Panel backs limits on algorithm-driven grocery pricing; retailers made concessions but may not fully support bill

The Economic Matters Committee voted to move House Bill 895 favorable as amended after an extended explanatory exchange about how the bill would limit algorithm-driven dynamic pricing in grocery stores and food-delivery apps.

Committee member (speaker 3) said the measure combines provisions from the governor's bill and the speaker's bill, and that amendments negotiated with retailers limit but do not eliminate the bill's constraints. "So as amended, essentially, it says that grocery stores, food delivery apps cannot use personal data about a person, to set prices differently over the course of a day," the presenter explained, noting the statute allows loyalty cards and group discounts (for veterans or seniors) but bars individualized price changes based on personal characteristics or data collected from phones.

Members posed several technical questions. One asked whether the 24‑hour window is a hard rule; the presenter answered it is 24 hours. Another asked what "personal data" covers; the presenter said the bill references the state's Online Data Privacy Act definitions (demographics such as gender, age, religion) rather than listing the items directly. A committee member asked whether a store could lower the price for a specific brand if it detected a shopper's purchasing pattern; the presenter clarified the store controls the displayed price and the bill prevents price changes based on data specific to an individual in that 24‑hour period unless the change is tied to a program available to all customers (for example, a loyalty offer).

Several members pressed whether retailers support the amended bill; the presenter said retailers had negotiated amendments and provided many of them, but the presenter did not believe retailers fully endorse the final language. One lawmaker (speaker 13) expressed concern that the bill had been heavily amended and that broad retail sectors across the state warranted a more complete hearing; the speaker indicated they would vote against the bill for that reason. The presenter and chair noted that portions of the governor's bill and the speaker's bill had prior hearings and that most retailer amendments came from negotiations.

After discussion, the committee moved House Bill 895 favorable as amended and the chair announced the bill "passes 12." The transcript records votes and roll-call exchanges but does not provide fiscal impact figures or text from the final amended language.