Bill > S697

This bill establishes a three-year pilot program, overseen by the office of housing and economic development, to help residents of affordable housing and public housing build credit by reporting their on-time rent payments to credit bureaus like Experian or TransUnion. The program aims to address the finding that current credit reporting systems often fail to recognize rental payments as a sign of creditworthiness, which can negatively impact individuals, especially those with lower incomes, by limiting their access to safe housing, employment, and opportunities for asset building like homeownership. Participating organizations will receive technical assistance to implement rent reporting software, educate residents about the benefits of this credit-building tool, provide financial coaching, and track data such as on-time rent payment rates and changes in credit scores, with an advisory committee formed to guide and assess the pilot's implementation and potential expansion.