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Committee approves adding locally declared disasters to Price Gouging Act
Summary
The committee voted to report House Bill 1496, which would add locally declared disaster emergencies to the Price Gouging Act; supporters cited extended power outages and price gouging during a recent storm, while opponents warned of regulatory uncertainty.
The Consumer Protection, Technology & Utilities Committee voted to report House Bill 1496 after debate about extending price-gouging protections to locally declared disasters. Committee staff member Mr. Scott summarized the bill as adding "locally declared disaster emergencies to the Price Gouging Act." The committee reported the bill, and the chair announced the bill "passes 17 tonight."
Supporters said the change is timely after recent severe storms that left some constituents without power for extended periods. Representative Steele described conditions in his district this spring: constituents were “without power, in some cases, for 15 days. 15 days with no power. No hot water, no ability to power medical devices,” and he said he saw price gouging on generators and other essential supplies. “It was truly a disaster,” Steele said, and he said that given climate-driven increases in severe weather, the bill is “timely and appropriate.”
Other members raised concerns about expanding the statute because, they said, previous long emergency declarations have created regulatory uncertainty and market disruption. One member cited a prior three-year emergency declaration around the opioid epidemic as an example of complications that can arise when emergency-declaration authority is broad; that member said the underlying Price Gouging Act contains problems that should be addressed before expanding it to include local declarations. Several members voted "no" during the roll call, but the committee ultimately reported the bill out with 17 affirmative votes recorded in the committee proceeding.
Why it matters: HB1496 would give state-level price-gouging enforcement a basis to cover emergencies declared by local governments, potentially expanding when business conduct could be reviewed under the Price Gouging Act. Supporters framed the change as consumer protection during localized disasters; opponents argued it could create market uncertainty and regulatory burdens.
The committee adjourned after completing its agenda.
