PRINTER'S NO. 1838
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No. 1296
Session of
2024
INTRODUCED BY DILLON, HUGHES, FLYNN, KEARNEY, CAPPELLETTI AND
STREET, JULY 17, 2024
REFERRED TO URBAN AFFAIRS AND HOUSING, JULY 17, 2024
AN ACT
1 Amending the act of April 6, 1951 (P.L.69, No.20), entitled "An
2 act relating to the rights, obligations and liabilities of
3 landlord and tenant and of parties dealing with them and
4 amending, revising, changing and consolidating the law
5 relating thereto," in creation of leases, statute of frauds
6 and mortgaging of leaseholds, further providing for leases
7 for not more than three years and for leases for more than
8 three years and providing for notice of building credit
9 through rent reporting program for residential leases; and
10 providing for reporting rent payment information to consumer
11 reporting agency program.
12 The General Assembly of the Commonwealth of Pennsylvania
13 hereby enacts as follows:
14 Section 1. Sections 201 and 202 of the act of April 6, 1951
15 (P.L.69, No.20), known as The Landlord and Tenant Act of 1951,
16 are amended to read:
17 Section 201. Leases for Not More Than Three Years.--[Real]
18 Subject to section 207, real property, including any personal
19 property thereon, may be leased for a term of not more than
20 three years by a landlord or his agent to a tenant or his agent,
21 by oral or written contract or agreement.
22 Section 202. Leases for More Than Three Years.--[Real]
 1 Subject to section 207, real property, including any personal
2 property thereon, may be leased for a term of more than three
3 years by a landlord to a tenant or by their respective agents
4 lawfully authorized in writing. Any such lease must be in
5 writing and signed by the parties making or creating the same,
6 otherwise it shall have the force and effect of a lease at will
7 only and shall not be given any greater force or effect either
8 in law or equity, notwithstanding any consideration therefor,
9 unless the tenancy has continued for more than one year and the
10 landlord and tenant have recognized its rightful existence by
11 claiming and admitting liability for the rent, in which case the
12 tenancy shall become one from year to year.
13 Section 2. The act is amended by adding a section to read:
14 Section 207. Notice of Building Credit through Rent
15 Reporting Program for Residential Leases.--(a) Except as
16 provided in subsection (c), a lease made under section 201 or
17 202 for an individual dwelling unit on residential property with
18 a landlord or a landlord's agent which is required to establish
19 a Building Credit through Rent Reporting Program under Article
20 II-A, shall include written notice of the program in a form
21 prescribed by Article II-A and a written receipt of notice that
22 shall be signed by the tenant or the tenant's agent at the time
23 of entering the lease regardless of the tenant's eligibility for
24 the program.
25 (b) Written notice and signed receipt are required under
26 subsection (a) whether the lease is oral or written and does not
27 depend on the duration of the term of the lease.
28 (c) Unless otherwise required by law or the program
29 established by a landlord or the landlord's agent, when a
30 landlord or the landlord's agent is in possession of a receipt
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 1 of notice signed by a tenant or the tenant's agent, no
2 additional receipt of notice is required at the time of entering
3 or renewal of the subsequent and consecutive lease if the
4 subsequent and consecutive lease is for the same individual
5 dwelling unit with a term of equal duration entered or renewed
6 by automatic, reconstitution or holdover.
7 (d) As used in this section, the following words and phrases
8 shall have the meanings given to them in this subsection unless
9 the context clearly indicates otherwise:
10 "Dwelling unit" means a portion of real property, including
11 any personal property, designated for a separate occupancy, the
12 boundaries of which are determined by a landlord subject to the
13 terms of the lease. The term does not include a portion of real
14 property or space owned by a landlord and subject to lease for
15 the placement of a home owned by a tenant.
16 "Program" means a building credit through rent reporting
17 program established by a landlord under Article II-A.
18 "Written notice" means any writing by hand or typed,
19 including an electronic communication if the electronic
20 communication is sent to an email address specified by the
21 receiving party.
22 Section 3. The act is amended by adding an article to read:
23 ARTICLE II-A.
24 REPORTING RENT PAYMENT INFORMATION
25 TO CONSUMER REPORTING AGENCY PROGRAM.
26 Section 201-A. Scope of article.
27 This article provides for the reporting of a tenant's on-time
28 rent payment information to consumer reporting agencies through
29 an opt-in program offered by the landlord or the landlord's
30 agent to a tenant leasing an individual dwelling unit of real
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 1 property, including personal property within the property, for
2 residential purposes.
3 Section 202-A. Definitions.
4 The following words and phrases when used in this article
5 shall have the meanings given to them in this section unless the
6 context clearly indicates otherwise:
7 "Committee." The Legislative Budget and Finance Committee.
8 "Consumer reporting agency." As follows:
9 (1) An entity:
10 (i) As defined under 15 U.S.C. § 1681a(p) (relating
11 to definitions; rules of construction); or
12 (ii) As defined under 15 U.S.C. § 1681a(f) so long
13 as the consumer reporting agency resells or otherwise
14 furnishes rental payment information to a nationwide
15 consumer reporting agency as defined under 15 U.S.C. §
16 1681a(p).
17 (2) The term includes, but is not limited to, Experian,
18 Equifax, TransUnion or other third-party vendor that reports
19 rent payments to a nationwide consumer reporting agency as
20 described under paragraph (1).
21 "Dwelling unit." A portion of the real property, including
22 any personal property, designated for separate occupancy, the
23 boundaries of which are determined by the landlord and subject
24 to the terms of the lease. The term does not include a portion
25 of real property or space owned by a landlord and subject to
26 lease for the placement of a home owned by a tenant.
27 "Eligible tenant." A tenant:
28 (1) Who has a lease with a landlord for a residential
29 dwelling unit.
30 (2) Whose lease complies with section 201 or 202.
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 1 (3) Whose name appears on the lease.
2 "Landlord." A person or a person's agent that owns 15 or
3 more leased individual dwelling units for residential purposes.
4 The leased units may be situated in one or more locations and
5 may be contained in single or multiple structured sites. All
6 residential properties that the landlord has 50% or more
7 ownership or 50% or more stock holdings in the owner of the real
8 property or any subsidiary or parent entity of the landlord,
9 shall be included when determining the number of individual
10 dwelling units leased by the landlord.
11 "Opt-in" or "opt into." A mechanism that requires a tenant
12 to take an affirmative action to provide consent to join or take
13 part in a program.
14 "Person." A natural person, corporation, partnership,
15 association, trust, other entity or any combination thereof.
16 "Positive rent payment." Payment of rent by a tenant to a
17 landlord in full on or before the due date as required under the
18 terms of a lease.
19 "Program." A building credit through rent reporting program
20 established by a landlord under section 203-A.
21 "Rent payment information." Information concerning a
22 tenant's timely payment of rent and fees. The term includes fees
23 that may be included at a landlord's sole discretion which are
24 specified in the terms of the lease, including late rent payment
25 fees and costs or services related to the occupancy of the
26 individual dwelling unit, such as garbage collection, fee for
27 participation in the program or other pass-through billing.
28 "Third-party vendor." An entity that contracts with a
29 landlord to provide the technology capabilities and opt-in
30 platforms that furnish data of a tenant's positive rent payment
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 1 to at least one nationwide consumer reporting agency.
2 "Written election." A communication of election of a tenant
3 that may be handwritten, typed, electronic or other manner that
4 is not oral if the election clearly identifies the sending party
5 and intent of the sending party.
6 "Written notice." A notice that is handwritten, typed or an
7 electronic communication if the electronic communication is sent
8 to the email address specified by the receiving party.
9 Section 203-A. Establishment.
10 (a) General rule.--Except as provided under subsection (b),
11 within six months of the effective date of this subsection, a
12 landlord shall establish an opt-in program to allow an eligible
13 tenant to request and consent to positive rent payment
14 information reporting to a consumer reporting agency. The
15 following shall apply:
16 (1) The landlord, in the landlord's sole discretion,
17 shall submit or hire a third-party vendor to submit a
18 tenant's positive rent payment information to at least one
19 consumer reporting agency.
20 (2) After establishment of the program, all tenants
21 shall be provided a copy of the requirements to participate
22 in the program.
23 (3) A standard form developed under section 207-A must
24 be provided to all tenants at the time of entering a lease
25 for a residential dwelling unit under sections 201 and 202.
26 (4) Any time after tenancy occurs, a tenant may request
27 the standard form under section 207-A. If a tenant requests a
28 standard form, the form shall be provided to the tenant
29 within five days of the request.
30 (5) To participate in the program, a tenant must:
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 1 (i) Be an eligible tenant.
2 (ii) Submit a written election.
3 (b) Exceptions.--
4 (1) The requirement under subsection (a) may not apply
5 to a landlord who offers to a tenant positive rent payment
6 reporting to a consumer reporting agency prior to the
7 effective date of subsection (a).
8 (2) This subsection shall not apply if the landlord
9 discontinues a positive rent payment reporting program
10 established prior to the effective date of subsection (a).
11 Section 204-A. Notice.
12 Within 30 days of the establishment of a program under
13 section 203-A, a landlord shall provide written notice of the
14 establishment of the program to each of the tenants named on a
15 lease and post the information:
16 (1) On a publicly accessible Internet website of the
17 landlord, if applicable.
18 (2) At any locations in which in-person rent payments
19 are accepted.
20 Section 205-A. Offer of rent reporting.
21 (a) General rule.--A landlord shall offer to all eligible
22 tenants the option to participate in the program in accordance
23 with all requirements under this article.
24 (b) Contents of offer.--Each eligible tenant shall receive
25 an offer to opt into the program that contains the following
26 information:
27 (1) The eligible tenant's participation in the program
28 is voluntary.
29 (2) To participate in the program the eligible tenant
30 must submit a written election.
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 1 (3) At any time an eligible tenant may withdraw from
2 participation in the program by submitting a written election
3 to withdraw.
4 (4) The name of the consumer reporting agency to which
5 the eligible tenant's rent payment information will be
6 submitted.
7 (5) In accordance with section 208-A(a), the fee, if
8 any, that will be charged to the eligible tenant to
9 participate in the program.
10 (6) The address to which an eligible tenant shall submit
11 a required written election.
12 (7) Failure to pay the fee charged for an eligible
13 tenant to participate in the program shall result in removal
14 from the program.
15 (8) An eligible tenant's written election to withdraw
16 from the program after participation was elected shall
17 prohibit participation in the program by the withdrawing
18 tenant for six months after the election to withdraw occurs.
19 (c) Standard form.--A copy of the standard form developed
20 under section 207-A shall be affixed to the offer to opt into
21 the program.
22 Section 206-A. Acceptance.
23 (a) General rule.--Except as provided in subsection (b), an
24 eligible tenant may opt in at any time after notification of the
25 availability of the program. The offer to provide a written
26 election to opt in does not expire and shall not need to be
27 accepted at the time of offer.
28 (b) Exception.--An offer may not be accepted if a tenant is
29 not an eligible tenant or if the eligible tenant owes past due
30 rent or fees under the terms of the lease.
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 1 Section 207-A. Standard form.
2 The Bureau of Consumer Protection within the Office of
3 Attorney General shall develop a standard form for completion by
4 an eligible tenant with an affixed signature block that the
5 eligible tenant shall date and sign to accept the offer of rent
6 payment information reporting. The standard form shall include
7 the contents of the offer required under section 205-A(b) and
8 any other information the landlord includes to assist an
9 eligible tenant with participating in the program and efforts to
10 build a positive credit history responsibly, including the
11 availability of financial education courses and online solutions
12 to learn more about data accuracy, transparency and consumer
13 data control and dispute rights under the law.
14 Section 208-A. Fees.
15 (a) General rule.--When an eligible tenant elects to
16 participate in the program, a landlord may require the eligible
17 tenant to pay a fee prior to participation and monthly
18 thereafter as a condition of participation in the program.
19 (b) Amount of fee.--A fee charged under subsection (a) shall
20 be equal to the actual cost required to submit data to a
21 consumer reporting agency, or $5, whichever is less.
22 (c) Failure to pay fee.--
23 (1) The failure to pay a fee charged under this section:
24 (i) Shall be grounds for removal of a tenant from
25 the program in accordance with paragraph (3).
26 (ii) May not be a cause for termination of tenancy
27 under the terms of the lease.
28 (2) Any unpaid fee under this section:
29 (i) May not be deducted from a tenant's security
30 deposit.
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 1 (ii) Shall be collectable as money past due.
2 (3) If the fee remains unpaid for 30 days or more, an
3 eligible tenant shall be deemed as terminating participation
4 in the program and may be removed from the program.
5 Section 209-A. Withdrawal, removal and discontinuance of the
6 program.
7 (a) Withdrawal.--A tenant may withdraw from participation in
8 the program at any time by submitting a written election to
9 withdraw from the program to the tenant's landlord or a third-
10 party vendor that administers the program for a landlord. If a
11 written election to withdraw is received after reporting of rent
12 payment information has occurred for the reporting period, the
13 withdrawal shall begin the reporting period immediately
14 following receipt.
15 (b) Removal from program.--
16 (1) An eligible tenant shall be removed from the program
17 when the tenant:
18 (i) is no longer an eligible tenant; or
19 (ii) fails to pay the fee required under section
20 208-A.
21 (2) An eligible tenant that is removed from the program
22 under this subsection may be barred from electing to
23 participate in the program for a period of one year after
24 removal.
25 (3) An eligible tenant who holds rent in an escrow
26 account for legal cause:
27 (i) May not be removed from the program.
28 (ii) Shall not be in violation of withholding a