California lawmakers reject AI pricing bills for housing and retail, advance others

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CALIFORNIA – California lawmakers scaled back on several tech proposals that would have targeted predictive software used to set rental housing and retail prices.

Senate Bill 52, which sought to ban rental pricing algorithms, was held under submission in committee, effectively stalling the measure. 

Assembly Bill 446, the “Surveillance Pricing” bill, was originally aimed at stopping companies from using personal data to set prices, but was narrowed to apply to only grocery stores.

Utility regulations saw mixed results. Assembly Bill 222, which would have required data centers to disclose their energy use, was stalled. Its author, assemblymember Rebecca Bauer-Kahan (D-San Ramon), said she was disappointed, warning that without greater transparency into data center demand, Californians could still “unfairly shoulder the costs.”

By contrast, Senate Bill 57 advanced. It seeks to prevent utility companies from passing high electricity costs of AI data centers directly onto ratepayers.

AI protection bills that advanced

AI oversight measures also moved forward. Senate Bill 295, the Preventing Algorithmic Collusion Act of 2025, which bans pricing software trained on competitor data, awaits a floor vote.

Senate Bill 53 requires large AI developers to assess and disclose catastrophic risks from their models. Child and worker protections advanced as well – Senate Bill 243 shields children from harmful AI “companion bots,” while Senate Bill 7 regulates employers’ use of AI for worker surveillance and pay decisions.

These bills now head to final votes. If approved, Governor Gavin Newsom has until October 14, 2025, to sign or veto them.

RELATED: California announces AI training push – but details are slim 

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