The California AI Transparency Act requires a person that creates, codes, or otherwise produces a generative artificial intelligence system that has over 1,000,000 monthly visitors or users and is publicly accessible within the geographic boundaries of the state to make available an AI detection tool at no cost to the user that, among other things, allows a user to assess whether image, video, or audio content, or content that is any combination thereof, was created or altered by the covered provider's generative artificial intelligence system.
This bill, the Leading Ethical AI Development (LEAD) for Kids Act, would establish, and provide for the membership of, the LEAD for Kids Standards Board in the Government Operations Agency and require the Governor to appoint an executive officer of the board, subject to Senate confirmation, who would hold the office at the pleasure of the Governor. The act would require, on or before January 1, 2027, the board to adopt regulations governing, among other things, criteria for determining the level of estimated risk of a covered product based on an analysis that weighs the likelihood and severity of reasonably foreseeable adverse impacts against the anticipated benefits of the covered product and denominating the risk levels, as prescribed. The act would define "covered product" to mean an artificial intelligence system that is intended to, or highly likely to, be used by children, pursuant to regulations adopted by the board.
The act would, among other things, require, on or before July 1, 2027, a developer to do certain things with respect to a covered product, including preparing and submitting to the board a risk level assessment in order to determine the appropriate risk classification of the covered product. The act would authorize the board to refer violations of the act to the Attorney General and would authorize the Attorney General to recover a certain civil penalty, as prescribed. The act would authorize a child who suffers actual harm as a result of a violation of the act, or a parent or guardian acting on behalf of that child, to bring a civil action to recover, among other relief, actual damages.
The act would create in the State Treasury the LEAD for Kids AI Fund into which any civil penalty recovered by the Attorney General pursuant to the act is deposited and would make the moneys in the fund available, only upon appropriation by the Legislature, for the purpose of administering the act.