New York Governor Kathy Hochul on Friday signed legislation aimed at holding large AI developers accountable for the safety of their models. The RAISE Act establishes rules for greater transparency, requiring these companies to publish information about their security protocols and report any incidents within 72 hours after they occur. This comes just months after California adopted a similar law.
But, the penalties will not be as harsh as initially presented when the bill was passed in June. While that version included a fine of up to $10 million for the company’s first violation and up to $30 million for subsequent violations, according to politicoHochul’s version sets a fine of up to $1 million for the first violation and $3 million for any subsequent violations. In addition to new reporting rules, a new oversight office dedicated to AI safety and transparency is arising from the RAISE Act. This office will be part of the Department of Financial Services, and will issue an annual report on the evaluation of large AI developers.
Hochul signed two other pieces of AI legislation in early December that focused on the technology’s use in the entertainment industry. At the same time, President Trump is pushing to curb states’ efforts at AI regulation, and this month signed an executive order that calls for a “minimally burdensome national standard” instead.
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