ASSEMBLY, No. 5053
STATE OF NEW JERSEY
221st LEGISLATURE
INTRODUCED DECEMBER 9, 2024
Sponsored by:
Assemblyman REGINALD W. ATKINS
District 20 (Union)
SYNOPSIS
Establishes Artificial Intelligence Ethics Board in DOLWD.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning artificial intelligence and supplementing Title 34 of the Revised Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. As used in P.L. , c. (C. ) (pending before the Legislature as this bill):
"Artificial intelligence" means:
a. any artificial system that performs tasks under varying and unpredictable circumstances without significant human oversight or that can learn from experience and improve performance when exposed to data sets;
b. an artificial system developed in computer software, physical hardware, or other context that solves tasks requiring human-like perception, cognition, planning, learning, communication, or physical action;
c. an artificial system designed to think or act like a human, including cognitive architectures and neural networks;
d. a set of techniques, including machine learning, that is designed to approximate a cognitive task; or
e. an artificial system designed to act rationally, including an intelligent software agent or embodied robot that achieves goals using perception, planning, reasoning, learning, communicating, decision making, and acting.
"Artificial Intelligence Impact Assessment" means an impartial evaluation of an artificial intelligence technology, conducted by an independent auditor.
"Artificial intelligence technology" means a product or service that primarily uses artificial intelligence to perform its intended function.
"Board" means the Artificial Intelligence Ethics Board in but not of the Department of Labor and Workforce Development, established pursuant to section 2 of P.L. , c. (C. ) (pending before the Legislature as this bill).
"Commissioner" means the Commissioner of Labor and Workforce Development.
2. a. There is established, in but not of the Department of Labor and Workforce Development, the Artificial Intelligence Ethics Board. The purpose of the board shall be to oversee the sale, use, and offer for sale of artificial intelligence technology in this State. The board shall place emphasis on bias prevention, privacy, transparency, and accountability in artificial intelligence technology.
b. The board shall be comprised of seven members, three of whom shall be appointed by the Governor, one of whom shall be appointed by the President of the Senate, one of whom shall be appointed by the Speaker of the General Assembly, one of whom shall be appointed by the Minority Leader of the Senate, and one of whom shall be appointed by the Minority Leader of the General Assembly. Of the members appointed by the Governor, one shall be an individual from among a list of nominees provided by the Executive Director of the New Jersey Economic Development Authority who are familiar with the programs administered by the authority, one shall be an individual from among a list of nominees provided by the commissioner who have expertise and experience in public policy analysis of artificial intelligence and employment, and one shall be an individual from among a list of nominees provided by the New Jersey Chief Technology Officer who have expertise and experience in ethical analysis of artificial intelligence technology.
c. Each member of the board shall serve for a term of three years; except that the members first appointed by the Minority Leader of the Senate and by the Minority Leader of the General Assembly shall each be appointed for a one-year term, the members first appointed by the President of the Senate and by the Speaker of the General Assembly shall each be appointed for a two-year term, and the members first appointed by the Governor shall each be appointed for a three-year term. Four members of the board shall constitute a quorum.
3. a. The board shall establish minimum requirements for an artificial intelligence impact assessment required to be conducted pursuant to subsection b. of this section, which shall include but not be limited to:
(1) analyzing the actual and potential societal effects of an artificial intelligence technology, focusing on privacy and job displacement; and
(2) providing recommendations for ensuring user and data privacy, as well as minimizing job displacement.
b. A person or entity selling or offering for sale an artificial intelligence technology in this State shall conduct an artificial intelligence impact assessment on an artificial intelligence technology that complies with the board's requirements pursuant to subsection a. of this section prior to the sale or offer for sale of the artificial intelligence technology in this State. The artificial intelligence impact assessment shall be conducted within the immediately preceding year prior to the sale or offer for sale of the artificial intelligence technology in this State.
4. The board shall recommend to the commissioner protections for workers who may be displaced as a result of the use of artificial intelligence technology by employers including, but not limited to:
a. at least one month advance notice from an employer prior to a worker's displacement as a result of the use of artificial intelligence technology by the employer;
b. retraining programs provided by the employer prior to a worker's displacement; and
c. severance packages for displaced workers.
5. The Artificial Intelligence Ethics Board shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations as may be necessary to implement the provisions of P.L. , c. (C. ) (pending before the Legislature as this bill).
6. This act shall take effect immediately.
STATEMENT
This bill establishes the Artificial Intelligence Ethics Board (board) in, but not of, the Department of Labor and Workforce Development (department). The purpose of the board is to oversee the sale, use, and offer for sale of artificial intelligence technology in this State.
Under this bill, the board is required to place emphasis on bias prevention, privacy, transparency, and accountability in artificial intelligence technology. The board is to be comprised of seven members, three of whom are to be appointed by the Governor, one of whom is to be appointed by the President of the Senate, one of whom is to be appointed by the Speaker of the General Assembly, one of whom is to be appointed by the Minority Leader of the Senate, and one of whom is to be appointed by the Minority Leader of the General Assembly. Of the three members to be appointed by the Governor, one is to be an individual from among a list of nominees provided by the Executive Director of the New Jersey Economic Development Authority who are familiar with the programs administered by the authority, one is to be an individual from among a list of nominees provided by the Commissioner of Labor and Workforce Development who have expertise and experience in public policy analysis of artificial intelligence and employment, and one is to be an individual from among a list of nominees provided by the New Jersey Chief Innovation Officer who have expertise and experience in ethical analysis of artificial intelligence technology.
Members are appointed to serve for a term of three years; except that, the members first appointed by the Minority Leader of the Senate and by the Minority Leader of the General Assembly are to each be appointed for a one-year term, the members first appointed by the President of the Senate and by the Speaker of the General Assembly are to each be appointed for a two-year term, and the members first appointed by the Governor are to each be appointed for a three-year term. Four members of the board are required to constitute a quorum.
This bill requires a person or entity selling or offering for sale an artificial intelligence technology in New Jersey to conduct an artificial intelligence impact assessment on the technology prior to the sale or offer for sale of the artificial intelligence technology in New Jersey. The impact assessment is required to be conducted within the immediately preceding year prior to the sale or offer for sale of the artificial intelligence technology in New Jersey. Under the bill, the board is required to establish minimum requirements for an artificial intelligence impact assessment, which are to include but not be limited to: (1) analyzing the actual and potential societal effects of an artificial intelligence technology, focusing on privacy and job displacement; and (2) providing recommendations for ensuring user and data privacy, as well as minimizing job displacement.
This bill also requires the board to recommend to the commissioner protections for workers who may be displaced as a result of the use of artificial intelligence technology by employers including, but not limited to: (1) at least one month advance notice from the employer prior to a worker's displacement; (2) retraining programs provided by the employer prior to a worker's displacement; and (3) severance packages for displaced workers.