorado pilot: "the Colorado pilot program ran from October 2021 to April 2024 involving 6 landlords and 443 tenants," and participants saw an average credit-score increase of 62 points, she said, as part of the factual background to HB 19-27.

Rep. Natasha Hill (Vice Chair, sponsor) urged the committee to approve the pilot, saying it helps people historically left out of credit-building: "This is a huge opportunity for us, to allow folks who've historically been left out...to receive a positive credit reporting for paying their rent on time," she said. Several tenant-advocacy and labor groups also testified in support. Nicole Gomez of the Washington Federation of State Employees, representing public employees, cited the Colorado outcomes: "Tenants who participated in the program saw an average credit score increase of 62 points," and urged lawmakers to back the bill. Alice Alleray, acting chair of the Spokane Youth Action Board and a member of the Office of Homeless Youth, said as a formerly homeless person she supports measures that expand access to credit and stable housing.

Supporters described the program as voluntary and tenant-driven. When Rep. Dufeau asked whether the pilot would report only positive payments, Nicole Gomez and staff responded that this version of the bill is intended to be positive-reporting by design. At one exchange a committee member read language in the bill-analysis noting the standard form must tell tenants rent payment information "may be reported regardless of whether the payment is timely, late, or missed," and staff said that while Colorado's statute included similar language, Colorado implemented positive-only reporting in practice. Rep. Natasha Hill and multiple proponents emphasized the bill requires written tenant consent to participate.

Technical questions from members addressed program details: how reporting would appear to future landlords or creditors, whether gaps or negative items would be shown if only positive payments are reported, and how landlords might use reported information. Les Bowen, a tenant who had a landlord voluntarily report his payments, described his experience: he said his credit score rose more than 60 points after two months of positive reporting and that lower interest costs followed.

Committee staff closed the public hearing on HB 19-27 after receiving testimony from tenants, labor and advocacy groups; the committee did not take a final vote during the Feb. 17 hearing. Members asked staff and proponents to provide additional technical information on implementation, dispute-resolution processes with credit reporting agencies, and how landlord participation incentives would work.

The committee invited amendments ahead of upcoming executive meetings.