Artificial intelligence (AI) is rapidly changing the world around us. AI is a broad term encompassing many different technologies that can automate tasks, make decisions, and generate creative content. AI can potentially revolutionize many industries and aspects of our lives, but it also poses significant risks. The Virginia Joint Commission on Technology and Science (JCOTS) has been tasked with studying AI and recommending how Virginia should regulate its use. This report provides a comprehensive overview of AI, including how it works, its potential benefits, and the risks it poses. This report also summarizes existing AI policies at the federal level and in other states, as well as the steps that Virginia has taken to regulate AI. The report concludes with recommendations for how Virginia should move forward with AI policy.

Overview of AI

At its most basic, AI involves training computer programs to learn from data and make predictions. There are different types of AI including:

• Machine learning (ML). Machine learning is a method for training AI and can also be viewed as a type of AI. It allows computer programs to learn from data without being explicitly programmed. There are two main types of machine learning; supervised and unsupervised.

• Generative AI. Generative AI is a type of AI that can create new content, such as text, images, and music.

AI Policymaking

AI is a powerful technology with the potential to be used for both good and bad. It is therefore important to have policies in place to ensure that AI is developed and used responsibly. Key considerations for AI policy include:

• Data privacy: AI systems often rely on large datasets of personal information.

• Algorithmic discrimination: AI systems can be biased, which can lead to discrimination against certain groups of people

• Transparency and accountability: It is important to be able to understand how AI systems work and to hold those who develop and use them accountable for their actions.

• The impact on the workforce: AI has the potential to automate many jobs, which could lead to job losses. Workers should have opportunities to help them adapt to the changing market.

Currently, there is no comprehensive federal legislation regulating the use of AI in the United States. However, the federal government has taken several steps to address the challenges posed by AI, such as:

• Issuing executive orders on AI.
• Creating advisory committees and task forces on AI
• Developing guidelines and frameworks for responsible AI development and deployment. Several states have also enacted or are considering legislation related to AI. Some of the common themes in state AI legislation include:
• Protecting consumers from algorithmic discrimination.
• Regulating the use of AI in government.
• Promoting the responsible development and use of AI.

Virginia AI Policy

Virginia has not yet enacted comprehensive legislation regulating the use of AI. However, the state has taken some steps to address AI, including:

• The Virginia IT Agency (VITA) has developed an AI Utilization Policy that establishes six standards for the ethical and responsible use of AI by state agencies.

• Governor Youngkin has issued an executive order that directs VITA to develop AI policy standards and create an AI Task Force.

In the 2024 legislative session, several bills were introduced that would regulate the use of AI in Virginia. However, none of these bills were passed into law.

Future of AI Policy in Virginia

As AI technology continues to develop, Virginia policymakers will need to make critical decisions about how to regulate its use. This report offers several legislative options for Virginia to consider:

• Codifying VITA’s AI Utilization Policy.
• Establishing an advisory committee on AI.
• Regulating the use of AI by private and public entities.
• Strengthening data privacy regulations through an opt-in mechanism.

Virginia has the opportunity to be a leader in the development of responsible AI policy. By taking proactive steps to regulate AI, Virginia can help to ensure that this powerful technology is used for good.