BILL NUMBER: S7691
SPONSOR: GONZALEZ
 
TITLE OF BILL:
An act to amend the education law, in relation to establishing an arti-
ficial intelligence literacy digital equity competitive grant program
 
PURPOSE OR GENERAL IDEA OF BILL:
To establish a competitive Artificial Intelligence (AI) Literacy Grant
Program under the Digital Equity Competitive Grant Program. This program
will expand equitable access to AI education in New York through target-
ed grants to public schools, community colleges, higher education insti-
tutions, and nonprofit organizations. It aims to improve digital litera-
cy, prepare New Yorkers for a rapidly evolving workforce, and reduce
disparities in access to technology.
 
SUMMARY OF PROVISIONS:
Section 1: This act shall be known and may be cited as the "Artificial
Intelligence Literacy Act".
Section 2: Legislative Findings: The Legislature finds that AI is a
transformative technology with applications across multiple sectors. As
AI integration expands, foundational literacy in AI is necessary to
ensure responsible use and mitigate risks such as bias and misinforma-
tion. AI education should combine technical training and ethical consid-
erations while prioritizing accessibility for underserved communities.
Strengthening AI education will enhance workforce readiness, promote
innovation, and support security objectives at the state and national
levels.
The Legislature further finds that artificial intelligence literacy must
include instruction in the ethical and responsible use of emerging tech-
nologies. Preparing students from an early age to engage critically with
artificial intelligence is essential to building a digitally fluent and
civically informed public. Public investment in early-stage artificial
intelligence education is needed to expand access, create opportunity,
and ensure that New York remains competitive in a rapidly advancing
technological landscape.
Section 3: The AI Literacy Grant Program: The Artificial Intelligence
Literacy Grant Program within the existing Digital Equity Competitive
Grant Program. It directs the Commissioner of Education to oversee a
competitive grant process that supports AI education efforts across
public schools, community colleges, higher education institutions, and
nonprofit community organizations. This section defines key terms such
as artificial intelligence systems, AI literacy, and eligible insti-
tutions to clarify the scope and intent of the program.
The section outlines the structure of the grant process, including
eligibility, application requirements, and funding priorities. It
requires the Commissioner to give preference to applicants that show
both high need and well-developed proposals. Applications must include
clear goals, plans for implementation, and data on current access to AI
education. The law sets specific percentages for how funding is allo-
cated across institution types, ensuring a balanced and equitable
distribution of resources.
Approved uses for the funds include educator training, development of
instructional content, hands-on learning labs, virtual platforms, and
programs that help students and adults prepare for AI-related careers.
Grant recipients are required to report on their progress annually.
These reports must include data on who is being served and how the funds
are used. The Department of Education must create a system for evaluat-
ing program outcomes and submit an annual report to the Governor and the
Legislature. The section also gives the Department the authority to
issue regulations, provide technical support, monitor compliance, and
recover funds that are not used appropriately.
 
JUSTIFICATION:
Artificial intelligence is reshaping industries, influencing how people
work, learn, and engage with technology. To ensure New York remains
competitive, AI literacy must be accessible to all, regardless of
socioeconomic status. The AI industry is projected to contribute $15.7
trillion to the global economy by 2030, with AI-related job openings
increasing by 74% over the last five years. In the U.S., AI-related
jobs already accounted for 9% of the workforce as of 2018, growing at
twice the rate of other occupations. However, workforce disparities
persist-Black students represent only 7.5% of AI-related bachelor's
degrees, despite making up 14% of the U.S. population. Women, who earn
60% of all college degrees, constitute just 25% of AI graduates, high-
lighting a critical gender gap in the field. Moreover, low-income and
rural communities, including many in upstate New York and the Bronx,
often lack access to AI education, deepening existing economic inequal-
ities.
According to the Jobs for the Future (JFF) survey on AI education and
workforce preparedness, public demand for AI education is rising, with
58% of surveyed individuals supporting AI learning initiatives in
schools and workplaces. AI literacy extends beyond programming; it
fosters critical thinking, problem-solving, and ethical decision-mak-
ingskills necessary for the evolving workforce. New York City is home to
one of the fastest-growing AI job markets, with AI-related employment
increasing by over 40% between 2019 and 2023. Despite this growth, New
York's public schools lag behind other states, such as California and
Massachusetts, in integrating AI education into K-12 curriculums.
National security experts emphasize AI education as essential for main-
taining U.S. technological leadership and security. By investing in AI
literacy, New York can strengthen its position as a leader in tech inno-
vation and workforce preparedness, ensuring all residents are equipped
to navigate an AI-driven future.
 
PRIOR LEGISLATIVE HISTORY:
This is a new bill
 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
This act will require a dedicated appropriation of funds from the New
York State education budget, with potential supplementation through
federal grants and public-private partnerships with technology firms and
research institutions. Funding will support grants for AI education in
schools, colleges, universities, and community organizations, covering
teacher training, curriculum development, and infrastructure develop-
ment. While the program entails initial implementation and administra-
tive costs, the longterm economic benefits include a more AI-literate
workforce, expanded employment opportunities, and enhanced state compet-
itiveness, in the technology sector. Investments in workforce develop-
ment and digital inclusion will help address educational disparities,
create pathways to high-paying careers, and reduce future workforce
retraining costs. Over time, these investments are expected to yield
substantial returns in productivity, innovation, and economic growth,
making AI literacy a strategic priority for New York's evolving economy.
 
EFFECTIVE DATE:
This act shall take effect one year after it shall have become a law.
Effective immediately, the addition, amendment and/or repeal of any rule
or regulation necessary for the implementation of this act on its effec-
tive date are authorized to be made and completed on or before such
effective date.