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SB 677

An Act amending Title 66 (Public Utilities) of the Pennsylvania Consolidated Statutes, in rates and distribution systems, further providing for valuation of acquired water and wastewater systems.

2025-2026 Regular Session Introduced by Wayne Fontana and 6 co-sponsors

Prohibits landlords from denying housing to applicants paying with income-based subsidies based on income or credit, shielding subsidy holders from screening bias.

Referred to Consumer Protection & Professional Licensure
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Bill Summary · SB 677

SB 677 — Human Relations: Discrimination in Housing — Income‑Based Housing Subsidies

Status: Hearing scheduled 2/18 at 1:00 p.m.
Introduced: 2025 (effective date: October 1, 2025)
Primary sponsor (Maryland version): Senator Gile. Co‑sponsors listed include Rhoads, Gabbard, Chang, Don Harmon, Moriwaki, and Fukunaga. Companion/related bills: HB 896, HB 1109, SB 935, HB 1366.

Purpose / Intent

To prohibit certain landlords or rental property operators from denying tenancy to applicants who will pay rent (in whole or part) with a recurring, income‑based housing subsidy — and to treat such refusals as an unlawful discriminatory housing practice enforceable by the Maryland Commission on Civil Rights (MCCR). The bill aims to reduce barriers faced by subsidy recipients related to income, credit score, or credit history.

Key provisions

  • Defines “income‑based housing subsidy” as recurring monetary assistance paid to the landlord by a governmental entity or nonprofit to defray a tenant’s rent obligation. This expressly includes HUD vouchers and similar certificates under the U.S. Housing Act of 1937.
  • Prohibits a landlord or residential rental property that uses financial information (including credit history) in rental applications from refusing to rent to a prospective tenant who pays with an income‑based subsidy on the basis of:
    • the tenant’s income,
    • the tenant’s credit score,
    • the lack of a credit score, or
    • an adverse credit history.
  • Carves out exceptions:
    • Actions authorized under federal law remain permitted.
    • A landlord that receives funding from a governmental, quasi‑governmental, or nonprofit entity that itself requires income qualification for tenants in income‑restricted units may collect financial information when that collection is a condition of the funding.
  • Adds this prohibition to Maryland’s Human Relations subtitle; violations are designated “discriminatory housing practices” for purposes of state enforcement.

Enforcement and remedies

  • Enforcement is through the Maryland Commission on Civil Rights (MCCR): complaints, investigation, conciliation, administrative hearing before an Office of Administrative Hearings ALJ, or civil action in circuit court.
  • Remedies under existing statute may include actual damages, injunctive or other relief, civil penalties (administratively), and, in court, actual or punitive damages, injunctive relief, and reasonable attorney’s fees and costs.

Who is affected

  • Primary beneficiaries: prospective tenants who use recurring income‑based subsidies (e.g., Section 8/HUD voucher holders).
  • Regulated parties: landlords and residential rental property operators who use financial screening (credit, income verification) as part of application processes.
  • Funding‑conditioned landlords (receiving funding requiring income eligibility) retain authority to collect financial information when required by the funding source.

Fiscal and administrative impact

  • MCCR anticipates an increase in complaints and requests two additional civil rights officers to handle investigations. Estimated general fund expenditures:
    • FY 2026: ~$128,200 (two positions, start‑up and operating costs)
    • Increases in FY 2027–2030 reflect annualization and inflation (approximately $148,900 in FY 2027; $169,400 by FY 2030).
  • Local government fiscal impact: anticipated to be minimal. Small business impact: minimal.

Procedural status / timeline (selected)

  • Read first time / assigned to Judicial Proceedings (early 2025).
  • Hearing scheduled February 18 (1:00 p.m.) in Judicial Proceedings.
  • Bill effective date as drafted: October 1, 2025.

Notes

  • Maryland already prohibits discrimination on the basis of “source of income” in many contexts; this bill specifically targets denials tied to financial screening practices when applicants use recurring income‑based subsidies.
  • The bill seeks to balance anti‑discrimination protections with existing funding conditions that require income qualification.

Compiled from official sources — confirm details with the bill’s official record.

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