A BILL to amend the Code of Virginia by adding in Title 59.1 a chapter numbered 60, consisting of sections numbered 59.1-614 through 59.1-617, relating to Fostering Access, Innovation, and Responsibility in Artificial Intelligence Act established.
Impact
The FAIR AI Act introduces significant alterations to state laws related to the use and liability of artificial intelligence. Notably, it establishes the FAIR AI Enforcement Fund, which is designed to support the enforcement of the provisions of this bill. The creation of the fund signifies a commitment to ensuring that state agencies can adequately monitor and respond to incidents of AI misuse. Additionally, the bill makes it clear that developers and deployers of AI systems cannot use the autonomous nature of these systems as a defense against claims of harm, thereby shifting more responsibility onto the developers and users of AI technologies.
Summary
Senate Bill 365, also known as the Fostering Access, Innovation, and Responsibility in Artificial Intelligence Act (FAIR AI Act), proposes new regulations surrounding the development and deployment of artificial intelligence systems in the Commonwealth of Virginia. Introduced on January 14, 2026, the bill establishes a framework for monitoring and enforcing the responsible use of AI technologies to mitigate risks associated with misuse, bias, and workforce disruption. The bill aims to enhance transparency by requiring developers of base AI models to disclose key information regarding their models, which is intended to provide users with a clearer understanding of the systems they are interacting with.
Contention
While the bill has been framed as a necessary step towards ensuring ethical AI usage, it may face criticism and pushback regarding its definitions and enforcement mechanisms. The liability provisions, in particular, may raise concerns among developers about the risks of increased litigation and regulatory scrutiny. Some stakeholders argue that the bill could stifle innovation by imposing burdensome requirements on developers, especially smaller entities that may find compliance challenging. Furthermore, debates may arise around how the enforcement fund is financed and managed, as well as whether the protections afforded by the bill are sufficient to address societal concerns about AI technologies.