Bill > HB465

This bill aims to prohibit retailers from using dynamic pricing (changing prices based on factors like demand, season, or consumer data, including AI-enabled pricing adjustments) for food items sold through or qualifying for federal assistance programs like the Supplemental Nutrition Assistance Program (SNAP) and the Special Supplemental Foods Program for Women, Infants, and Children (WIC). The legislation is motivated by Hawaii's high food costs, with residents spending over 17% of their household budget on meals compared to the national average of 12%, and nearly one in three households being food-insecure. Retailers who violate this prohibition would face significant financial penalties, including a civil fine of up to $5,000 per item per day, which can be pursued by the attorney general, and an administrative fine of $500 for a first offense and $1,000 for subsequent offenses, which can be pursued by the director of commerce and consumer affairs. The bill recognizes that dynamic pricing can disproportionately harm low-income consumers by obscuring base prices and potentially raising costs under the guise of market fluctuations. The new law would take effect immediately upon approval and does not impact any rights, penalties, or proceedings that existed before its effective date.

Housing and Urban Affairs

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=HB&billnumber=465&year=2025