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California AI Act

The California AI Act is a proposed state-level framework designed to regulate the development and use of artificial intelligence in ways that protect consumer rights, prevent discrimination, and promote transparency. While still under legislative review, it reflects growing concern over AI’s societal impacts and aligns with global trends like the EU AI Act.

Key goals of the Act include:

  • Defining high-risk AI systems, particularly those used in employment, housing, education, healthcare, and public safety.
  • Establishing transparency obligations, such as notifying individuals when AI is used in decision-making.
  • Preventing algorithmic discrimination based on protected characteristics.
  • Ensuring data quality and fairness in training sets and models.
  • Creating accountability through documentation, auditing, and impact assessments.

If passed, the law would require developers and deployers of high-risk AI systems to:

  • Conduct AI impact assessments and submit documentation to state authorities.
  • Maintain records of AI outputs and decisions.
  • Establish human oversight procedures and appeal mechanisms.
  • Comply with non-discrimination laws and correct any biased or harmful outcomes.

The law would likely apply to any entity doing business in California.

Resources:

SB-942 California AI Transparency Act

AI Innovation Meets Regulation: Inside California’s Artificial Intelligence Act

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