Bill S.207 aims to prohibit the practice of surveillance pricing in the State of Vermont, which involves using consumer data collected through electronic surveillance technology to set prices for consumer products that differ from a standard price. The bill introduces a new chapter, Chapter 118, to Title 9 of the Vermont Statutes, specifically addressing artificial intelligence and surveillance pricing. It defines key terms such as "aggregate consumer information," "consumer," "surveillance pricing," and "standard price," and establishes that surveillance pricing is generally prohibited unless certain conditions are met, such as pricing differences based solely on the cost of providing the product or offering discounts to all consumers on equal terms.

Additionally, the bill outlines the requirements for businesses that may use surveillance pricing, including the need for clear consumer consent regarding the use of personally identifiable information. Violations of this subchapter are treated as violations of existing consumer protection laws, and the Attorney General is granted authority to enforce these provisions. The act is set to take effect on July 1, 2026.