S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  3125--A
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 23, 2025
                                ___________
 
 Introduced  by  M.  of  A.  ROSENTHAL, GLICK, LEVENBERG, SHIMSKY, SIMON,
   BURDICK, JACKSON, LUCAS -- read once and referred to the Committee  on
   Housing  -- reported and referred to the Committee on Codes -- commit-
   tee discharged, bill amended, ordered reprinted as amended and  recom-
   mitted to said committee

 AN  ACT  to amend the real property law, in relation to the use of auto-
   mated housing decision making 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 HOUSING DECISION MAKING TOOLS. 1.   FOR  THE
 PURPOSES  OF  THIS SECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING
 MEANINGS:
   (A) "AUTOMATED HOUSING DECISION MAKING TOOL" MEANS ANY  SOFTWARE  THAT
 USES  ALGORITHMS, COMPUTATIONAL MODELS, OR ARTIFICIAL INTELLIGENCE TECH-
 NIQUES, OR A COMBINATION THEREOF, TO MATERIALLY AUTOMATE,  SUBSTANTIALLY
 ASSIST,  OR  REPLACE  HUMAN  DECISION-MAKING REGARDING HOUSING DECISIONS
 THAT IMPACT NATURAL PERSONS. "AUTOMATED HOUSING  DECISION  MAKING  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, SPREAD-
 SHEET, 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 HOUSING DECISION MAKING 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
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD05259-02-5
 A. 3125--A                          2
              

 
 IMPACT ANALYSIS 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 HOUSING DECISION MAKING TOOL, INCLUDING THE USE  OF  AN  AUTOMATED
 HOUSING  DECISION  MAKING  TOOL  THAT ISSUES A SCORE, CLASSIFICATION, OR
 RECOMMENDATION, 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 HOUSING DECISION
 MAKING TOOL USED BY ANY LANDLORD TO SELECT APPLICANTS FOR HOUSING WITHIN
 THE STATE. SUCH DISPARATE IMPACT ANALYSIS SHALL BE PROVIDED TO THE LAND-
 LORD.
   (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 HOUSING
 DECISION MAKING TOOL TO SCREEN APPLICANTS FOR HOUSING.
   3. (A) ANY LANDLORD THAT USES AN  AUTOMATED  HOUSING  DECISION  MAKING
 TOOL  TO  SCREEN APPLICANTS FOR HOUSING SHALL NOTIFY EACH SUCH APPLICANT
 OF THE FOLLOWING:
   (I) THAT AN AUTOMATED HOUSING DECISION MAKING TOOL  WILL  BE  USED  IN
 CONNECTION WITH THE ASSESSMENT OR EVALUATION OF SUCH APPLICANT;
   (II)  THE  CHARACTERISTICS THAT SUCH AUTOMATED HOUSING DECISION MAKING
 TOOL WILL USE IN THE ASSESSMENT OF SUCH APPLICANT;
   (III) INFORMATION ABOUT THE TYPE OF DATA COLLECTED FOR SUCH  AUTOMATED
 HOUSING  DECISION  MAKING  TOOL,  THE SOURCE OF SUCH DATA, AND THE LAND-
 LORD'S DATA RETENTION POLICY; AND
   (IV) IF AN APPLICATION FOR HOUSING IS DENIED THROUGH USE OF THE  AUTO-
 MATED HOUSING DECISION MAKING 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
 HOUSING  DECISION  MAKING 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.