RTO Legislative Activity - Rent-to-Own Legislative History

Federal:

Below is a summary of the major federal initiatives aimed at passage of a Consumer Rental-Purchase Agreement Act:

2009-2010 | 111th Congress: H.R. 1744 by Representative William Lacy Clay (D-MO) and S. 738 (D-LA) by Sen. Mary Landrieu (D-LA) have been referred to the Senate Banking Committee and House Financial Services Committee.

2007-2008 | 110th Congress: H.R. 1767 by Representative William Lacy Clay (D-MO) generated 99 co-sponsors. S. 1012 by Senator Mary Landrieu (D-LA) generated 21 co-sponsors.

2005-2006 | 109th Congress: H.R. 1651 by Representative Walter Jones (R-NC) generated 40 co-sponsors. S. 603 by Senator Mary Landrieu (D-LA) generated 19 co-sponsors. The Senate Banking Committee considered bill inclusion into the Regulatory Relief Act and heard testimony regarding S. 603 on June 21, 2005.

2003-2004 | 108th Congress: H.R. 996 by Representative Walter Jones (R-NC) generated 95 co-sponsors. S. 884 by Senator Mary Landrieu (D-LA) generated 27 co-sponsors. The Senate Banking Committee heard testimony regarding S. 884 on June 22, 2004 as a part of a “Consideration of Regulatory Reform Proposals” hearing. Senator Landrieu testified.
 

2001-2002 | 107th Congress: H.R. 1701 by Representative Walters Jones (R-NC) generated 83 co-sponsors. S. 2947 by Senator Mary Landrieu (D-LA) generated eight co-sponsors. H.R. 1701 passed the House of Representatives (215 to 201) on September 18, 2002; passed the House Judiciary Committee (14 to 12); pased the House Financial Services Committee (29 to 9); and passed the House Financial Services Subcommittee (24 to 4).

1999-2000 | 106th Congress: H.R. 1634 by Representative Walter Jones (R-NC) generated 51 co-sponsors.

1997-1998 | 105th Congress: H.R. 2019 by Representative Walter Jones (R-NC) generated 27 co-sponsors.

The Taxpayers Relief Act of 1997 passed into law. The law included the three-year MACRs (Modified Accelerated Cost Recovery Schedule) as the depreciation method for rent-to-own agreements. The rent-to-own three-year MACRs amendment also codified the rent-to-own transaction as a lease in the Internal Revenue Service statutes.

1995-1996 | 104th Congress: H.R. 2820 by Representative J.C. Watts (R-OK) generated 36 co-sponsors. The Internal Revenue Service issued its Revenue Procedure ruling declaring the rent-to-own transaction as a lease in the IRS code.

1993-1994 | 103rd Congress: H.R. 2803 by Representative Larry LaRocco (D-ID) generated 53 co-sponsors; S. 1956 by Senator Richard Shelby (D-AL) generated five co-sponsors.

For more information on APRO’s federal legislative effort, please contact APRO Public Affairs Director Richard May by e-mail or phone at 512/225-1051.

State Rent-to-own Legislative History:

There are 47 state rent-to-own laws representing ninety-five percent of the U.S. population balancing consumer protections while defining the rent-to-own transaction as a lease. Listed below are the states with rent-to-own laws and the years in which they were enacted:

• Alabama (1985)
• Alaska (1999)
• Arizona (1995)
• Arkansas (1987)
• California (1994)
• Colorado (1990)
• Connecticut (1991)
• Delaware (1991)
• Florida (1988)
• Georgia (1985)
• Guam (1998)
• Hawaii (1997)
• Idaho (1993)
• Illinois (1987)
• Indiana (1987)
• Iowa (1987)
• Kansas (1991)
• Kentucky (1990)
• Louisiana (1991)
• Maine (1992)
• Maryland (1989)
• Massachusetts (1986)
• Michigan (1984)
• Minnesota (1990)
• Mississippi (1995)
• Missouri (1988)
• Montana (2001)
• Nebraska (1989)
• Nevada (1989)
• New Hampshire (1994)
• New Mexico (1995)
• New York (1986)
• North Dakota (1993)
• Ohio (1988)
• Oklahoma (1988)
• Oregon (1993)
• Pennsylvania (1996)
• Puerto Rico (1998)
• Rhode Island (1989)
• South Carolina (1985)
• South Dakota (1991)
• Tennessee (1987)
• Texas (1985)
• Utah (1993)
• Vermont (1994)
• Virginia (1988)
• Washington (1992)
• West Virginia (1993)
• Wyoming (1996)

APRO: The Association of Progressive Rental Organizations— the official voice of the rent-to-own industry Founded in 1980, APRO is the national, non-profit trade association advocating and representing the rent-to-own industry before the U.S. Congress, state legislatures, courts, media, Wall Street and the public.

For more information on rent-to-own state laws, please contact APRO Public Affairs Director Richard May by e-mail or phone at 512/225-1051.