Substitute Bill No. 2 introduces comprehensive regulations for the use of artificial intelligence (AI) systems in Connecticut, particularly focusing on high-risk AI technologies to prevent algorithmic discrimination. The bill defines key terms such as "algorithmic discrimination" and "high-risk artificial intelligence system," and mandates that developers, integrators, and deployers of such systems exercise reasonable care to protect consumers. Developers are required to provide detailed documentation about their AI systems, including known risks of discrimination, while integrators must enter binding contracts with developers and disclose their AI usage on public platforms. Deployers are tasked with conducting impact assessments and maintaining risk management policies, ensuring transparency in AI interactions with consumers. The bill also establishes a rebuttable presumption of reasonable care for compliant developers and outlines specific exemptions for certain technologies.

Additionally, the legislation emphasizes the importance of public education and outreach, particularly for small businesses, and grants the Attorney General exclusive enforcement authority over violations, which are classified as unfair trade practices. The bill introduces a regulatory sandbox program for testing AI technologies, mandates the creation of a working group to address AI implications for consumer protection and labor, and revises the legal framework surrounding the unlawful dissemination of intimate images to include synthetic content. Overall, the bill aims to enhance consumer protection, accountability, and transparency in the deployment of AI technologies while adapting to the evolving digital landscape.

Statutes affected:
Committee Bill: 10-21l, 32-7p, 32-39e
GL Joint Favorable Substitute: 10-21l, 32-7p, 32-39e
File No. 603: 32-7p, 32-39e
JUD Joint Favorable: 10-21l, 32-7p, 32-39e
APP Joint Favorable: 10-21l, 32-7p, 32-39e