NCSL Report Explores Policy Implications For Artificial Intelligence

Aug 14, 2023

During the 2023 legislative session, measures addressing artificial intelligence were introduced in at least 24 states, according to a new report from the National Conference of State Legislatures (NCSL).

The report, “Approaches to Regulating Artificial Intelligence: A Primer,” was crafted by a bipartisan group of 34 state lawmakers and highlights current artificial intelligence (AI) regulations, the benefits and risks of deploying AI, and considerations for policymakers on balancing privacy and enabling innovation.

“AI is no longer a science fiction movie concept, but something that our advances in computer science and engineering have operationalized for a seemingly limitless set of applications,” California Assemblymember Jacqui Irwin, co-chair of the taskforce, said in a statement.

“As state legislators we not only have a role in defining how our state and local governments may responsibly utilize these new AI tools, but also protecting our constituents as they engage with private sector businesses looking to adopt AI.”

Rep. Todd Jones speaker from the well. (Credit: Georgia House of Representatives)

In Georgia, the state’s House Technology and Infrastructure Innovation Committee created a new subcommittee on AI in June. Committee Chair Todd Jones, R-South Forsyth, said in a statement, “AI is rapidly transforming the way we live and work, but this potential to drive innovation and economic growth is matched by concerns around job displacement and privacy risks. As such, it’s critical that we examine our state policy regarding AI to ensure they protect our citizens and support its development responsibly. 

“By doing so, we can help ensure that AI benefits our state as a whole and that we harness its full potential in a way that is safe,” said Jones, who appointed Rep. Brad Thomas, R-Woodstock, to chair the subcommittee.

Rep. Brad Thomas speaks from the floor of the House. (Credit: Georgia House of Representatives)

Thomas and members of the subcommittee will “work to examine the risks and benefits associated with AI and vet legislative initiatives based on its findings,” with a goal towards determining if and how AI can be better regulated to protect Georgians, while also supporting job-producing companies that use the technology, according to the Georgia subcommittee’s statement.

According to the NCSL report, AI has the potential to boost global gross domestic product by $15.7 trillion by 2030.

However, there are also risks, such as potentially removing humans from decision making processes, it found.

“Critical to understanding AI technology is that these algorithms are all based on humans inputting data,” the report states. “The AI or machine learning pipeline is comprised of training data that is entered into a pattern-finding algorithm, that in turn creates a predictive model. The data collection and the actual data itself is based on human choices, responses or decisions. And because humans make decisions that are based on emotions, there is a risk that such algorithms can contain bias and inaccuracies.” 

The report also raises the prospect of potential market disruptions if AI is able to replace jobs.

But it does go on to say lawmakers can focus on sector-specific scoping, regulatory refinement and data focused-interventions to try and strike the right balance between data privacy and enabling the AI economy to thrive.

The report found that many states, such as Georgia, are already trying to get ahead of the curve by creating advisory councils to study and monitor AI systems, conducting inventory of systems that employ artificial intelligence and that are in use by state agencies, or approving legislation explicitly cutting artificial intelligence out of the definition of a person.

“AI is transforming our economy, how citizens live and work, and how countries interact with each other,” the report reads. “Managing the potential negative impacts of this powerful technology is at the forefront of policymakers’ agendas so as not to stifle the potential benefits of AI. State lawmakers are keenly aware that the window of opportunity is short, and the sense of urgency high.”

It concludes by asking three questions:

  • What is the government’s role in promoting innovation while leveraging core strengths of the American economy?
  • How can policymakers balance privacy concerns, potential workforce disruption, and biases in algorithmic decision-making?
  • How can states and the federal government collaborate to create a policy and regulatory situation that will encourage continued U.S. global AI leadership in light of the EU’s and China’s adoption of AI?

“AI is transforming our economy, how citizens live and work, and how countries interact with each other,” the report states. “Managing the potential negative impacts of this powerful technology is at the forefront of policymakers’ agendas so as not to stifle the potential benefits of AI. State lawmakers are keenly aware that the window of opportunity is short, and the sense of urgency high.”

The AI report was released ahead of NCSL’s annual conference this week in Indianapolis, where state lawmakers from across the nation will gather to participate in numerous informational sessions.

— WISPOLITICS/State Affairs Pro

Jill Jordan Sieder, senior reporter at State Affairs Georgia, contributed to this report.

Contact Jill Jordan Sieder on Twitter @journalistajill or at [email protected].

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Header photo: (Credit: monditj)