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Santa Ana council introduces ordinance to ban automated rent‑setting algorithms

Santa Ana City Council · February 18, 2026
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Summary

The City Council voted unanimously to introduce an ordinance to prohibit landlords from using or selling automated rent‑pricing algorithms, citing national litigation and new state protections; the measure will return for future readings after staff revisions and legal review.

The Santa Ana City Council voted to introduce for first reading an ordinance that would ban the use and sale of automated rent‑pricing algorithms by landlords in the city.

City staff said the proposal would align Santa Ana with other jurisdictions that have acted after Department of Justice and state enforcement actions. Mike Garcia, the city's director of community development, told the council the ordinance is designed to protect renters from algorithmically driven, across‑the‑board rate‑setting and that staff drew on existing models used in other cities.

The item drew questions about litigation risk and legal drafting. Councilmember Becerra pressed staff and the city attorney about litigation that had surfaced in Berkeley, saying council reports should more fully disclose potential legal exposure. The city attorney said Berkeley’s case was settled in mid‑January and that the Santa Ana draft was informed by San Diego’s ordinance and by follow‑up calls to Berkeley staff.

Supporters on the council framed the ordinance as a renter protection. Councilmember Lopez said the rule would help prevent consolidation and market practices that push rent increases onto residents. Councilmember Vasquez described recent local rental prices and argued for protections to keep housing affordable.

The motion to introduce the ordinance passed on a 6–0 vote (motion by Councilmember Hernandez; second by Councilmember Becerra). The measure was introduced for first reading; staff will return with finalized ordinance language and any technical edits recommended by the city attorney.

What happens next: The ordinance was introduced and will return for further readings and any amendments; staff indicated they would make the draft available and noted the council can amend the municipal code at later readings.