On 31 August 2024, the Bill on Public Contracts: Automated Decision Systems Procurement Standards (SB 892) was adopted by the California Legislature. The Act mandates the Department of Technology to establish automatic decision system (ADS) procurement standards, including points such as a detailed risk assessment procedure for procurement of ADS, methods for risk controls between state agency and vendors, adverse incident monitoring procedures, classification of prohibited use cases, and analysis of impact of high-risk ADS use on vulnerable communities. After the approval of such standards, state agency contracts for ADS would need to include clauses complying with the issues and procedures set out by the standards.
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