NY State Senate Bill 2023-S7735A

Archive: Last Bill Status - In Senate Committee Investigations And Government Operations Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Apr 02, 2024	print number 7735a
Apr 02, 2024	amend (t) and recommit to investigations and government operations
Jan 03, 2024	referred to investigations and government operations
Nov 03, 2023	referred to rules

Bill Amendments

Original

A (Active)

2023-S7735 - Details

See Assembly Version of this Bill:: A7906
Current Committee:: Senate Investigations And Government Operations
Law Section:: Real Property Law
Laws Affected:: Add §227-g, RP L
Versions Introduced in 2025-2026 Legislative Session:: S6471, A3125

2023-S7735 - Summary

Relates to the use of automated decision tools by landlords for making housing decisions; sets conditions and rules for use of such tools.

2023-S7735 - Sponsor Memo

                                 
BILL NUMBER: S7735

SPONSOR: CLEARE
 
TITLE OF BILL:

An act to amend the executive law, in relation to the use of automated
decision tools to make housing decisions

 
PURPOSE:

This legislation will help to prevent potential discrimination in hous-
ing from the use of automated decision tools.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section one adds a new section 296-b to the executive law.

Section two sets forth the effective date.

 
JUSTIFICATION:

With the proliferation of artificial intelligence tools, more sectors
are relying on their assistance to make decisions. Artificial intelli-
gence tools are being utilized by landlords to screen applications
submitted by potential tenants. Taking into consideration a potential
tenant's credit, rental history, employment and other information, these
tools assign a score to each candidate that landlords use in selecting
tenants.

If these tools have built-in biases, applicants may not be considered
for an apartment. While efforts have been made to combat housing
discrimination, the emergence of these tools has presented a new oppor-
tunity for discrimination by a computer algorithm.

This bill would require that any automated decision tools that are used
in the selection of tenants must undergo a disparate impact analysis to
ensure that they are not likely to result in an adverse impact to poten-
tial renters based on their sex, race, ethnicity or other protected
class. This legislation would also require that applicants be informed
of the use of any automated decision tools used in the screening process
and be provided an explanation if they have been rejected due to such
assessment.

 
LEGISLATIVE HISTORY:

New bill; Same As A.7906 (L. Rosenthal)

 
FISCAL IMPLICATIONS:

None to the State.

 
EFFECTIVE DATE:
This act shall take effect immediately.

2023-S7735 - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7735
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                             November 3, 2023
                                ___________
 
 Introduced  by  Sen.  CLEARE -- read twice and ordered printed, and when
   printed to be committed to the Committee on Rules
 
 AN ACT to amend the executive law, in relation to the use  of  automated
   decision tools to make housing decisions
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The executive law is amended by adding a new section  296-b
 to read as follows:
   § 296-B. UNLAWFUL DISCRIMINATORY PRACTICES RELATING TO AUTOMATED DECI-
 SION  TOOLS.  1.   FOR THE PURPOSES OF THIS SECTION, THE FOLLOWING TERMS
 SHALL HAVE THE FOLLOWING MEANINGS:
   (A) "AUTOMATED DECISION TOOL" MEANS ANY COMPUTATIONAL PROCESS, DERIVED
 FROM MACHINE LEARNING, STATISTICAL MODELING, DATA ANALYTICS, OR  ARTIFI-
 CIAL  INTELLIGENCE,  THAT  ISSUES  SIMPLIFIED OUTPUT, INCLUDING A SCORE,
 CLASSIFICATION, OR RECOMMENDATION, THAT IS USED TO SUBSTANTIALLY  ASSIST
 OR  REPLACE  DISCRETIONARY  DECISION MAKING FOR MAKING HOUSING DECISIONS
 THAT IMPACT NATURAL PERSONS. "AUTOMATED DECISION TOOL" DOES NOT  INCLUDE
 A TOOL THAT DOES NOT AUTOMATE, SUPPORT, SUBSTANTIALLY ASSIST, OR REPLACE
 DISCRETIONARY  DECISION-MAKING  PROCESSES  AND  THAT DOES NOT MATERIALLY
 IMPACT NATURAL PERSONS, INCLUDING, BUT NOT  LIMITED  TO,  A  JUNK  EMAIL
 FILTER, FIREWALL, ANTIVIRUS SOFTWARE, CALCULATOR, SPREADSHEET, DATABASE,
 DATA SET, OR OTHER COMPILATION OF DATA.
   (B) "DISPARATE IMPACT ANALYSIS" MEANS AN IMPARTIAL ANALYSIS, INCLUDING
 BUT  NOT  LIMITED  TO TESTING OF THE EXTENT TO WHICH USE OF AN AUTOMATED
 DECISION TOOL IS LIKELY TO RESULT IN AN ADVERSE IMPACT TO THE  DETRIMENT
 OF  ANY  GROUP  ON THE BASIS OF SEX, RACE, ETHNICITY, OR OTHER PROTECTED
 CLASS UNDER THIS ARTICLE. THE RESULTS OF SUCH ANALYSIS SHALL BE REPORTED
 TO THE LANDLORD IMPLEMENTING OR USING  AN  AUTOMATED  DECISION  TOOL.  A
 DISPARATE  IMPACT  ANALYSIS  SHALL  DIFFERENTIATE BETWEEN APPLICANTS WHO
 WERE SELECTED AND APPLICANTS WHO WERE NOT SELECTED BY THE TOOL AND SHALL
 INCLUDE A DISPARATE IMPACT ANALYSIS AS SPECIFIED IN THE  UNIFORM  STAND-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD11808-01-3

 S. 7735                             2
 
 ARDS AND GUIDELINES PROMULGATED BY THE UNITED STATES DEPARTMENT OF HOUS-
 ING AND URBAN DEVELOPMENT.
   (C) "HOUSING DECISION" MEANS TO SCREEN APPLICANTS FOR HOUSING.
   2.  IT  SHALL  BE UNLAWFUL FOR A LANDLORD TO IMPLEMENT OR USE AN AUTO-
 MATED DECISION TOOL THAT FAILS TO COMPLY WITH THE FOLLOWING PROVISIONS:
   (A) NO LESS THAN  ANNUALLY,  A  DISPARATE  IMPACT  ANALYSIS  SHALL  BE
 CONDUCTED  TO  ASSESS  THE  ACTUAL IMPACT OF ANY AUTOMATED DECISION TOOL
 USED BY ANY LANDLORD TO SELECT APPLICANTS FOR HOUSING WITHIN THE  STATE.
 SUCH  DISPARATE  IMPACT  ANALYSIS  SHALL BE PROVIDED TO THE LANDLORD BUT
 SHALL BE PUBLICLY FILED AND SHALL BE SUBJECT TO  ALL  APPLICABLE  PRIVI-
 LEGES.
   (B)  A  SUMMARY  OF  THE MOST RECENT DISPARATE IMPACT ANALYSIS OF SUCH
 TOOL AS WELL AS THE DISTRIBUTION DATE OF THE TOOL TO WHICH THE  ANALYSIS
 APPLIES  SHALL BE MADE PUBLICLY AVAILABLE ON THE WEBSITE OF THE LANDLORD
 PRIOR TO THE IMPLEMENTATION OR USE OF SUCH TOOL.
   (C) NO LESS THAN ANNUALLY, ANY LANDLORD USING  AN  AUTOMATED  DECISION
 TOOL  SHALL  PROVIDE  TO  THE  DIVISION  SUCH SUMMARY OF THE MOST RECENT
 DISPARATE IMPACT ANALYSIS PROVIDED TO THE LANDLORD ON THAT TOOL.
   3. (A) ANY LANDLORD THAT USES AN AUTOMATED  DECISION  TOOL  TO  SCREEN
 APPLICANTS  FOR  HOUSING SHALL NOTIFY EACH SUCH APPLICANT OF THE FOLLOW-
 ING:
   (I) THAT AN AUTOMATED DECISION TOOL WILL BE USED  IN  CONNECTION  WITH
 THE ASSESSMENT OR EVALUATION OF SUCH APPLICANT;
   (II) THE CHARACTERISTICS THAT SUCH AUTOMATED DECISION TOOL WILL USE IN
 THE ASSESSMENT OF SUCH APPLICANT;
   (III)  INFORMATION ABOUT THE TYPE OF DATA COLLECTED FOR SUCH AUTOMATED
 DECISION TOOL,  THE  SOURCE  OF  SUCH  DATA,  AND  THE  LANDLORD'S  DATA
 RETENTION POLICY; AND
   (IV)  IF  AN  APPLICATION  FOR  HOUSING IS DENIED, THE REASON FOR SUCH
 DENIAL.
   (B) THE NOTICE REQUIRED BY PARAGRAPH (A) OF THIS SUBDIVISION SHALL  BE
 MADE  NO  LESS  THAN  TEN BUSINESS DAYS BEFORE THE USE OF SUCH AUTOMATED
 DECISION TOOL AND SHALL ALLOW SUCH APPLICANT TO REQUEST  AN  ALTERNATIVE
 SELECTION PROCESS OR ACCOMMODATION.
   4.  THE ATTORNEY GENERAL MAY INITIATE AN INVESTIGATION IF A PREPONDER-
 ANCE OF THE EVIDENCE, INCLUDING THE SUMMARY OF THE MOST RECENT DISPARATE
 IMPACT ANALYSIS ESTABLISHES A SUSPICION OF  A  VIOLATION.  THE  ATTORNEY
 GENERAL  MAY  ALSO  INITIATE  IN ANY COURT OF COMPETENT JURISDICTION ANY
 ACTION OF PROCEEDING THAT MAY BE APPROPRIATE OR NECESSARY FOR CORRECTION
 OF ANY VIOLATION ISSUED PURSUANT TO THIS  SECTION,  INCLUDING  MANDATING
 COMPLIANCE  WITH  THE PROVISIONS OF THIS SECTION OR SUCH OTHER RELIEF AS
 MAY BE APPROPRIATE.
   5. THE COMMISSIONER MAY INITIATE AN INVESTIGATION IF  A  PREPONDERANCE
 OF THE EVIDENCE, INCLUDING A SUMMARY OF THE MOST RECENT DISPARATE IMPACT
 ANALYSIS  ESTABLISHES  A  SUSPICION OF A VIOLATION. THE COMMISSIONER MAY
 ALSO INITIATE IN  A  COURT  OF  COMPETENT  JURISDICTION  ANY  ACTION  OR
 PROCEEDING  THAT  MAY  BE APPROPRIATE OR NECESSARY FOR THE CORRECTION OF
 ANY VIOLATION ISSUED  PURSUANT  TO  THIS  SECTION,  INCLUDING  MANDATING
 COMPLIANCE  WITH  THE PROVISIONS OF THIS SECTION OR SUCH OTHER RELIEF AS
 MAY BE APPROPRIATE.
   § 2. This act shall take effect immediately.

2023-S7735A (ACTIVE) - Details

See Assembly Version of this Bill:: A7906
Current Committee:: Senate Investigations And Government Operations
Law Section:: Real Property Law
Laws Affected:: Add §227-g, RP L
Versions Introduced in 2025-2026 Legislative Session:: S6471, A3125

2023-S7735A (ACTIVE) - Summary

Relates to the use of automated decision tools by landlords for making housing decisions; sets conditions and rules for use of such tools.

2023-S7735A (ACTIVE) - Sponsor Memo

                                 
BILL NUMBER: S7735A

SPONSOR: CLEARE
 
TITLE OF BILL:

An act to amend the real property law, in relation to the use of auto-
mated decision tools to make housing decisions

 
PURPOSE:

This legislation will help to prevent potential discrimination in hous-
ing from the use of automated decision tools.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section one adds a new section 227-g to the real property law. Section
two sets forth the effective date.

 
JUSTIFICATION:

With the proliferation of artificial intelligence tools, more sectors

are relying on their assistance to make decisions. Artificial intelli-
gence tools are being utilized by landlords to screen applications
submitted by potential tenants. Taking into consideration a potential
tenant's credit, rental history, employment and other information, these
tools assign a score to each candidate that landlords use in selecting
tenants.

If these tools have built-in biases, applicants may not be considered
for an apartment. While efforts have been made to combat housing
discrimination, the emergence of these tools has presented a new oppor-
tunity' for discrimination by a computer algorithm.

This bill would require that any automated decision tools that are used
in the selection of tenants must undergo a disparate impact analysis to
ensure that they are not likely to result in an adverse impact to poten-
tial renters based on their sex, race, ethnicity or other protected
class. This legislation would also require that applicants be informed
of the use of any automated decision tools used in the screening process
and be provided an explanation if they have been rejected due to such
assessment.

 
LEGISLATIVE HISTORY:

New bill.

 
FISCAL IMPLICATIONS:

None to the State.

 
EFFECTIVE DATE:
This act shall take effect immediately.

2023-S7735A (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  7735--A
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                             November 3, 2023
                                ___________
 
 Introduced  by  Sen.  CLEARE -- read twice and ordered printed, and when
   printed to be committed to the Committee on Rules  --  recommitted  to
   the  Committee  on Investigations and Government Operations in accord-
   ance with Senate Rule 6, sec. 8 -- committee discharged, bill amended,
   ordered reprinted as amended and recommitted to said committee

 AN ACT to amend the real property law, in relation to the use  of  auto-
   mated decision tools to make housing decisions
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The real property law is amended by adding  a  new  section
 227-g to read as follows:
   § 227-G. USE OF AUTOMATED DECISION TOOLS. 1.  FOR THE PURPOSES OF THIS
 SECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
   (A) "AUTOMATED DECISION TOOL" MEANS ANY COMPUTATIONAL PROCESS, DERIVED
 FROM  MACHINE LEARNING, STATISTICAL MODELING, DATA ANALYTICS, OR ARTIFI-
 CIAL INTELLIGENCE, THAT ISSUES SIMPLIFIED  OUTPUT,  INCLUDING  A  SCORE,
 CLASSIFICATION,  OR RECOMMENDATION, THAT IS USED TO SUBSTANTIALLY ASSIST
 OR REPLACE DISCRETIONARY DECISION MAKING FOR  MAKING  HOUSING  DECISIONS
 THAT  IMPACT NATURAL PERSONS. "AUTOMATED DECISION TOOL" DOES NOT INCLUDE
 A TOOL THAT DOES NOT AUTOMATE, SUPPORT, SUBSTANTIALLY ASSIST, OR REPLACE
 DISCRETIONARY DECISION-MAKING PROCESSES AND  THAT  DOES  NOT  MATERIALLY
 IMPACT  NATURAL  PERSONS,  INCLUDING,  BUT  NOT LIMITED TO, A JUNK EMAIL
 FILTER, FIREWALL, ANTIVIRUS SOFTWARE, CALCULATOR, SPREADSHEET, DATABASE,
 DATA SET, OR OTHER COMPILATION OF DATA.
   (B)  "DISPARATE  IMPACT  ANALYSIS"  MEANS  AN   IMPARTIAL   EVALUATION
 CONDUCTED  BY  AN  INDEPENDENT  AUDITOR.  SUCH DISPARATE IMPACT ANALYSIS
 SHALL INCLUDE, BUT NOT BE LIMITED TO, TESTING OF THE EXTENT TO WHICH USE
 OF AN AUTOMATED DECISION TOOL IS LIKELY TO RESULT IN AN  ADVERSE  IMPACT
 TO  THE  DETRIMENT OF ANY GROUP ON THE BASIS OF SEX, RACE, ETHNICITY, OR
 OTHER PROTECTED CLASS UNDER THIS ARTICLE.  A DISPARATE  IMPACT  ANALYSIS
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD11808-03-4
 S. 7735--A                          2

 
 SHALL  DIFFERENTIATE BETWEEN APPLICANTS WHO WERE SELECTED AND APPLICANTS
 WHO WERE NOT SELECTED BY THE TOOL.
   (C) "HOUSING DECISION" MEANS TO SCREEN APPLICANTS FOR HOUSING.
   2.  IT  SHALL  BE UNLAWFUL FOR A LANDLORD TO IMPLEMENT OR USE AN AUTO-
 MATED DECISION TOOL THAT FAILS TO COMPLY WITH THE FOLLOWING PROVISIONS:
   (A) NO LESS THAN  ANNUALLY,  A  DISPARATE  IMPACT  ANALYSIS  SHALL  BE
 CONDUCTED  TO  ASSESS  THE  ACTUAL IMPACT OF ANY AUTOMATED DECISION TOOL
 USED BY ANY LANDLORD TO SELECT APPLICANTS FOR HOUSING WITHIN THE  STATE.
 SUCH DISPARATE IMPACT ANALYSIS SHALL BE PROVIDED TO THE LANDLORD.
   (B)  A  SUMMARY  OF  THE MOST RECENT DISPARATE IMPACT ANALYSIS OF SUCH
 TOOL AS WELL AS THE DISTRIBUTION DATE OF THE TOOL TO WHICH THE  ANALYSIS
 APPLIES  SHALL BE MADE PUBLICLY AVAILABLE ON THE WEBSITE OF THE LANDLORD
 PRIOR TO THE IMPLEMENTATION OR USE OF SUCH TOOL.    SUCH  SUMMARY  SHALL
 ALSO  BE  MADE  ACCESSIBLE  THROUGH ANY LISTING FOR HOUSING ON A DIGITAL
 PLATFORM FOR WHICH THE LANDLORD INTENDS TO  USE  AN  AUTOMATED  DECISION
 TOOL TO SCREEN APPLICANTS FOR HOUSING.
   3.  (A)  ANY  LANDLORD  THAT USES AN AUTOMATED DECISION TOOL TO SCREEN
 APPLICANTS FOR HOUSING SHALL NOTIFY EACH SUCH APPLICANT OF  THE  FOLLOW-
 ING:
   (I)  THAT  AN  AUTOMATED DECISION TOOL WILL BE USED IN CONNECTION WITH
 THE ASSESSMENT OR EVALUATION OF SUCH APPLICANT;
   (II) THE CHARACTERISTICS THAT SUCH AUTOMATED DECISION TOOL WILL USE IN
 THE ASSESSMENT OF SUCH APPLICANT;
   (III) INFORMATION ABOUT THE TYPE OF DATA COLLECTED FOR SUCH  AUTOMATED
 DECISION  TOOL,  THE  SOURCE  OF  SUCH  DATA,  AND  THE  LANDLORD'S DATA
 RETENTION POLICY; AND
   (IV) IF AN APPLICATION FOR HOUSING IS DENIED THROUGH USE OF THE  AUTO-
 MATED DECISION TOOL, THE REASON FOR SUCH DENIAL.
   (B)  THE NOTICE REQUIRED BY PARAGRAPH (A) OF THIS SUBDIVISION SHALL BE
 MADE NO LESS THAN TWENTY-FOUR HOURS BEFORE THE  USE  OF  SUCH  AUTOMATED
 DECISION  TOOL  AND SHALL ALLOW SUCH APPLICANT TO REQUEST AN ALTERNATIVE
 SELECTION PROCESS OR ACCOMMODATION.
   4. THE ATTORNEY GENERAL MAY INITIATE AN INVESTIGATION IF A  PREPONDER-
 ANCE OF THE EVIDENCE, INCLUDING THE SUMMARY OF THE MOST RECENT DISPARATE
 IMPACT  ANALYSIS  ESTABLISHES  A  SUSPICION OF A VIOLATION. THE ATTORNEY
 GENERAL MAY ALSO INITIATE IN ANY COURT  OF  COMPETENT  JURISDICTION  ANY
 ACTION OR PROCEEDING THAT MAY BE APPROPRIATE OR NECESSARY FOR CORRECTION
 OF  ANY  VIOLATION  ISSUED PURSUANT TO THIS SECTION, INCLUDING MANDATING
 COMPLIANCE WITH THE PROVISIONS OF THIS SECTION OR SUCH OTHER  RELIEF  AS
 MAY BE APPROPRIATE.
   § 2. This act shall take effect immediately.

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Senate Bill S7735A

Sponsored By

Archive: Last Bill Status - In Senate Committee Investigations And Government Operations Committee

Bill Amendments

2023-S7735 - Details

2023-S7735 - Summary

2023-S7735 - Sponsor Memo

2023-S7735 - Bill Text download pdf

2023-S7735A (ACTIVE) - Details

2023-S7735A (ACTIVE) - Summary

2023-S7735A (ACTIVE) - Sponsor Memo

2023-S7735A (ACTIVE) - Bill Text download pdf

Comments

Senate Bill S7735A

Share this bill

Sponsored By

Cordell Cleare

Archive: Last Bill Status - In Senate Committee Investigations And Government Operations Committee

Bill Amendments

2023-S7735 - Details

2023-S7735 - Summary

2023-S7735 - Sponsor Memo

2023-S7735 - Bill Text download pdf

2023-S7735A (ACTIVE) - Details

2023-S7735A (ACTIVE) - Summary

2023-S7735A (ACTIVE) - Sponsor Memo

2023-S7735A (ACTIVE) - Bill Text download pdf

Comments