The new legislation focuses on disclosure requirements to ensure consumers know when they are interacting with an AI system (such as an AI-driven chat bot) or are given materials created using AI by professionals licensed and regulated by the state.
Failure to comply can lead to fines of up to $2500 and civil penalties of up to $5000 per violation.
Other states will follow suit shortly with their own AI-focused laws, with many bills currently pending in state legislatures nationwide.