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.
This act shall be known and may be cited as the Artificial IntelligenceArtificial intelligence"Artificial intelligence." The following: (1) A machine-based system that can, for a given set of human-defined objectives, make predictions, recommendations or decisions influencing real or virtual environments, including the ability to: (I) perceive real and virtual environments; (II) abstract perceptions made under this paragraph into models through analysis in an automated manner; and (III) use model inference to formulate options for information or action based on outcomes under subparagraphs (I) and (II). (2) The term includes generative artificial intelligence.Section 102 and Data CenterData center"Data center." A facility or group of facilities that is used to house and operate equipment that: (1) receives, stores, aggregates, manages, processes, transforms, retrieves, researches or transmits data; or (2) is necessary for the proper operation of equipment that receives, stores, aggregates, manages, processes, transforms, retrieves, researches or transmits data.Section 102 Act.
Establishes the short title of the act as the Artificial Intelligence and Data Center Act. No obligations are imposed.
The following words and phrases when used in this act shall have the meanings given to them in this section unless the context clearly indicates otherwise:
Provides definitions for the act, including artificial intelligence, generative artificial intelligence, high impact data center, participant, and the regulatory sandbox program. Key defined terms are moved to the act-level definitions section in the amended version, consolidating definitions that were previously in both Section 102 and (now-reserved) Section 501.
The Office of Transformation and Opportunity is established within the Governor's OfficeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 and shall have the powers and exercise the duties specified in this act.
Establishes the Office of Transformation and Opportunity within the Governor's Office. This is a government-establishment provision and imposes no compliance obligations on private parties.
(a) Establishment.--The Artificial IntelligenceArtificial intelligence"Artificial intelligence." The following: (1) A machine-based system that can, for a given set of human-defined objectives, make predictions, recommendations or decisions influencing real or virtual environments, including the ability to: (I) perceive real and virtual environments; (II) abstract perceptions made under this paragraph into models through analysis in an automated manner; and (III) use model inference to formulate options for information or action based on outcomes under subparagraphs (I) and (II). (2) The term includes generative artificial intelligence.Section 102, Data CenterData center"Data center." A facility or group of facilities that is used to house and operate equipment that: (1) receives, stores, aggregates, manages, processes, transforms, retrieves, researches or transmits data; or (2) is necessary for the proper operation of equipment that receives, stores, aggregates, manages, processes, transforms, retrieves, researches or transmits data.Section 102 and Emerging TechnologyEmerging technology"Emerging technology." Technologies still in development and deemed by the office to have a significant impact on society, including, but not limited to, artificial intelligence, robotics and blockchain technology.Section 102 Regulatory Sandbox ProgramProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102 is established in the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102. The officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 shall consult with each applicable agencyApplicable agency"Applicable agency." Any department, board or commission of the Commonwealth.Section 102 to implement the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102. The programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102 shall enable a participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 to obtain limited access to the market in this Commonwealth to testTest"Test." The provision of an innovative artificial intelligence, data center and emerging technology product or service in accordance with this chapter.Section 102 an innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 without obtaining a license or other authorization that might otherwise be required.
(b) Powers and duties of officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102.--The officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102: (1) May enter into agreements with or adopt the best practices of corresponding federal regulatory agencies or other states that are administering programsProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102 similar to the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102. Agreements under this paragraph may not impose additional limitations on the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102. (2) Shall review applications submitted for participation in the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102. (3) May not approve participation in the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102 by an applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 or any other participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 that has been convicted, entered a plea of nolo contendere or entered a plea of guilty or nolo contendere held in abeyance, for a serious crime: (i) involving theft, fraud or dishonesty; or (ii) that bears a substantial relationship to the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102's or participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102's ability to safely or competently participate in the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102.
(c) 1 Application.--A participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 must submit an application to the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 in order to be approved for participation in the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102. The application must be in a form prescribed by the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 that: (1) Demonstrates the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 is subject to the jurisdiction of the Commonwealth. (2) Demonstrates the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 has established a physical or virtual location that is adequately accessible to the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 from which testing will be developed and performed and where all required records, documents and data will be maintained. (3) Contains relevant contact information for the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102, including legal names, addresses, telephone numbers, email addresses, website addresses and other information required by the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102. (4) Discloses any criminal conviction of the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 or other participating personnel. (5) Demonstrates that the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 has the necessary personnel, financial and technical expertise, access to capital and developed plan to testTest"Test." The provision of an innovative artificial intelligence, data center and emerging technology product or service in accordance with this chapter.Section 102, monitor and assess an innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102. (6) Contains a description of the innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 to be tested, including statements regarding the following: (i) How the innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 is subject to licensing or other authorization requirements outside of the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102, including a specific list of all State regulations and licensing or other requirements that the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 seeks to have waived during the testing period. (ii) How the innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 would benefit consumersConsumer"Consumer." A person that purchases or otherwise enters into a transaction agreement to receive an innovative artificial intelligence, data center and emerging technology product or service that is being tested by a participant.Section 102 or the Commonwealth. (iii) How the innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 is different from other artificial intelligenceArtificial intelligence"Artificial intelligence." The following: (1) A machine-based system that can, for a given set of human-defined objectives, make predictions, recommendations or decisions influencing real or virtual environments, including the ability to: (I) perceive real and virtual environments; (II) abstract perceptions made under this paragraph into models through analysis in an automated manner; and (III) use model inference to formulate options for information or action based on outcomes under subparagraphs (I) and (II). (2) The term includes generative artificial intelligence.Section 102, data centerData center"Data center." A facility or group of facilities that is used to house and operate equipment that: (1) receives, stores, aggregates, manages, processes, transforms, retrieves, researches or transmits data; or (2) is necessary for the proper operation of equipment that receives, stores, aggregates, manages, processes, transforms, retrieves, researches or transmits data.Section 102 and emerging technologyEmerging technology"Emerging technology." Technologies still in development and deemed by the office to have a significant impact on society, including, but not limited to, artificial intelligence, robotics and blockchain technology.Section 102 products or services available in this Commonwealth. (iv) What risks may confront this Commonwealth or consumersConsumer"Consumer." A person that purchases or otherwise enters into a transaction agreement to receive an innovative artificial intelligence, data center and emerging technology product or service that is being tested by a participant.Section 102 that use or purchase the innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102. (v) How participating in the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102 would enable a successful test of the innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102. (vi) A description of how the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 will perform ongoing duties after the testTest"Test." The provision of an innovative artificial intelligence, data center and emerging technology product or service in accordance with this chapter.Section 102. (vii) How the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 will end the testTest"Test." The provision of an innovative artificial intelligence, data center and emerging technology product or service in accordance with this chapter.Section 102 and protect consumersConsumer"Consumer." A person that purchases or otherwise enters into a transaction agreement to receive an innovative artificial intelligence, data center and emerging technology product or service that is being tested by a participant.Section 102 if the testTest"Test." The provision of an innovative artificial intelligence, data center and emerging technology product or service in accordance with this chapter.Section 102 fails, including providing evidence of sufficient liability coverage and financial reserves to protect consumersConsumer"Consumer." A person that purchases or otherwise enters into a transaction agreement to receive an innovative artificial intelligence, data center and emerging technology product or service that is being tested by a participant.Section 102 or the Commonwealth and to protect against insolvency by the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102.
(d) 1 Separate applications required.--An applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 must file a separate application for each innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 intends to testTest"Test." The provision of an innovative artificial intelligence, data center and emerging technology product or service in accordance with this chapter.Section 102.
(f) Time period for review of application.--Not later than 90 days after the date on which a complete application is received by the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102, the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 shall inform the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 as to whether the application is approved for participation in the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102.
(h) Confidentiality.--Information submitted for the purposes of an application to the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 shall be deemed confidential and not subject to the provisions of the act of February 14, 2008 (P.L.6, No.3), known as the Right-to-Know Law.
Establishes the regulatory sandbox program within the Office and sets forth its powers, the application process, and eligibility requirements. The program enables approved participants to test innovative AI, data center, and emerging technology products or services without obtaining otherwise-required state licenses. The Office reviews applications within 90 days, must screen applicants for serious criminal convictions, and may adopt best practices of corresponding federal agencies or other states. Applicants must submit detailed applications describing the product or service, its risks, consumer protections, and wind-down plans. Applications are deemed confidential.
(a) Consultation required.-- (1) In reviewing an application under this section, the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 may consult with, and get approval from, each applicable agencyApplicable agency"Applicable agency." Any department, board or commission of the Commonwealth.Section 102 before approving an application for participation in the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102. (2) The consultation under paragraph (1) may include seeking information about whether: (i) The applicable agencyApplicable agency"Applicable agency." Any department, board or commission of the Commonwealth.Section 102 has previously issued a license or other authorization to the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102. (ii) The applicable agencyApplicable agency"Applicable agency." Any department, board or commission of the Commonwealth.Section 102 has previously investigated, sanctioned or pursued legal action against the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102. (iii) Whether the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 could obtain a license or other authorization from the applicable agencyApplicable agency"Applicable agency." Any department, board or commission of the Commonwealth.Section 102 after exiting the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102. (iv) Whether certain licensure or other regulations should not be waived even if the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 is accepted for participation in the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102.
(b) Consideration of competition.--In reviewing an application under this section, the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 shall consider whether a competitor of the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 is or has been a participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 and weigh that participation as a factor in approving the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 as a participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102.
(c) Approval.--If the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 and each applicable agencyApplicable agency"Applicable agency." Any department, board or commission of the Commonwealth.Section 102 approve the application, the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 shall become a participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102.
(d)–(e) Curing period.--If the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 denies an application submitted under this section, after receiving a written description of the reasons for the denial, an applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 shall have 60 days to correct and resubmit the application. (e) Denial notice.--If the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 denies a subsequent curing attempt under subsection (d), the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 shall provide to the applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 a written description of the reasons for the denial. The applicantApplicant"Applicant." An individual or entity that applies to participate in the program.Section 102 may then reapply for approval following notice.
Governs the Office's review process for sandbox applications. The Office may consult with applicable agencies, must consider competitive effects, and must provide written denial reasons. A 60-day curing period is provided after initial denial, and the applicant may reapply following a second denial.
(a) Duration of testTest"Test." The provision of an innovative artificial intelligence, data center and emerging technology product or service in accordance with this chapter.Section 102 period.--A participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 has 12 months after the date on which the application was approved to testTest"Test." The provision of an innovative artificial intelligence, data center and emerging technology product or service in accordance with this chapter.Section 102 the innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 described in the application.
(b) Requirements.--A participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 testing an innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 within the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102 is subject to the following: (1) The officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 may, if applicable on a case-by-case basis, specify the maximum number of items for each item that may be offered by the participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 during the test of the innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102. (2) The officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 shall publish on its publicly accessible internet website an easily accessible list of granted waivers.
(c) Construction.--Nothing in this section shall be construed to restrict a participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 that holds a license or other authorization in another jurisdiction from acting in accordance with that license or other authorization.
(d) Licensing requirements under other law.-- (1) A participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 is deemed to possess an appropriate license under the laws of this Commonwealth for the purposes of any provision of Federal law requiring State licensure or authorization. (2) A participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 that is testing an innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 is not subject to the requirements of State law, regulations, licensing requirements or authorizations that were identified by the participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102's application and have been waived in writing by the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102.
Establishes a 12-month testing period for sandbox participants. The Office may limit the number of items offered. The Office must publish a list of granted waivers on its publicly accessible website. Participants testing within the program are not subject to waived state requirements and are deemed to hold appropriate state licensure for federal law purposes.
A participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 does not have immunity related to any civil or criminal offense committed during participation in the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102.
Clarifies that sandbox participants do not receive immunity from civil or criminal liability for offenses committed during program participation.
By written notice, the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 may terminate a participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102's participation in the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102 at any time and for any reason, including if the applicable department determines the participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 is not operating in good faith to bring an innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 to market.
Grants the Office discretion to terminate any participant's program participation at any time and for any reason by written notice, including for failure to operate in good faith.
(a)–(b) OfficeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102.--The officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 and the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102's employees shall not be liable for any business loss or the recoupment of application expenses related to the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102, including expenses relating to: (1) Denying an application for participation in the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102 for any reason. (2) Terminating a participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102's participation in the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102 at any time and for any reason. (b) Guaranty associations.--A guaranty association in this Commonwealth may not be held liable for any business loss or expense incurred as a result of activities undertaken by a participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 in the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102.
Insulates the Office, its employees, and Commonwealth guaranty associations from liability for business losses or application expenses incurred by participants.
(a) 2 Disclosure required.--Before providing an innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 to a consumerConsumer"Consumer." A person that purchases or otherwise enters into a transaction agreement to receive an innovative artificial intelligence, data center and emerging technology product or service that is being tested by a participant.Section 102, a participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 shall disclose the following to the consumerConsumer"Consumer." A person that purchases or otherwise enters into a transaction agreement to receive an innovative artificial intelligence, data center and emerging technology product or service that is being tested by a participant.Section 102: (1) The name and contact information of the participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102. (2) A statement that the innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 is authorized under the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102 and, if applicable, that the participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 does not have a license or other authorization to provide an artificial intelligence, data center and emerging technology product or serviceArtificial intelligence, data center and emerging technology product or service"Artificial intelligence, data center and emerging technology product or service." A product or service involving artificial intelligence, data center and emerging technology that requires Commonwealth licensure, registration or other authorization.Section 102 under State law that regulates artificial intelligenceArtificial intelligence"Artificial intelligence." The following: (1) A machine-based system that can, for a given set of human-defined objectives, make predictions, recommendations or decisions influencing real or virtual environments, including the ability to: (I) perceive real and virtual environments; (II) abstract perceptions made under this paragraph into models through analysis in an automated manner; and (III) use model inference to formulate options for information or action based on outcomes under subparagraphs (I) and (II). (2) The term includes generative artificial intelligence.Section 102, data centerData center"Data center." A facility or group of facilities that is used to house and operate equipment that: (1) receives, stores, aggregates, manages, processes, transforms, retrieves, researches or transmits data; or (2) is necessary for the proper operation of equipment that receives, stores, aggregates, manages, processes, transforms, retrieves, researches or transmits data.Section 102 and emerging technologyEmerging technology"Emerging technology." Technologies still in development and deemed by the office to have a significant impact on society, including, but not limited to, artificial intelligence, robotics and blockchain technology.Section 102 products outside the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102. (3) A statement that the innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 is undergoing testing and may not function as intended and may expose the customer to risk. (4) A statement that the provider of the innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 is not immune from civil liability for any losses or damages caused by the innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102. (5) A statement that the innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 is a temporary testTest"Test." The provision of an innovative artificial intelligence, data center and emerging technology product or service in accordance with this chapter.Section 102 that may be discontinued at the end of the testing period. (6) The expected end date of the testing period. (7) A statement that a consumerConsumer"Consumer." A person that purchases or otherwise enters into a transaction agreement to receive an innovative artificial intelligence, data center and emerging technology product or service that is being tested by a participant.Section 102 may contact the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 to file a complaint regarding the innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 being tested and provide the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102's telephone number and publicly accessible Internet website where a complaint may be filed.
(b) 2 Form of disclosure.--The disclosure required by subsection (a) shall be provided to a consumerConsumer"Consumer." A person that purchases or otherwise enters into a transaction agreement to receive an innovative artificial intelligence, data center and emerging technology product or service that is being tested by a participant.Section 102, in a clear and conspicuous form and, for an Internet or application-based innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102, the consumerConsumer"Consumer." A person that purchases or otherwise enters into a transaction agreement to receive an innovative artificial intelligence, data center and emerging technology product or service that is being tested by a participant.Section 102 must acknowledge receipt of the disclosure before a transaction may be completed.
Imposes the bill's primary consumer-facing obligation: before providing a sandbox product or service to a consumer, the participant must disclose seven enumerated items — including that the product is authorized under the program, is undergoing testing, may expose the customer to risk, may be discontinued, and that the participant is not immune from civil liability. The disclosure must be clear and conspicuous, and for internet or application-based products, the consumer must acknowledge receipt before completing a transaction.
(a) 3 Duties of participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102.--At least 30 days before the end of the testing period, a participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 must: (1) notify the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 that the participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 will exit the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102, discontinue the participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102's testTest"Test." The provision of an innovative artificial intelligence, data center and emerging technology product or service in accordance with this chapter.Section 102 and stop offering any innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 in the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102 not later than 60 days after the date on which the 12-month testing period ends; or (2) seek an extension in accordance with section 510.
(b) 3 Effect of noncompliance.--Subject to subsection (c), if the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 does not receive notification as required by subsection (a), the testing period ends at the end of the 12-month testing period and the participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 shall immediately stop offering each innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 being tested.
(c) 3 Exception.--If a testTest"Test." The provision of an innovative artificial intelligence, data center and emerging technology product or service in accordance with this chapter.Section 102 includes offering an innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 that requires ongoing duties, the participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 shall continue to fulfill the duties of the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102 or, if the participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 exits the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102, arrange for another person to fulfill those duties after the date on which the artificial intelligence, data center and emerging technology product or serviceArtificial intelligence, data center and emerging technology product or service"Artificial intelligence, data center and emerging technology product or service." A product or service involving artificial intelligence, data center and emerging technology that requires Commonwealth licensure, registration or other authorization.Section 102 testing ends.
Requires participants to notify the Office at least 30 days before the end of the testing period that they will exit, and to stop offering sandbox products within 60 days after the 12-month period ends. Participants with ongoing duties must continue to fulfill them or arrange for another person to do so after exit.
(a)–(b) Time period to request extension.--Not later than 30 days before the end of the 12-month testing period, a participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 may request an extension of the testing period for the purpose of obtaining a license or other authorization. (b) Duty of officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102.-- (1) The officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 shall grant or deny a request for an extension in accordance with subsection (a) by the end of the 12-month testing period. (2) The officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 may grant an extension in accordance with this section for not more than 12 months after the end of the testing period.
(c) 4 Quarterly reports.--A participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 that obtains an extension in accordance with this section shall provide the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 with a written report every three months that provides an update on efforts to obtain a license or other authorization required by law, including any submitted for licensure or other authorization, rejected applications or issued licenses or other authorizations.
Allows participants to request a 12-month extension of the testing period for the purpose of obtaining a license or other authorization. The Office must decide before the initial period expires. Participants with extensions must submit quarterly written reports on licensure efforts.
(a) 5 Duty of participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102.--A participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 shall retain records, documents and data produced in the ordinary course of business regarding an innovative artificial intelligence, data center and emerging technology product or serviceInnovative artificial intelligence, data center and emerging technology product or service"Innovative artificial intelligence, data center and emerging technology product or service." An artificial intelligence, data center and emerging technology product or service that includes an innovation.Section 102 tested in the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102.
(b) 6 Failure report.--If an innovative artificial intelligenceArtificial intelligence"Artificial intelligence." The following: (1) A machine-based system that can, for a given set of human-defined objectives, make predictions, recommendations or decisions influencing real or virtual environments, including the ability to: (I) perceive real and virtual environments; (II) abstract perceptions made under this paragraph into models through analysis in an automated manner; and (III) use model inference to formulate options for information or action based on outcomes under subparagraphs (I) and (II). (2) The term includes generative artificial intelligence.Section 102, data centerData center"Data center." A facility or group of facilities that is used to house and operate equipment that: (1) receives, stores, aggregates, manages, processes, transforms, retrieves, researches or transmits data; or (2) is necessary for the proper operation of equipment that receives, stores, aggregates, manages, processes, transforms, retrieves, researches or transmits data.Section 102 and emerging technologyEmerging technology"Emerging technology." Technologies still in development and deemed by the office to have a significant impact on society, including, but not limited to, artificial intelligence, robotics and blockchain technology.Section 102 product or service of a participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 fails before the end of a testing period, the participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 shall notify the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 and report on actions taken by the participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 to ensure that consumersConsumer"Consumer." A person that purchases or otherwise enters into a transaction agreement to receive an innovative artificial intelligence, data center and emerging technology product or service that is being tested by a participant.Section 102 have not been harmed as a result of the failure.
(c) 5 OfficeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 to establish reporting requirements.-- (1) The officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 shall establish quarterly reporting requirements for a participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102, including information about any customer complaints. (2) The officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 may request records, documents and data from a participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 and, upon the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102's request, a participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 shall make the records, documents and data available for inspection by the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102. (3) If the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 determines that a participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 has engaged in, is engaging in or is about to engage in any practice or transaction that is in violation of this chapter or that constitutes a violation of Federal or State criminal law, the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 may remove the participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 from the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102.
Imposes recordkeeping and failure-reporting obligations on sandbox participants. Participants must retain ordinary-course records related to the tested product or service. If a product or service fails during the testing period, the participant must notify the Office and report on consumer-protection actions. The Office sets quarterly reporting requirements and may request records at any time. The Office may remove participants engaged in violations of the chapter or federal/state criminal law.
By October 1, the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 shall provide an annual written report to the chairperson and minority chairperson of the State Government Committee of the Senate and the chairperson and minority chairperson of the State Government Committee of the House of Representatives that provides information regarding each participantParticipant"Participant." A person who has applied to participate in the program and has been accepted by the office to participate in the program.Section 102 and provides recommendations regarding the effectiveness of the programProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102.
Requires the Office to submit an annual written report to the General Assembly by October 1 providing information about each participant and recommendations on program effectiveness. This is a government reporting obligation, not a private-party compliance duty.
The Department of Environmental Protection shall establish approval timelines not to exceed 120 days for the following permits requested by a high impact data centerHigh impact data center"High impact data center." A facility or group of facilities that satisfies all of the following: (1) Is a data center. (2) Consists of one or more parcels in this Commonwealth, along with the buildings, substations and other infrastructure, fixtures and personal property located on the parcels. (3) Is owned, operated or leased by an entity or affiliated group of entities. (4) Has a critical IT load of 50 megawatts or higher.Section 102 that meets the criteria under Section 703, barring deficiencies: (1) 25 Pa. Code Ch. 102 (relating to erosion and sediment control). (2) 25 Pa. Code Ch. 105 (relating to dam safety and waterway management). (3) 25 Pa. Code Ch. 106 (relating to floodplain management).
Requires the Department of Environmental Protection to establish approval timelines not exceeding 120 days for specified environmental permits requested by high impact data centers that meet the self-generation criteria of Section 703. This is a government permitting obligation directed at the Department, not a private-party AI compliance obligation.
If an applicable agencyApplicable agency"Applicable agency." Any department, board or commission of the Commonwealth.Section 102 receives a completed application from a high impact data centerHigh impact data center"High impact data center." A facility or group of facilities that satisfies all of the following: (1) Is a data center. (2) Consists of one or more parcels in this Commonwealth, along with the buildings, substations and other infrastructure, fixtures and personal property located on the parcels. (3) Is owned, operated or leased by an entity or affiliated group of entities. (4) Has a critical IT load of 50 megawatts or higher.Section 102 and a permit decision delay occurs, the application shall be deemed approved and the applicable agencyApplicable agency"Applicable agency." Any department, board or commission of the Commonwealth.Section 102 shall issue the permit.
Provides that if an applicable agency receives a completed application from a high impact data center and a permit decision delay occurs, the application is deemed approved and the agency must issue the permit. This is a government agency obligation, not a private-party AI compliance duty.
This chapter shall only apply to high impact data centersHigh impact data center"High impact data center." A facility or group of facilities that satisfies all of the following: (1) Is a data center. (2) Consists of one or more parcels in this Commonwealth, along with the buildings, substations and other infrastructure, fixtures and personal property located on the parcels. (3) Is owned, operated or leased by an entity or affiliated group of entities. (4) Has a critical IT load of 50 megawatts or higher.Section 102 that: (1) Generate energy at a rate at or above what is required for 50 megawatt capacity for operations through: (I) a new generating resource; (II) uprate or expanded services at an existing generating resource; or (III) a resource that would otherwise retire early or decommission due to financial constraints. (2) Generate energy not to be sold for public consumption. Energy generated in excess of that needed for the high impact data centerHigh impact data center"High impact data center." A facility or group of facilities that satisfies all of the following: (1) Is a data center. (2) Consists of one or more parcels in this Commonwealth, along with the buildings, substations and other infrastructure, fixtures and personal property located on the parcels. (3) Is owned, operated or leased by an entity or affiliated group of entities. (4) Has a critical IT load of 50 megawatts or higher.Section 102 operation may be donated for public consumption.
Limits Chapter 7's fast-track permitting provisions to high impact data centers that generate their own energy at or above 50 megawatt capacity through new, expanded, or otherwise-retiring generation resources, where the energy is not sold for public consumption. This is a scope-definition provision with no independent compliance obligation.
The officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 shall: (1) Facilitate the implementation of transformational economic development projects, which will result in substantial quality job opportunities and capital investment in this Commonwealth by: (i) coordinating and expediting interagency cooperation; (ii) marshaling Federal and State resources to maximize economic development opportunities for this Commonwealth to compete, grow and thrive in a global economy; and (iii) leveraging the role of the Governor to engage the global business community on behalf of the Commonwealth. (2) Create a systematic process for managing economic development projects involving the resources of multiple State agencies to facilitate project management. (3) Establish and monitor the progress of additional areas of economic development project support, including serving as a one-stop shop for coordination of State agencies, expediting State agency permit and license reviews and ensuring speed of business review and approval of Commonwealth economic incentive programsProgram"Program." The Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program established under this act.Section 102. (4) Work in partnership with the Department of Community and Economic Development and all relevant State agencies in reviewing Federal and State funding applications to ensure that they maximize the opportunity to attract transformational economic development projects. (5) Establish objectives and targets for the implementation of transformative economic development projects prioritized by the Governor for this Commonwealth. (6) Establish and monitor time-based standards for completion of each phase of a transformative economic development project. (7) Work in partnership with the Department of Community and Economic Development and all relevant State agencies and coordinate with the Governor's Action Team OfficeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 to ensure that thorough due diligence is performed for prioritized projects, which shall include: (i) Overall economic impact of the project. (ii) The validity of its business model and likelihood of positive impact on an identified priority industry or sector. (iii) The impact on communities that have been disadvantaged and underserved. (iv) The strength of commitments for private financing of the project. (8) Work in partnership with the Department of Community and Economic Development, all relevant State agencies and the Governor to develop an overall economic development blueprint and strategy for this Commonwealth in identifying key industry and sectors where this Commonwealth has competitive advantages.
Enumerates the duties of the Office of Transformation and Opportunity, including facilitating transformational economic development projects, coordinating interagency cooperation, serving as a one-stop shop for state permitting, reviewing funding applications, and developing an economic development strategy. These are government duties, not private-party compliance obligations.
Chief Transformation and Opportunity Officer.-- (1) The Governor shall appoint a Chief Transformation and Opportunity Officer of the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 who shall serve at the pleasure of the Governor and coordinate the implementation and development of the duties specified in this act. (2) The Chief Transformation and Opportunity Officer may hire staff, including economic development specialists, to perform the duties specified in this act. (3) The Chief Transformation and Opportunity Officer shall report directly to the Governor and the officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 shall operate from the Governor's OfficeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102.
Directs the Governor to appoint a Chief Transformation and Opportunity Officer to lead the Office and allows the Officer to hire staff. This is a government staffing provision with no private-party obligations.
The officeOffice"Office." The Office of Transformation and Opportunity established by this act.Section 102 shall prepare and issue an annual report to the Governor, the President Pro Tempore of the Senate and the Speaker of the House of Representatives with the first annual report due December 31, after the effective date of this section and subsequent reports due December 31 of each succeeding year. The annual report shall include an analysis and examination of significant economic development opportunities gained and lost by this Commonwealth within an identified time period and recommendations for improvement.
Requires the Office to issue annual reports to the Governor, the President Pro Tempore of the Senate, and the Speaker of the House, analyzing economic development opportunities gained and lost. This is a government reporting obligation.
This act shall take effect in 90 days.
The act takes effect 90 days after enactment.