Cybersecurity & Tech

Michigan lawmakers approved tax breaks for hyper scale data centers. HB4906 (2024 | MI) The bill applies to data centers located on either brownfields or on property that was once an industrial site used primarily as a power plant to generate electricity for sale.

A bill to create a strategic bitcoin reserve was introduced in the Pennsylvania Legislature this week. The bill would allocate up to 10% of its roughly $7 billion state funds into bitcoin. HB2664 (2025 | PA)

Pro-crypto Republican Sen. Cynthia Lummis of Wyoming says she’s hoping to push through her own bitcoin reserve bill on the national level during the first 100 days of Trump’s presidency.

According to the National Association of State Chief Information Officers 40% of their members say they don’t have the budgets to handle the security threats. Insurance premiums are often out of budget. The average cost of a ransomware attack on state and local governments so far this year is $2.83 million. For those keeping up that is more than doubled 2023’s costs. Sophos’ State of Ransomware in State and Local Government 2024 report.

Route Fifty | State and local security adjusting to shifting cyber threats, insurance requirements

Alaska Governor is working to lure data centers to the state. The Governor looks to rely on  building the trans-Alaska gas pipeline to feed the energy-intensive data centers. 

Lt. Governor Dan Patrick of Texas has stated that “Texans will ultimately pay the price.” for data centers electric usage.

In Oregon,  their property tax breaks for data centers date back to the 1980s. The tax breaks are being called an example of what not to do. The tax break will soon cost the state billions while residential electricity costs are up 50% in two years. 

Locals in Northern Virginia are suing to stop a data center. The law suit focuses on land use, historical designations, and the administrative process. 

Route Fifty | Data centers, which require massive amounts of energy and few jobs, have downsides for Alaska

The Computer & Communications Industry Association and NetChoice are asking a federal court to find Florida’s HB3 unconstitutional. The bill restricts social media for children. The lawsuit argues that the bill violates the First Amendment, that its definition of a social media platform is too vague, and that it contradicts federal statute.

Route Fifty | Tech associations sue over Florida’s social media restrictions for kids under 16

AI hallucination is when AI system generates misleading or false information. This can be because the AI model lacks enough data or makes incorrect assumptions.

Route Fifty | A top state official used AI to draft public policy. The AI hallucinated.

 “Alaska’s top education official relied on generative artificial intelligence to draft a proposed policy on cellphone use in Alaska schools, which resulted in a state document citing supposed academic studies that don’t exist.”

Route Fifty | A top state official used AI to draft public policy. The AI hallucinated.

Illinois has proposed $500 million in public and private funds for a quantum campus and other research facilities. 

Indiana has been investing in quantum computing. yeah, everyone keeps talking about AI, but quantum computing is the sleeper issue to watch. Indiana has put in $4 million in seed money to Quantum Corridor; fostered public private partnerships between tech and universities; supported a collaborative quantum computing ecosystem; and developed a quantum-savvy workforce.

Route Fifty | What other states can learn from Indiana’s investment in quantum technology

Texas A&M Mosbaucher Institute paper argues for adopting “UCC Article 12 would therefore make Texas an attractive jurisdiction for this kind of claims trading in the digital asset economy.”

Publishers and artists are pushing back against their material being used to train AI. Reddit CEO described AI’s need for data as, ““The source of artificial intelligence is actual intelligence, and that’s what you find on Reddit.” This is ripe for regulation.

Social Media Today | Data Is the New Gold in the Generative AI Era

2024 spending growth in IT is estimated  at $5.26 trillion, an increase of 7.5% from 2023. Gartner forecasts the growth to be tied to  generative AI-related purchases. Interestingly, the June 2024 Deloitte Global Boardroom Program survey of nearly 500 board members and C-suite executives across 57 countries showed that 45% of boards haven’t had AI on their agenda. At all. No talk of AI. What?! 

Harvard Law School Forum on Corporate Governance | Governance of AI: A Critical Imperative for Today’s Boards

A letter by tech vendors to  the House of Representatives’ AI task force is calling on policy that distinguishes between integrators and developers of AI models. An integrator doesn’t create AI but rather out retrains, modifies, and fine-tunes AI models into other products and services.

CIO Dive | Tech vendors ask US lawmakers for regulatory clarity on AI

TechCrunch reports that X is now permitting 3rd parties to train AI on your posts. Other companies are considering whether to license data to AI companies as a potential new revenue stream.

The City of Pittsburgh has an AI policy that prohibits AI use that includes sensitive data of its residents. Allegheny County has banned the use of generative AI by county employees while a task force determines parameters for AI use. 

Governing | How Should Pennsylvania Regulate AI?

 By 2027 global AI use is estimated to consume 4.2 – 6.6 billion cubic meters of water. This begs the question of whether AI and data centers should publicly report water use.  @thetimes

  A consortium of state legislators has been assembled by Connecticut State Sen. James Maroney, D- Milford. The group meets twice a month. The goal is a coordinated state response that doesn’t inhibit AI.

Governing | One Connecticut Lawmaker Leads National Effort on AI Policy

NASCIO’s annual State CIO Survey found 94% of state CIOs are responsible for maintaining a “robust, reliable and secure infrastructure” and 92% coordinate with other state officials during disasters. 72% said their state “generally takes a federated approach to technology disaster recovery and business continuity, meaning responsibilities are shared across state agencies and among leadership.”

Route Fifty | State CIOs take on bigger role in natural disasters

An economist at MIT this week shared that 5% of U.S. jobs could be done by AI. Beyond that, the economist said AI will not live up to its hype. @bloombergbusiness

 Here’s some new messaging on AI. Santa Fe, New Mexico public schools are talking about AI as a “thought partner.” Students are being told to consider AI as a “co-pilot to enhance human creativity.”  This verbage is similar to North Carolina that created an acceptable use AI scale  from 0 to 4.  4 is use AI as much as you’d like. 0 is no way, now how to AI. 

Governing | Santa Fe Schools Embrace AI as ‘Thought Partner’

Tennessee Governor signed SB1894 (2024 | TN) that seeks to make it easier to cancel your subscriptions. You know those $1.99/mo apps that renew for $15/mo. Opposition in Tennessee included cable companies and streaming services. The bill that passed would require clear and conspicuous notices on renewals.

Route Fifty | Some states want to make it easier to cancel subscriptions

California’s Governor vetoed SB1074 (2024 | CA), a bill that would have required Artificial Intelligence testing on the costliest AI. His veto statement said that the bill “could give the public a false sense of security about controlling this fast-moving technology.” The statement concludes, “protecting against actual threats without unnecessarily thwarting the promise of this technology to advance the public good – we must get this right.”

Cal Matters | Why Gavin Newsom vetoed California’s bold bid to regulate AI

 @MITSloan researchers developed an AI risk mitigation guide. Included is that you should first do your work without AI. Later, bring in AI for a subtask to verify AI’s accuracy. The full guide for AI risk mitigation.

“Microsoft, Blackrock, “BlackRock, Microsoft, Global Infrastructure Partners and United Arab Emirates-based technology investment firm MGX announced a partnership to invest in new and expanded data center infrastructure to meet artificial intelligence computing needs and the energy supply needed to support these facilities.” They seek to raise $30 billion in private equity capital and up to $100 billion with debt financing.

Utility Dive | BlackRock, Microsoft, others form AI and energy infrastructure investment partnership

North Carolina has approved the use of digital student IDs for voting. North Carolina doing something that many say makes it easier for young people to vote- not on my bingo card for 2024. State GOP has pledged to stop implementation- naturally, the state GOP tweeted about it.

Route Fifty | North Carolina OKs the use of student digital IDs to vote

Sonoma County has adopted an AI policy that would allow AI use by the local government if the AI is on an approved list, and can only be used for tasks including writing emails, reports, policies and job descriptions, completing spreadsheet calculations and data analysis and developing or debugging code.  Santa Cruz, San Benito, and San Francisco counties have also local approved AI policies. This begs the question about statewide policies and the role of the California State Association of Counties and National Association of Counties.  

Governing | California County AI Policy Could Be Instructive for Other Localities

Penn State’s Center for Socially Responsible Artificial Intelligence (CSRAI) is opening its annual seed funding program. Short proposals will be accepted through Nov. 1, with projects expected to start in spring 2024 and last up to two years. The application.

 Polling of California Latinos shows that 56% view AI as just another tool and 44% think AI is bad for jobs. 80% want regulation to ensure AI is safe and trustworthy. 

A 2023 poll by Microsoft showed that  53% of Latinos see AI as a threat to jobs.

Governing | What Do California Latinos Think About AI?

Attorneys General from 42 states, both red and blue states, are calling on the U.S. surgeon general to issue a warning for young people on social media platforms. Notable states not signed onto the request: Texas and Arizona.

KGW8 | Oregon attorney general joins long list of AGs wanting Congress to stamp warning label on social media sites

The cost of crypto scams on U.S. consumers in 2023 was $5.6 billion according to the FBI. That’s a 45% increase from 2022.

WVTM | Americans lost $5.6 billion last year in cryptocurrency fraud scams, the FBI says

Illinois has enacted 2 new AI laws. The bills will protect the likeness of artists and allow for private causes of action when someone’s likeness is used without authorization. The Right of Publicity Act prohibits unauthorized digital replicas by defining a replica as “a newly created, electronic representation of the voice, image or likeness of an actual individual created using a computer, algorithm, software, tool, artificial intelligence or other technology.”

Route Fifty | States move to protect recording artists from AI-generated likenesses

The mayor’s race in Cheyenne, Wyoming included a candidate that sought to make the city run on AI. He met his match with voters. He lost handily. Turns out voters want decisions made by humans. Who knew?! 

Denver7 | Cheyenne’s ‘AI for mayor’ concedes after voter turnout shows overwhelming preference for human decision-making

The FBI announced its increased enforcement efforts for online scams and fraud. The program is called,  “Take a Beat.”  Is this a lyric from an 80s pop song? From January to May 2024 there have been $1.6 billion in losses due to online fraud which is a $300 million increase from 2023.

Government Technology | FBI Says Stopping Online Fraud and Scams Requires New Focus

California’s SB1047 (2024 | CA), which we talked about last week, has been amended to address opponent concerns about stifling innovation.

Removed from this bill is a provision that would have allowed California’s attorney general to sue AI companies for negligent safety practices before a catastrophic event has occurred. Also removed from the legislation is the creation of a new state agency, the Frontier Model Division (FMD). The bill also removed criminal penalties for AI companies, but the bill still does require AI companies to submit public “statements” concerning their safety practices. 

TechCrunch | California weakens bill to prevent AI disasters before final vote, taking advice from Anthropic

A newspaper in Wyoming printed an article that included AI generated quotes including from the state’s governor.  The quotes were not real. As one tech analysts said, AI is programmed to provide an answer, not that the answer be correct. 

This week the paper ran an editorial which states, “AI was allowed to put words that were never spoken into stories.” Last year, Sports Illustrated was critiqued for “publishing AI-generated online product reviews that were presented as having been written by reporters who didn’t actually exist.”  

AP | Wyoming reporter caught using artificial intelligence to create fake quotes and stories

 Great Britain has canceled 1.3 billion pounds worth of taxpayer funded AI projects that would have supported the UK’s AI Research Resource.  In explaining the cuts, the new government leadership spokesperson said, “This is essential to restore economic stability and deliver our national mission for growth.”  

CNBC | Britain cancels $1.7 billion of computing projects in setback for global AI ambitions

KC Fiber is high-speed gigabit internet that took a $10 million investment from the city and offers its residents high speed internet with no monthly bill. The City determined that internet is a public necessity. The city owns the fiber network, and contracts with DataShack to run the operation under the name KC Fiber.

Route Fifty | Why North Kansas City pays its residents’ internet bills, and your city doesn’t pay yours

California Legislature is considering SB1074 (2024 | CA) that establishes safety framework for AI. The bill requires safety tests for AI to reduce the risks of “catastrophic harm.” SB1074 defines “catastrophic harm” as cyberattacks that cause at least $500 million in damage or mass casualties. The bill also requires that AI can be shut down by humans. The opposition says the bill, “If it were to go into effect as written, it would have a chilling effect on innovation in California.” The bill has passed the Senate and 2 House Committees. The bill’s supporters say the safety measures in the bill mirror safety-testing framework that OpenAI, Anthropic and other AI companies voluntarily adopted last year.

WSJ | AI Companies Fight to Stop California Safety Rules

Louisiana Governor vetoed HB 154 (2024 | LA) because the bill “creates serious First Amendment concerns as it relates to emerging technologies.” The state will follow the U.S. House Speaker’s lead and study the issue.

Thus far in 2024, the number of groups registering to lobby federal officials on AI has increased to 556, up from 459 in 2023. ChatGPT maker OpenAI has spent $800,000 thus far in 2024 which more than doubles all of its spending in 2023. OpenAI rival Anthropic has also increased its lobbying expenditures.

TechCrunch | AI startups ramp up federal lobbying efforts

A report from Gartner this week suggests that more than 1/3 of Generative AI projects will be abandoned in 2025 after proof of concept. “After last year’s hype, executives are impatient to see returns on GenAI investments, yet organizations are struggling to prove and realize value. As the scope of initiatives widen, the financial burden of developing and deploying GenAI models is increasingly felt.”

Tech Crunch | This Week in AI: Companies are growing skeptical of AI’s ROI

Everyone let’s congratulate Cedar Park for being the 1st Digital Media Friendly Texas Certified Community. How do communities achieve this? By completing the multi-step certification process and approval by the Texas Film Commission. The designation is intended to “spur digital media production across the state and grow local jobs in animation, visual effects (VFX), video games, and extended reality (XR).”

Office of the Governor | Governor Abbott Congratulates Cedar Park As First Digital Media Friendly Texas Certified Community

Oklahoma Legislature is considering HB3594 that protects the right to mine block chain at home free from licenses, no additional taxes on cryptocurrency transactions, no capital gains on crypto currency in Oklahoma, and allows for cryptocurrency as a form of payment for goods and services in the state.

George Slover, senior counsel for competition policy at the Center for Democracy & Technology, says that surveillance pricing, or bespoke pricing, ” inverts, or you might say perverts, the assumptions at the very foundation of the justification for the free market.”

Governing | What Is ‘Surveillance Pricing’ and Is It Causing Increased Prices?

Did you know that online retailers have the ability to cull data and determine a personalize price for you based on how much their algorithm thinks you will pay for an item? Yep, hello surveillance pricing. An FTC order this week is looking into the situation, and is expected to take action with states are sure to follow.

Utah created an AI Office this year when it enacted SB 149 (UT | 2024). Utah’s AI Office is housed inside the state’s Department of Commerce. The state has a lack of accessible mental health care providers. The office will work to create a framework for what AI chatbots are and are not allowed to do in mental health care.

KUER | Utah’s new Office of Artificial Intelligence will first focus on mental health care and AI

Los Angeles School district has an AI project that is said to allow for chat functions in 100 languages. The goal of the AI chatbot is  to improve student English and math proficiency, attendance, and graduation rates while improving communication between students, parents, teachers, and administrators. Sound too good to be true? Maybe. The AI chat messaging collapsed and all of the AI company’s employees have been furloughed. 

Industry analysts say that this is par for the course based on where AI is today. They point to McDonalds which attempted generative AI chatbot for its menus at 100 locations. The pilot program was pulled due to chat challenges.

Route Fifty | Was Los Angeles schools’ $6 million AI venture a disaster waiting to happen?

We’ve been talking about how quantum computing is the next big thing that is going to occupy policymakers time. To that end, a group of MIT researchers partnered with Accenture to develop an AI  decision-making toolkit. “The framework asks leaders to consider two conditions: feasibility (meaning whether a quantum computer exists that is sufficiently powerful to solve their particular problem) and algorithmic advantage. The overlap between the two is the quantum economic advantage.”  @MIT Sloan School

Politico calls California State Senator  Thomas Umberg,  California’a Chief AI Gatekeeper. Policy issues that are at the forefront for the AI Gatekeeper: developing clear definitions for terms like “artificial intelligence,” “transparency,” “bias” and “privacy” to craft effective policies; ensuring that policymakers have “extensive consultation with experts across various sectors to ensure regulations are well-informed and effective;” and “Continuous dialog with academics, AI enterprises and other stakeholders is crucial for developing robust regulations. Policymakers aim to find a “sweet spot,” where regulations foster AI’s positive potential while minimizing its risks.”

Politico | Meet California’s chief gatekeeper for AI rules

 California is using AI enabled cameras to detect wildfires before the 911 wildfire calls begin. California uses a system of cameras to monitor backcountry land 24 hours a day. The cameras are part of an “interlinked technology network that is redefining the scope of fire prediction, prevention and response.” According to Science.org wildfires have tripled in frequency and are 4 times the size.

Governing | California’s High Tech Approach to Preventing Wildfires

Texas Public Policy Foundation believes Texas should avoid woke AI use, including AI programs that use DEI in their analysis.  “So a big part is making sure the information that is training these systems is reflective of truth, and that’s something that Texas will promote,” says David Dunmoyer, Director of the Better Tech Campaign at the Texas Public Policy Foundation (TPPF).

KTRH | Intel Briefing: Texas Seeks Balanced Approach to AI

States are passing social media limitations for minors. There’s a litany of legal challenges associated with these bills. Enter regulatory parameters for minor use of social media as the surgeon general is recommending warnings for social media use by minors. @abcnews

California Senate passed a bill, AB 2370 (2024 | CA), to prohibit the use of AI to teach community college courses. The bill simply requires that courses be taught by a person. The bill’s author said, “While there is room for artificial intelligence to contribute to community college classrooms, human faculty remain best suited to teach our students,” she said in a public statement. “

Governing | CA to Bar Community Colleges from Replacing Profs With AI

Vermont Legislature passed a first of its kind data privacy law which included a unique private cause of action. H121 (2024 | VT) The Governor’s veto statement reads, “One area of risk comes from the bill’s “private right of action,” which would make Vermont a national outlier, and more hostile than any other state to many businesses and non-profits – a reputation we already hold in a number of other areas. I appreciate this provision is narrow in its impact, but it will still negatively impact mid-sized employers, and is generating significant fear and concern among many small businesses.”

On June 7th, the New York Legislature passed S7694A, the Stop Addictive Feeds Exploitation (SAFE) for Kids Act that will require social media companies to restrict addictive algorithmic feeds on their platforms for users under 18.

Governor Hochul | SAFE For Kids Act Will Restrict Access to Addictive Algorithmic Feeds; Child Data Protection Act Will Keep Personal Data Safe

Acting Comptroller of the Currency Michael Hsu said this week that “banking and finance sector should develop a shared responsibility framework with their artificial intelligence partners to address fraud, scams and ransomware attacks arising from AI.” It is noted that the U.S. Artificial Intelligence Safety Institute, within the National Institute of Standards and Technology, can develop a shared responsibility framework with its 280 stakeholder organizations.

Banking Dive | Banks, AI partners must share responsibility for safety: OCC’s Hsu

Here’s a new AI term: slop. Slop is deeply flawed AI, shoddy and unwanted AI. @NYTstyle

Should we be surprised that the California Legislature has 55 AI bills?  Governor Newsom isn’t keen on over regulating AI. In his words:  “If we over-regulate, if we overindulge, if we chase the shiny object, we could put ourselves in a perilous position.” Legislation that continues to move concerns: deep fakes, data transparency AB 2013 , election security, creating the California Artificial Intelligence Research Hub SB 893 and AB 1856 from Assemblymember Tri Ta, R-Westminster that creates criminal charges for  knowingly distributed pornographic deepfake videos or photos of someone without that person’s consent. 

Government Technology | Flurry of California Legislation Takes Aim at AI Misuse

France approved AI surveillance of gatherings larger than 300. This should be an interesting AI experiment. Let’s anticipate AI surveillance legislation from global lawmakers across the globe.

Politico | Top French court backs AI-powered surveillance cameras for Paris Olympics

Two former Open AI board members, Helen Toner and Tasha McCauley, say that AI cannot be left to regulate itself. “But based on our experience, we believe that self-governance cannot reliably withstand the pressure of profit incentives,” write the former OpenAI board members.⁠
⁠
“With AI’s enormous potential for both positive and negative impact, it’s not sufficient to assume that such incentives will always be aligned with the public good.”⁠ @theeconomist

Apple and Google have agreed to a standard to notify users when unknown bluetooth devices are tracking users. For iOS the notifications will begin with ios17.5 and Android 6.0 @techcrunch

New tech term to know: “extended reality” Extended reality will also be a new regulatory exploration.  The term includes technologies that merge the digital and physical worlds that includes metaverse, augmented reality, and virtual reality. @MITSloan

Amarillo is one of the first cities to utilize an AI assistant, an AI woman named Emma, created by Amarillo’s IT team and Dell Technologies. “When Emma becomes fully operational later this year, city officials expect the digital assistant to converse multilingually across more than 60 languages, adroitly answering questions, retrieving information and, when necessary, connecting them to the proper, real-life human to speak with.”

Route Fifty | Meet Emma, Amarillo’s AI assistant and ‘digital human’

We’ve been talking about how Quantum is going to be the next big thing for lawmakers.  Colorado Governor signed HB24-1325 – Tax Credits for Quantum Industry Support. The new state tax credits for Quantum are triggered only if the Colorado based company also receives multi-million dollar federal funding. @afrotech

Colorado Governor signed  Senate Bill 24-205 which makes it the first state legislature to create AI regulatory framework. In his signing statement, the Governor raised concerns about the legislation impacting the growth of the nascent industry and concerns over not considering the intent of AI as it relates to discrimination. @goodgoodgoodco

Route Fifty | Colorado becomes first state with sweeping artificial intelligence regulations

MIT researchers say they have tracked AI and noted that AI technologies “are adept at bluffing in poker, deceiving people and using underhanded methods to get the upper hand in financial negotiations.⁠” @telegraph MIT Technology Review

HB 1192 (2024 | GA), a bill that would have suspended tax breaks for new data centers in Georgia because of the strain on electricity supplies, has been vetoed.  The veto is based on the bill “inhibiting important infrastructure and job development.”

Atalanta City Council is considering amending its ordinances to prohibit new data centers near certain transit lines.

Connecticut legislature is considering SB 2 (2024 | CT) to create a state framework for AI regulation. Opponents say a state approach stifles innovation and hinders economic growth. Opponents also say the broad disclosures required by the bill are vague and create too much uncertainty for business.

CT Mirror Viewpoints | Don’t let hasty AI regulation cripple CT’s small businesses

Remember a couple years ago when a tech giant was calling for data privacy to be a right? There’s a move in Canada to make data privacy a human right with amendments to Bill C- 27 .

The Hill Times | Data privacy as a human right must be recognized by privacy and AI bill, say advocates

 Illinois is poised to reduce penalties for violations of the state’s biometric data protection laws. How did Illinois get to the point of reducing penalties? A lawsuit that returned a multimillion verdict against a business that was using a fingerprint system to track employee time.  

The Record | Illinois’ biometric data privacy law could soon be less costly for violators

Connecticut is taking a 2 step approach to AI transparency. First, a statewide policy for state agencies to use and disclose AI use courtesy of the State Chief Information Officer. Second, legislation SB 2 (2024 | CT) which passed the CT Senate along party lines.

Route Fifty | This state’s ‘unsexy’ AI policy takes transparency to the next level

TXDPS is using AI to facilitate procurement for local governmental entities. TXDPS says the AI will offer quick access to regulations, information and guidance on the state’s contracting procedures. The goal is to shorten acquisition time.

Route Fifty | Generative AI steps up as a ‘facilitator’

Emerging technology, quantum computing, we walked through the Einstein-ness of it all in January. Now here comes the government funding opportunities. Meet the Quantum Economic Development Consortium required by the 2018 National Quantum Initiative Act, which called for the Department of Commerce to establish a group of quantum stakeholders. Colorado and Illinois crafted their own quantum initiatives. 

Route Fifty | How states can take a ‘quantum’ leap in economic development

The FCC reinstated net neutrality rules this week. Let’s refresh what net neutrality means.  “Under the new rules, content providers cannot be charged to have their data prioritized nor can content be subject to intentional blocking or slowdowns. “

Route Fifty | FCC reinstates net neutrality

Last week, hackers halted the work of New York Legislature’s bill drafting office. A new frontier in legislative challenges?

Spectrum News | State Legislature hit by apparent cyberattack

Wired tells us that there is such a thing as a robot dog flame thrower. Yes, this is for real— there’s a picture at the link. It is also legal in 48 states. Only Maryland, which required federal firearm license, and California, which limits flame throwers to 10 feet, restrict the robot dog flame thrower.  The robot dog shoots flames by bluetooth up to 30 feet. Clearly just what the world needed, their parents must be so proud of this “invention.”

Wired | Somehow This $10,000 Flame-Thrower Robot Dog Is Completely Legal in 48 States

A BYU law professor described Utah’s approach to AI legislation as a pragmatic light touch in its recent legislation session. Utah passed SB149 that requires disclosure of AI use, if asked; SB 131 that requires disclosure of AI in political ads; HB 366 that prohibits AI in criminal justice; and HB 249 that prohibits personhood for AI.

Tech Buzz | Utah Steps Forward with Simpler, Light-Touch AI Legislation

Louisiana is applying its approach to natural disasters, like hurricanes, to how it is approaching cybersecurity. This includes mobilizing the national guard and state agencies coordinating with local entities. All parties are use to the interactions as the protocols are just like they use to during natural disasters.

Route Fifty | How hurricane response helped one state’s cyber preparedness

Generative AI, like ChatGP, need electricity. A lot of electricity. The ability to electrify AI, and its datacenter cohorts, is the next big issue. @theeconomist

Tennessee passed the Elvis Act, to protect its musicians and artists from AI use. Tennessee is 1 of 3 states that considers names, photographs and likenesses a property right rather than a right of publicity.  @abcnews

Use of generative AI consists of 23% technical assistance and trouble shooting, 22% content creation and editing, 17% personal and professional support, 15% learning and education, 13% creativity and recreation, and 10% research, analysis and decision making. @harvard_business_review

 Effingham, Illinois has a plan to protect its property values from the impact of a forthcoming crypto mine.  The plan establishes regulations to protect property values, energy and water supplies, and noise. Effingham Public Works Director Greg Koester describes the regulations as “It provides definitions for cryptocurrency mine, cryptocurrency mining, data mining, data center, high-density load and establishes some regulations on where these particular uses can be and then some requirements that they need to abide by to be located in that area. It does require a site plan and a special use.”

Governing | Illinois City Approves New Regs for Cryptocurrency Mines and Data Centers

A unanimous Supreme Court determined that elected officials can block social media followers under very specific circumstances— that is their private account and then only if it has nothing to do with their government position. What’s the practical effect- yes, elected officials can be sued for violating  the First Amendment when they block their critics.

Scotusblog | Public officials can be held liable for blocking critics on social media

Part of me feels like I’m pointing out the obvious here, but airline wifi is public and has the same inherent risks of public wifi. This includes hacking and malware. A VPN and visiting only https sites can help.

WSJ | How Secure Is an Airplane’s Wi-Fi?

A Harvard Law School Forum on Corporate Governance post gives us a handy rundown of AI risks. Let’s take a peek:

• Unwanted bias, when automated systems relying on biased data or design produce
  discriminatory outcomes, perpetuates inequalities in decision-making. Some
  companies have faced legal action after using AI systems allegedly reinforcing
  discriminatory outcomes.[16]
• “Hallucinations”, referring to when AI generates false information.[17]
• AI systems trained on inaccurate, outdated, or otherwise not fit for purpose data.[18]
• Spread of mis/dis-information or harmful content through AI generated content.
• Failure to evaluate risks of third-party AI. Research suggests that more than half of
  all AI failures come from third-party tools, which most companies rely on.[19]
• Intellectual property (IP) infringement.[20]
• Data security breaches, including hacking or privacy violations.
• Technical malfunctioning, causing autonomously operated machines to endanger
  human life, for instance.

Harvard Law School Forum on Corporate Governance | Artificial Intelligence: An engagement guide

AI use requires more data center capacity, which thereby requires more energy use. A staggering amount of additional energy use.   @bloomberggreen

Investment in AI increased by 268.4% last year according to the BoF Professional Summit. This accounts for 691 generative AI deals for a total investment of $29.1 billion. @bof

Florida is the 1st state to ban cell phones during classes. A National Center for Education Statistics at IES report says 3/4 of all schools prohibit nonacademic use of cell phones during class. Other states working on similar statewide legislation: Indiana, Oklahoma SB 1314 (2024 | OK), Kansas HB 2641 (2024 | KS) , Vermont S284 (2024 | VT), Connecticut LCO 607 (2024 |CT), and Utah’s Governor sent guidance to all public schools.

Route Fifty | If schools won’t ban kids’ cellphones, some lawmakers say, they will

Bonjour Chief AI Officer, CAIO. A 2023 report in Oklahoma recommended a state level CAIO. Federal agencies must hire CAIOs by the end of 2024 based on this fall 2023 Executive Order. Who is next to create CAIOs? Most likely your state.

Route Fifty | ‘Early days’ for state-level response to Biden’s AI executive order

Washington State Legislature has passed SB5838 (2024 | WA) to create an AI Task Force. The Task Force will consist of 19 members and be housed in the state Attorney General’s Office. AL, MA, NJ and WI have created similar AI Task Forces. Speaker Johnson in the US House created an AI Task Force a couple weeks ago.

GOV TECH | Washington State Lawmakers Approve AI Task Force Bill

Rhode Island ‘s Governor created a new AI task force by executive order. The AI Center of Excellence will create a standard of ethics code for AI and develop a risk analysis and safeguards for the use of AI.

GOVTECH | Rhode Island Creates AI Task Force, Data Centers

 The Ohio Department of Mental Health and Addiction Services is funding a statewide multigenerational study that aims to identify the causes and risk factors of poor mental health outcomes. The study hopes to run for 20 years gathering data to help policymakers and health care providers identify ways to support long-term mental health success.

Route Fifty | One state looks to collect multiyear data to address the mental health crisis

Add Chicago to the list of jurisdictions that are breaking ties with gun shot spotting technology that alerts law enforcement of the possibility of gun fire. Concerns raised in Chicago include increasing emergency response times with no attributable reduction in violence. Chicago was spending $9 million annually for the technology.

Route Fifty | Chicago is the latest city rethinking disputed technology that listens for gunshots

2023 saw  2,365 more data breaches than the previous record in 2021. The total number of breaches of personal information was 3205 that impacted 353 million.

The T-Mobile breach was the largest affecting 37 million and then the Xfinity breach that impacted 35.9 million.

Why the increase? According to  James E. Lee, chief operating officer of the  Identity Theft Resource Center, ” Many professional cybercriminals supported by nation/states resumed stealing business and personal information after being more focused on the conflict between Russia and Ukraine. Professional cybercriminals and nation/state actors focused more on finding and exploiting zero day software flaws.”

Governing | 2023 Will Go Down for Record-Setting Number of Data Breaches

888 leaders in artificial intelligence have signed a statement calling for deep fake legislation. Their position is:

Deepfakes are a growing threat to society, and governments must impose obligations throughout the supply chain to stop the proliferation of deepfakes. New laws should:

1. Fully criminalize deepfake child pornography, even when only fictional children are depicted;
2. Establish criminal penalties for anyone who knowingly creates or knowingly facilitates the spread of harmful deepfakes; and
3. Require software developers and distributors to prevent their audio and visual products from creating harmful deepfakes, and to be held liable if their preventive measures are too easily circumvented.

If designed wisely, such laws could nurture socially responsible businesses, and would not need to be excessively burdensome.

30 conservative State Attorneys General, including Texas, signed a letter to the Secretary of Commerce arguing against “centralize governmental control over an emerging technology being developed by the private sector.” 

Route Fifty | States clash over what responsible AI looks like

 Virginia Legislature is considering SB439 (VA | 2024) to create the Blockchain and Cryptocurrency Commission. The Commission will make recommendations to the Legislature about how the state should regulate cryptocurrency and blockchain use.

WVTF | Virginia legislature could inch towards a regulated crypto market with potential new commission

States and local governmental entities are turning to white hat hackers to keep their cybersecurity game on point.  NYC Cyber Command established a system where white hat hackers report the bugs and vulnerabilities that they find via  vulnerability disclosure website.

Route Fifty | See something, say something: Ethical hackers strengthen cyber resilience

41% of employees have modified or added technology without IT department input according to  a Gartner report. Overworked government employees are turning to AI to be more efficient with little oversight. Some say this is the use of Shadow AI. Sounds like a horror film. In 2023, 18 states adopted resolutions or legislation regulating AI use in state government.

Route Fifty | Shining a light on shadow AI