New York Governor Kathy Hochul has signed a new law focused on transparency and safety in AI development. The RAISE Act, following similar legislation in California, requires large AI developers to disclose safety protocols and report incidents within 72 hours. The law establishes regulatory standards for AI development in New York.
An oversight office will be created within the New York State Department of Financial Services (DFS) to evaluate large AI developers and improve transparency. DFS Acting Superintendent Kaitlin Asrow stated that the department aims to support Governor Hochul’s efforts in setting standards for AI development. The office will also issue annual reports to provide updates on the state’s oversight of the AI industry.
Penalties for non-compliance with the law include fines of up to $1 million for initial violations and up to $3 million for subsequent violations. The Attorney General’s office has the authority to take civil action against developers who fail to meet reporting requirements or submit false information.
State Senator Andrew Gournardes stated that the legislation addresses community safety, economic growth, and societal impacts, according to the Governor’s office. The law is intended to mitigate potential AI risks while supporting economic and social development. Assemblymember Alex Bores added that the law establishes new standards for AI safety and transparency, building on previous measures implemented in California.
The RAISE Act complements New York’s existing initiatives in AI, including Governor Hochul’s creation of Empire AI, a consortium of academic, industry, and government partners. The legislation supports the state’s ongoing efforts to establish standards for safe and transparent AI development.
