United States of America: Texas Responsible Artificial Intelligence Governance Act was introduced to the State House including consumer protection measures (HB 1709)

On 23 December 2024, the Texas Responsible Artificial Intelligence Governance Act was introduced in the State House to regulate and report on the use of artificial intelligence systems by certain business entities and state agencies. It mandates transparency by requiring developers and implementers to disclose the nature and purpose of AI systems, including their role in consequential decisions. Consumers are given the right to access, correct or delete personal data, opt out of certain AI uses, and receive clear explanations of decisions that affect their rights. The law prohibits algorithmic discrimination and the misuse of sensitive personal attributes, ensuring fairness and ethical practices. Developers and deployers must conduct annual risk assessments, implement risk management policies, and maintain detailed records to prevent harm. Violations of these provisions are subject to penalties, with enforcement overseen by the Attorney General and government agencies. The penalties for violations under the Act range from USD 50'000 to USD 200'000 per infraction, with additional daily fines of USD 2'000 to USD 40'000 for ongoing non-compliance, depending on the severity and nature of the violation.