,i #aahth ,,congress #ast ,session ,h4 ,r4 #gjb ,,in ,,the ,,house ,,of ,,representatives ,february #a1 #bjbc ,mr4 ,horsford introduced the following bill2 which was referred to the ,committee on ,financial ,services1 and in addition to the ,committee on the ,judiciary1 for a period to be subsequently determined by the ,speaker1 in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned ,a ,,bill ,to protect consumers from price gouging of residential rental and sale prices1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,housing ,oversight and ,mitigating ,exploitation ,act of #bjbc or the ,,home ,act of #bjbc4 #b4 ,unconscionable pricing of residential rental and sale prices during emergencies 7a7 ,unconscionable pricing 7#a7 ,in general ,it shall be unlawful for any person to rent out a dwelling unit or sell any single-family housing1 in an area and during a period of a housing emergency covered by a proclamation issued under paragraph 7#b71 at a price that-- 7,a7 is unconscionably excessive2 and 7,b7 indicates the lessor or seller is exploiting the circumstances related to a housing emergency to increase prices unreasonably4 7#b7 ,housing emergency proclamation 7,a7 ,in general ,the ,president may issue a housing emergency proclamation for any area within the jurisdiction of the ,united ,states1 during which the prohibition in paragraph 7#a7 shall apply1 that includes the geographic area covered and the time period that such proclamation shall be in effect4 7,b7 ,duration ,the proclamation-- 7i7 may not apply for a period of more than #cj consecutive days1 but may be renewed for such consecutive periods1 each not to exceed #cj days1 as the ,president determines appropriate2 and 7ii7 may include a period of time not to exceed #a week before a reasonably foreseeable emergency4 7#c7 ,factors considered 7,a7 ,in general ,in determining whether a person has violated paragraph 7#a71 there shall be taken into account1 among other factors1 the aggravating factors described in subparagraph 7,b7 and the mitigating factor described in subparagraph 7,c74 7,b7 ,aggravating factors ,the aggravating factors described in this subparagraph are the following3 7i7 ,whether the amount charged by such person grossly exceeds the average price at which the housing unit was offered for rental or sale by such person during-- 7,i7 the #cj-;day period before the date on which the proclamation was issued2 or 7,,ii7 another appropriate benchmark period1 as determined by the ,administration4 7ii7 ,whether the amount charged by such person grossly exceeds the price at which the same or a similar housing unit was readily obtainable for rental or purchase in the same area from other sellers during the energy emergency period4 7,c7 ,mitigating factor ,the mitigating factor described in this subparagraph is whether the quantity of any housing dwelling units such person made available for rental or sale in an area covered by the proclamation during the #cj-;day period following the date on which the proclamation was issued increased over the quantity such person made available for rental or sale during the #cj-;day period before the date on which the proclamation was issued1 taking into account any usual seasonal demand variation4 7b7 ,affirmative defense ,it shall be an affirmative defense in any civil action or administrative action to enforce subsection 7a71 with respect to the renting out or sale of housing by a person1 that the increase in the rental or sale price of such housing reasonably reflects additional costs that were paid1 incurred1 or reasonably anticipated by such person1 or reasonably reflects additional risks taken by such person1 to rent or sell such housing unit under the circumstances4 7c7 ,rule of construction ,this section may not be construed to cover a transaction on a futures market4 7d7 ,enforcement 7#a7 ,,hud ,the ,secretary of ,housing and ,urban ,development shall enforce violations of subsection 7a7 of this section-- 7,a7 in the same manner1 by the same means1 and with the same jurisdiction1 powers1 and duties as the ,federal ,trade ,commission has under the ,federal ,trade ,commission ,act 7#ae ,u4,s4,c4 #da et seq47 with respect to violations of a rule defining an unfair or deceptive act or practice prescribed under section #ah7;a77#a77;,b7 of such ,act 7#ae ,u4,s4,c4 #eg;a7a77#a77;,b772 and 7,b7 as though all applicable terms and provisions of the ,federal ,trade ,commission ,act were incorporated into and made a part of this section1 except that any reference in such terms and provisions to the ,commission shall be treated as referring to the ,secretary4 7#b7 ,enforcement at retail level by ,state ,attorneys ,general 7,a7 ,in general ,if the chief law enforcement officer of a ,state1 or an official or agency designated by a ,state1 has reason to believe that any person has violated or is violating subsection 7a71 the attorney general1 official1 or agency of the ,state1 in addition to any authority it may have to bring an action in ,state court under its laws1 may bring a civil action in any appropriate ,united ,states district court or in any other court of competent jurisdiction to-- 7i7 enjoin further such violation by such person2 7ii7 enforce compliance with such subsection2 7iii7 obtain civil penalties2 and 7iv7 obtain damages1 restitution1 or other compensation on behalf of residents of the ,state4 7,b7 ,notice ,the ,state shall serve written notice to the ,secretary of any civil action under subparagraph 7,a7 before initiating such civil action4 ,the notice shall include a copy of the complaint to be filed to initiate such civil action1 except that if it is not feasible for the ,state to provide such prior notice1 the ,state shall provide such notice immediately upon instituting such civil action4 7,c7 ,authority to intervene ,upon receipt of the notice required by subparagraph 7,b71 the ,secretary may intervene in such civil action and upon intervening-- 7i7 be heard on all matters arising in such civil action2 and 7ii7 file petitions for appeal of a decision in such civil action4 7,d7 ,construction ,for purposes of bringing any civil action under subparagraph 7,a71 nothing in this paragraph shall prevent the attorney general of a ,state from exercising the powers conferred on the attorney general by the laws of such ,state to conduct investigations or to administer oaths or affirmations or to compel the attendance of witnesses or the production of documentary and other evidence4 7,e7 ,limitation on state action while federal action is pending ,if the ,secretary has instituted a civil action or an administrative action for violation of subsection 7a71 a ,state attorney general1 or official or agency of a ,state1 may not bring an action under this paragraph during the pendency of that action against any defendant named in the complaint of the ,secretary or another agency for any violation of this ,act alleged in the complaint4 7,f7 ,rule of construction ,this paragraph may not be construed to prohibit an authorized ,state official from proceeding in ,state court to enforce a civil or criminal statute of such ,state4 7e7 ,low-,income housing assistance 7#a7 ,deposit of funds ,amounts collected in any penalty under subsection 7d77#a7 shall be deposited in the ,housing ,trust ,fund established under section #acch of the ,federal ,housing ,enterprises ,financial ,safety and ,soundness ,act of #aiib 7#ab ,u4,s4,c4 #defh74 7#b7 ,use of funds ,to the extent provided for in advance in appropriations ,acts1 the amounts deposited in the ,fund shall be used to increase and preserve the supply of rental housing affordable to extremely low- and very low-income families1 including homeless families1 in accordance with such section #acch4 7f7 ,effect on other laws 7#a7 ,other authority of federal housing administration ,nothing in this section may be construed to limit the authority of the ,secretary under any other provision of law4 7#b7 ,state law ,nothing in this section preempts any ,state law4 #c4 ,,hud investigation and report on housing prices 7a7 ,investigation 7#a7 ,in general ,the ,secretary shall conduct an investigation to determine if the prices for rental housing units or sale of single-family housing are being manipulated by reducing housing capacity or by any other form of market manipulation or artificially increased by price gouging practices4 7#b7 ,consideration ,in conducting the investigation under paragraph 7#a71 the ,secretary may consider the impact of mergers and acquisitions in the real estate industry1 including mergers and acquisitions involving developers1 managers1 owners1 and investors4 7b7 ,report 7#a7 ,in general ,not later than #bgj days after the date of the enactment of this ,act1 the ,secretary shall submit to the ,congress a report on the investigation conducted under subsection 7a74 7#b7 ,contents ,the report shall include-- 7,a7 a long-term strategy for the ,department of ,housing and ,urban ,development and the ,congress to address manipulation of rental housing markets and markets for sale of single-family housing1 and in preparing the strategy the ,secretary shall utilize data on race1 gender1 and socioeconomic status2 and 7,b7 a description and analysis of how non-occupant investors in single-family housing impact underserved and minority communities4 7c7 ,exemption from ,paperwork ,reduction ,act ,chapter #ce of title #dd1 ,united ,states ,code1 shall not apply to the collection of information under subsection 7a74 7d7 ,authorization of appropriations ,there is authorized to be appropriated to the ,secretary to carry out this section #a1jjj1jjj for fiscal year #bjbd4 #d4 ,housing cost monitoring and enforcement within ,,hud 7a7 ,establishment of the housing monitoring and enforcement unit 7#a7 ,in general ,the ,secretary shall establish within the ,department of ,housing and ,urban ,development the ,housing ,monitoring and ,enforcement ,unit 7in this section referred to as the ,unit74 7#b7 ,duties of the unit 7,a7 ,primary responsibility ,the primary responsibility of the ,unit shall be to assist the ,secretary in protecting the public interest by continuously and comprehensively collecting1 monitoring1 and analyzing rental housing market data1 data for markets for sale of single-family housing1 and data on investor-owned1 non-owner occupied housing units1 in order to-- 7i7 support transparent and competitive market practices2 7ii7 identify any market manipulation1 including by collecting and analyzing data on race1 gender1 and socioeconomic status1 any reporting of false information1 any use of market power to disadvantage consumers1 or any other unfair method of competition2 and 7iii7 facilitate enforcement of penalties against persons in violation of relevant statutory prohibitions4 7,b7 ,specific duties ,in order to carry out the responsibility under subparagraph 7,a71 the ,unit shall assist the ,secretary in carrying out the following duties3 7i7 ,receiving1 compiling1 and analyzing relevant buying and selling activity in order to identify and investigate anomalous market trends and suspicious behavior4 7ii7 ,determining whether excessive concentration or exclusive control of housing-related infrastructure may allow or result in anti-competitive behaviors4 7iii7 ,obtaining a data-sharing agreement with ,state and local jurisdictions1 housing agencies1 and relevant public and private data sources to receive and archive information on housing purchases by institutional investors within a given area4 #e4 ,investigations of excessive housing purchases ,the ,secretary shall monitor purchases of single-family housing in each housing market area in the ,united ,states1 as determined by the ,secretary1 to determine whether any single purchaser of such housing1 including any purchaser that is an institutional investor1 is purchasing an excessive amount of such housing made available for sale in any such market area4 ,if the ,secretary determines that any single purchaser has purchased more than #e percent of the single-family housing made available for sale in any market area over a #c-year period1 or if1 in aggregate1 large institutional investors have purchased more than #be percent of the single-family housing made available for sale in any market area over a #a-year period1 the ,secretary shall conduct an investigation to determine the purposes of and circumstances involved in such purchases1 including price gouging1 market manipulation1 and unfair investment practices that drive homeowners out of the market4 #f4 ,identification of unfair screening practices ,the ,secretary1 the ,federal ,trade ,commission1 and the ,bureau of ,consumer ,financial ,protection shall jointly-- 7#a7 carry out a program to collect information to identify practices that unfairly prevent applicants and tenants of rental housing from accessing or staying in housing1 including the establishment and use of tenant_/applicant background checks1 the use of algorithms in tenant screenings1 the provision of adverse action notices by landlords and property management companies1 and the use of information regarding tenant income sources2 and 7#b7 submit a report to the ,congress annually describing the information collected under the program carried out pursuant to paragraph 7#a74 #g4 ,limitation on ,fannie ,mae and ,freddie ,mac investments ,subpart ,a of part #b of subtitle ,a of the ,federal ,housing ,enterprises ,financial ,safety and ,soundness ,act of #aiib 7#ab ,u4,s4,c4 #deda et seq47 is amended by adding at the end the following new section3 #acbi4 ,limitation on enterprise investments ,the ,director shall1 by regulations issued after notice and opportunity for interested parties to comment at a public hearing1 establish standards and criteria for the purchase by the enterprises of mortgages on multifamily rental housing as the ,director considers necessary to ensure basic renter protections and prevent egregious rent increases for tenants in such housing4 4 #h4 ,review of anti-competitive behaviors ,the ,attorney ,general of the ,united ,states and the ,federal ,trade ,commission shall jointly conduct a review to identify any anti-competitive behaviors in the single-family home and residential rental markets1 including anti-competitive information sharing1 and not later than the expiration of the #ab-month period beginning on the date of the enactment of this ,act shall submit a report to the ,congress setting forth the findings of such review4 #i4 ,definitions ,for purposes of this ,act1 the following definitions shall apply3 7#a7 ,secretary ,except where specified otherwise1 the term ,secretary means the ,secretary of ,housing and ,urban ,development4 7#b7 ,single-family housing ,the term single-family housing means a residence consisting of #a to #d dwelling units1 but does not include a dwelling unit in a condominium or cooperative housing project4