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Council approves second reading of ordinance banning rental-pricing algorithms
Summary
The Providence City Council approved a revised ordinance on May 15 to prohibit the use of software that helps fix or inflate market rents, advancing the measure on its second reading by roll call vote.
The Providence City Council on May 15 approved for the second reading an ordinance to ban certain algorithmic software used in rental markets, with the council voting 14–0 (one member absent) to move the matter forward as amended.
Councilman Sanchez, who spoke in support of the ordinance, described the software targeted by the measure as tools used by “large real estate companies across the nation” that can “fix market rents” and said the programs are “shown, by data, that inflates those rents, leading to higher rents and more displacement.” He also warned the council the measure faces possible federal preemption: “Just this morning, it became news, that our Republican-dominated congress is actually trying to put federal legislation to prohibit these types of bans,” he said.
Why it matters: Supporters said the ordinance is intended to curb automated practices they say contribute to rising rents and displacement of tenants. Sanchez told colleagues the amendments before the council were developed “in collaboration with the mayor’s office, the city solicitor, and, of course, our policy office.” The council advanced the ordinance as amended, clearing a procedural step toward final adoption.
What happened on the floor: The motion to waive the reading and move the ordinance passed on a roll call vote. The clerk recorded the following responses: Council President Miller (Aye), Deputy Majority Whip Anderbois (Aye), Councilwoman Anthony (Aye), Majority Leader Espinal (Aye), Senior Deputy Majority Leader Gonzales (Aye), Councilwoman Graves (Aye), Deputy Majority Leader Harris (Aye), Councilwoman Peterson (Aye), Council President Pro Tempore Pichardo (Aye), Councilor Royas (Aye), Councilwoman Ryan (Aye), Majority Whip Sanchez (Aye), Councilman Taylor (Aye), Councilwoman Anna Vargas (Aye). Councilman Oscar Vargas was absent. The clerk announced: “You have 14 ayes, 1 absent. The motion carries the matter as approved for the second time on a roll call vote as amended.”
Next steps: Because the council approved the measure for its second reading, it remains subject to any additional legislative steps required by Providence’s ordinance process before it becomes law.
Attribution: Quotations and attributions in this article are to Councilman Sanchez and to statements read on the record during the roll call vote.
