President’s Executive Order on Artificial Intelligence (AI), Housing-Related Provisions
On October 30, 2023, President Biden issued an Executive Order (EO) on Safe, Secure, and Trustworthy Artificial Intelligence (AI) that aims to advance a coordinated, whole-of-government approach toward the safe and responsible development of AI. The EO includes cross-cutting regulatory principles, protections, and actions that federal agencies will take or establish with additional guidance, including several from housing regulators (HUD, CFPB, and FHFA). Housing-related policies are provided in the EO’s Section 7.3. Strengthening AI and Civil Rights in the Broader Economy; specifically, the EO states:
- To address discrimination and biases against protected groups in housing markets and consumer financial markets, the Director of the Federal Housing Finance Agency(FHFA) and the Director of the Consumer Financial Protection Bureau (CFPB) are encouraged to consider using their authorities, as they deem appropriate, to require their respective regulated entities, where possible, to use appropriate methodologies including AI tools to ensure compliance with Federal law and:
- evaluate their underwriting models for bias or disparities affecting protected groups; and evaluate automated collateral-valuation and appraisal processes in ways that minimize bias.
- Within 180 days of the date of this order, to combat unlawful discrimination enabled by automated or algorithmic tools used to make decisions about access to housing and in other real estate-related transactions, the Secretary of Housing and Urban Development (HUD) shall, and the Director of CFPB is encouraged to, issue additional guidance:
- addressing the use of tenant screening systems in ways that may violate the Fair Housing Act (Public Law 90-284), the Fair Credit Reporting Act (Public Law 91-508), or other relevant Federal laws, including how the use of data, such as criminal records, eviction records, and credit information, can lead to discriminatory outcomes in violation of Federal law; and
- addressing how the Fair Housing Act, the Consumer Financial Protection Act of 2010 (title X of Public Law 111-203), or the Equal Credit Opportunity Act (Public Law 93-495) apply to the advertising of housing, credit, and other real estate-related transactions through digital platforms, including those that use algorithms to facilitate advertising delivery, as well as on best practices to avoid violations of Federal law.
- To help ensure that people with disabilities benefit from AI’s promise while being protected from its risks, including unequal treatment from the use of biometric data like gaze direction, eye tracking, gait analysis, and hand motions, the Architectural and Transportation Barriers Compliance Board is encouraged, as it deems appropriate, to solicit public participation and conduct community engagement; to issue technical assistance and recommendations on the risks and benefits of AI in using biometric data as an input; and to provide people with disabilities access to information and communication technology and transportation services.
Members can find the entire EO on AI HERE.
EPA Launches New Community, Equity & Resiliency Initiative
On November 1, 2023, the U.S. Environmental Protection Agency (EPA) launched the Community, Equity & Resiliency initiative. Under this initiative, the EPA’s Office of Air and Radiation and Office of Environmental Justice and External Civil Rights will “facilitate community-driven partnerships and provide a space for communities to learn, connect, and cultivate ideas on how to access the historic resources, especially in low-income and disadvantaged communities.”
EPA’s press release states, “As part of the initiative, EPA will host live virtual and in-person events, including panel discussions and fireside chats featuring environmental leaders and their peers, to help community-based organizations, their community partners, and potential grant applicants navigate funding opportunities.” Events begin this week, as EPA is hosting a National Virtual Open House that runs November 6-14 and is open to the public. According to the EPA, “This six-day event will include a series of virtual panels and fireside chats featuring prominent environmental leaders and peers discussing their ideas to overcome environmental pollution and climate change challenges through funding opportunities that are available through the Inflation Reduction Act and other programs under the President’s Investing in America agenda. Panel and fireside chat topics will include climate change in rural communities, green jobs, electric vehicle infrastructure, technical assistance, and more.” Please register here for the National Virtual Open House
For additional information, funding opportunities, and resources, Members should visit EPA’s Community, Equity & Resiliency webpage.