WHAT THIS BILL REGULATES · 2 REQUIREMENT TYPES
How Is This Bill Enforced
Verbatim statutory text on the left; plain-language analysis and a per-section checklist on the right. Numbered markers cross-link to the matching checklist row.
(j) 1 Not later than January 1, 2026, the Chief Data Officer, in consultation with the agency data officers designated pursuant to subsection (b) of this section, shall review the inventory of high value data collected or possessed by executive branch agencies pursuant to subsection (g) of this section to identify and publish any data that could be useful for artificial intelligence systemsArtificial intelligence system"Artificial intelligence system" means any machine-based system that, for any explicit or implicit objective, infers from the inputs such system receives how to generate outputs, including, but not limited to, content, decisions, predictions or recommendations, that can influence physical or virtual environments;Sec. 3(a)(1), machine learning and other statistical means of data analysis to create economic opportunity and support state economic development goals, through private businesses, nonprofit organizations and other entities that will use such data, consistent with all applicable laws and regulations. The Chief Data Officer and agency data officers shall:
(j)(1) 1 Identify appropriate data to make available for use by artificial intelligence systemsArtificial intelligence system"Artificial intelligence system" means any machine-based system that, for any explicit or implicit objective, infers from the inputs such system receives how to generate outputs, including, but not limited to, content, decisions, predictions or recommendations, that can influence physical or virtual environments;Sec. 3(a)(1), machine learning and other statistical means of data analysis;
(j)(2) 1 Develop policies and procedures for data quality and data governance to ensure data are appropriate for the intended purpose and do not lead to any unlawful discrimination or disparate impact, as described in subparagraph (B) of subdivision (1) of subsection (c) of section 51-10e;
(j)(3) 1 Determine any necessary aggregation, redaction of individually identifiable information or application of other techniques required to ensure and preserve privacy and to satisfy all applicable state or federal laws and regulations for the public disclosure of data; and
(j)(4) 1 Determine the procedures through which agencies shall make any such data available via publication on the online repository established pursuant to subsection (i) of this section.
Section 1 amends the existing Chief Data Officer statute to add a new subsection (j) requiring the Chief Data Officer and agency data officers to review state agency data inventories by January 1, 2026, specifically to identify data useful for AI, machine learning, and statistical analysis. The review must result in publication of appropriate data on the state open data repository, subject to privacy protections and anti-discrimination safeguards cross-referencing § 51-10e.
The provision imposes four distinct duties: identifying appropriate data, developing data quality and anti-discrimination governance policies, determining necessary privacy protections, and establishing publication procedures. These are government-internal obligations with no direct private-sector compliance burden, but the anti-discrimination governance requirement for data published for AI use is notable.
The Commissioner of Economic and Community Development, in consultation with the Banking Commissioner, Commissioner of Health Strategy, Commissioner of Public Health and Insurance Commissioner, shall develop a plan to establish an artificial intelligence regulatory sandbox program, which program shall allow an applicant to temporarily test an innovative product or service on a limited basis under reduced licensure, regulatory or other legal requirements than may otherwise be required under the laws of the state. Such plan shall be developed for the purpose of establishing a competitive business environment in the state for the development and deployment of artificial intelligence technologies relative to other jurisdictions. Not later than January 1, 2026, the Commissioner of Economic and Community Development shall submit recommendations, in accordance with the provisions of section 11-4a of the general statutes, to the Governor and the joint standing committees of the General Assembly having cognizance of matters relating to commerce, banking, insurance and public health regarding the adoption of any legislation necessary to implement such plan.
Section 2 directs the Commissioner of Economic and Community Development, in consultation with the Banking, Health Strategy, Public Health, and Insurance Commissioners, to develop a plan for an AI regulatory sandbox program. The sandbox would allow applicants to temporarily test innovative AI products and services under reduced licensure and regulatory requirements. Recommendations for implementing legislation are due to the Governor and relevant legislative committees by January 1, 2026.
This is a planning directive, not an operative regulatory provision — it creates no compliance obligations for private parties. Its significance lies in signaling Connecticut's intent to create a permissive testing environment for AI deployment across banking, insurance, and public health sectors.
(a) As used in this section: (1) "Artificial intelligence systemArtificial intelligence system"Artificial intelligence system" means any machine-based system that, for any explicit or implicit objective, infers from the inputs such system receives how to generate outputs, including, but not limited to, content, decisions, predictions or recommendations, that can influence physical or virtual environments;Sec. 3(a)(1)" means any machine-based system that, for any explicit or implicit objective, infers from the inputs such system receives how to generate outputs, including, but not limited to, content, decisions, predictions or recommendations, that can influence physical or virtual environments; (2) "Generative artificial intelligence systemGenerative artificial intelligence system"Generative artificial intelligence system" means any artificial intelligence system that (A) is trained on data, (B) interacts with any individual by way of text, audio or visual communication, and (C) generates nonscripted outputs, similar to outputs created by human beings, with limited or no human oversight;Sec. 3(a)(2)" means any artificial intelligence systemArtificial intelligence system"Artificial intelligence system" means any machine-based system that, for any explicit or implicit objective, infers from the inputs such system receives how to generate outputs, including, but not limited to, content, decisions, predictions or recommendations, that can influence physical or virtual environments;Sec. 3(a)(1) that (A) is trained on data, (B) interacts with any individual by way of text, audio or visual communication, and (C) generates nonscripted outputs, similar to outputs created by human beings, with limited or no human oversight; and (3) "PersonPerson"Person" means an individual, association, corporation, limited liability company, partnership, trust or other legal entity.Sec. 3(a)(3)" means an individual, association, corporationCorporation"Corporation" means Connecticut Innovations, Incorporated.Sec. 4(a)(3), limited liability company, partnership, trust or other legal entity.
(b) 2 Except as provided in subsection (c) of this section, it shall not be a defense to any civil or administrative claim or action of any kind, including, but not limited to, any claim in tort or contract, any claim or action arising out of any unfair or deceptive act or practice in the conduct of trade or commerce under subsection (a) of section 42-110b of the general statutes, any claim or action arising out of the unauthorized practice of any licensed, certified or registered profession, trade, business or occupation or any claim or action arising out of any discrimination prohibited under chapter 814c of the general statutes, that an artificial intelligence systemArtificial intelligence system"Artificial intelligence system" means any machine-based system that, for any explicit or implicit objective, infers from the inputs such system receives how to generate outputs, including, but not limited to, content, decisions, predictions or recommendations, that can influence physical or virtual environments;Sec. 3(a)(1): (1) Committed the act or omission that is the basis for such claim or action; or (2) Was used in furtherance of the act or omission that is the basis for such claim or action.
(c)(1)–(2) 3 The provisions of subsection (b) of this section shall not be construed to apply to any circumstance in which a personPerson"Person" means an individual, association, corporation, limited liability company, partnership, trust or other legal entity.Sec. 3(a)(3) provides an individual with access to a generative artificial intelligence systemGenerative artificial intelligence system"Generative artificial intelligence system" means any artificial intelligence system that (A) is trained on data, (B) interacts with any individual by way of text, audio or visual communication, and (C) generates nonscripted outputs, similar to outputs created by human beings, with limited or no human oversight;Sec. 3(a)(2), or prompts or otherwise causes an individual to interact with a generative artificial intelligence systemGenerative artificial intelligence system"Generative artificial intelligence system" means any artificial intelligence system that (A) is trained on data, (B) interacts with any individual by way of text, audio or visual communication, and (C) generates nonscripted outputs, similar to outputs created by human beings, with limited or no human oversight;Sec. 3(a)(2), and: (1) Clearly and conspicuously discloses to the individual that such individual is interacting with a generative artificial intelligence systemGenerative artificial intelligence system"Generative artificial intelligence system" means any artificial intelligence system that (A) is trained on data, (B) interacts with any individual by way of text, audio or visual communication, and (C) generates nonscripted outputs, similar to outputs created by human beings, with limited or no human oversight;Sec. 3(a)(2) and not a human being (A) upon a request made by such individual for such disclosure, or (B) (i) orally at the start of such interaction, if such interaction is conducted orally, or (ii) by way of an electronic message delivered to such individual before the start of such interaction, if such interaction is conducted in writing; and (2) Discloses that the interaction between the individual and the generative artificial intelligence systemGenerative artificial intelligence system"Generative artificial intelligence system" means any artificial intelligence system that (A) is trained on data, (B) interacts with any individual by way of text, audio or visual communication, and (C) generates nonscripted outputs, similar to outputs created by human beings, with limited or no human oversight;Sec. 3(a)(2) is not intended to provide any advice that may only be provided by a personPerson"Person" means an individual, association, corporation, limited liability company, partnership, trust or other legal entity.Sec. 3(a)(3) acting within the scope of a licensed, certified or registered profession, trade, business or occupation, if the personPerson"Person" means an individual, association, corporation, limited liability company, partnership, trust or other legal entity.Sec. 3(a)(3) providing such individual with access to such generative artificial intelligence systemGenerative artificial intelligence system"Generative artificial intelligence system" means any artificial intelligence system that (A) is trained on data, (B) interacts with any individual by way of text, audio or visual communication, and (C) generates nonscripted outputs, similar to outputs created by human beings, with limited or no human oversight;Sec. 3(a)(2), or prompting or otherwise causing such individual to interact with such generative artificial intelligence systemGenerative artificial intelligence system"Generative artificial intelligence system" means any artificial intelligence system that (A) is trained on data, (B) interacts with any individual by way of text, audio or visual communication, and (C) generates nonscripted outputs, similar to outputs created by human beings, with limited or no human oversight;Sec. 3(a)(2), provides services that may only be provided by a personPerson"Person" means an individual, association, corporation, limited liability company, partnership, trust or other legal entity.Sec. 3(a)(3) acting within the scope of a duly licensed, certified or registered profession, trade, business or occupation.
Section 3 is the bill's most compliance-relevant provision. Subsection (b) establishes that it is not a defense to any civil or administrative claim — including tort, contract, CUTPA unfair trade practices, unauthorized professional practice, or chapter 814c discrimination claims — that an AI system committed or was used in furtherance of the act or omission at issue. This effectively eliminates the argument that a defendant is not liable because AI, rather than a human, took the challenged action.
Subsection (c) carves out a safe harbor: the defense-elimination rule does not apply when a person provides access to a generative AI system and (1) clearly and conspicuously discloses that the individual is interacting with AI and not a human — either upon request or at the start of the interaction — and (2) disclaims that the interaction is not intended to provide advice requiring a licensed professional, if the provider offers such licensed services. While structured as a safe harbor rather than an affirmative mandate, the practical effect is a strong incentive for any person deploying generative AI to provide both AI identity disclosure and professional-scope disclaimers.
(a) As used in this section: (1) "Artificial intelligence systemArtificial intelligence system"Artificial intelligence system" means any machine-based system that, for any explicit or implicit objective, infers from the inputs such system receives how to generate outputs, including, but not limited to, content, decisions, predictions or recommendations, that can influence physical or virtual environments;Sec. 3(a)(1)" means any machine-based system that, for any explicit or implicit objective, infers from the inputs such system receives how to generate outputs, including, but not limited to, content, decisions, predictions or recommendations, that can influence physical or virtual environments; (2) "Quantum technologyQuantum technology"Quantum technology" means the use of the laws of quantum physics for (A) the storage, transmission, manipulation, computing or measurement of information, or (B) the development or manufacturing of machinery, hardware, materials or pharmaceuticals;Sec. 4(a)(2)" means the use of the laws of quantum physics for (A) the storage, transmission, manipulation, computing or measurement of information, or (B) the development or manufacturing of machinery, hardware, materials or pharmaceuticals; and (3) "CorporationCorporation"Corporation" means Connecticut Innovations, Incorporated.Sec. 4(a)(3)" means Connecticut Innovations, Incorporated.
(b) The corporationCorporation"Corporation" means Connecticut Innovations, Incorporated.Sec. 4(a)(3) shall establish a fund to be known as the Artificial Intelligence and Quantum TechnologyQuantum technology"Quantum technology" means the use of the laws of quantum physics for (A) the storage, transmission, manipulation, computing or measurement of information, or (B) the development or manufacturing of machinery, hardware, materials or pharmaceuticals;Sec. 4(a)(2) Investment Fund for the purpose of investing in companies in the state, or companies relocating significant operations to the state, which develop, manufacture, utilize or deploy artificial intelligence systemsArtificial intelligence system"Artificial intelligence system" means any machine-based system that, for any explicit or implicit objective, infers from the inputs such system receives how to generate outputs, including, but not limited to, content, decisions, predictions or recommendations, that can influence physical or virtual environments;Sec. 3(a)(1) or quantum technologyQuantum technology"Quantum technology" means the use of the laws of quantum physics for (A) the storage, transmission, manipulation, computing or measurement of information, or (B) the development or manufacturing of machinery, hardware, materials or pharmaceuticals;Sec. 4(a)(2). The corporationCorporation"Corporation" means Connecticut Innovations, Incorporated.Sec. 4(a)(3), or a subsidiary created by the corporationCorporation"Corporation" means Connecticut Innovations, Incorporated.Sec. 4(a)(3) for the purposes of this section, shall serve as general partner or managing member of the fund and shall determine the organizational and operating structure of the fund.
(c) The corporationCorporation"Corporation" means Connecticut Innovations, Incorporated.Sec. 4(a)(3) may capitalize the fund from time to time by drawing upon the existing assets of the corporationCorporation"Corporation" means Connecticut Innovations, Incorporated.Sec. 4(a)(3). The corporationCorporation"Corporation" means Connecticut Innovations, Incorporated.Sec. 4(a)(3) may invest up to fifty million dollars in the fund. The fund may make investments or coinvestments in companies in the state, or companies relocating significant operations to the state, which investments or coinvestments may include seed financing, start-up financing, early or first-stage financing or expansion financing, as such terms are defined in section 32-34 of the general statutes.
Section 4 establishes the Artificial Intelligence and Quantum Technology Investment Fund under Connecticut Innovations, Inc., authorized to invest up to $50 million in companies in Connecticut, or relocating significant operations to Connecticut, that develop, manufacture, utilize, or deploy AI systems or quantum technology. The fund may provide seed, start-up, early-stage, or expansion financing.
This section creates no compliance obligations for private parties. It is an economic development appropriation and investment vehicle.