United States of America: Texas Responsible Artificial Intelligence Governance Act was reintroduced to State House as HB 149 including consumer protection measures

On 14 March 2024, the Texas Responsible Artificial Intelligence Governance Act was reintroduced to the State House as HB 149, superseding the HB 1709 Bill of the same name introduced on 23 December 2024. While the original Bill included consumer data rights and algorithmic accountability obligations for private developers, HB 149 narrows the scope of consumer protections. The revised Bill focuses primarily on ensuring that consumers interacting with deployed AI systems receive clear and conspicuous disclosure that they are engaging with AI. It prohibits manipulative or deceptive AI use that could incite harm or undermine informed decision-making. Consumers retain the right to appeal automated decisions that impact their fundamental rights and are entitled to a clear explanation of the AI’s role in such decisions. However, broader consumer data rights, such as deletion or opt-out rights from automated profiling, have been removed. Enforcement remains under the authority of the Attorney General, who may investigate violations and impose penalties ranging from USD 10’000 to USD 200’000, though HB 149 includes a mandatory notice-and-cure period and exempts sandbox participants from penalties.