New York City Council Speaker Julie Menin introduced a legislative package on September 25 aimed at regulating artificial intelligence. The proposed measures include financial rewards for whistleblowers who report AI companies violating local rules, allowing them to receive a portion of collected fines.
The legislation mandates the implementation of human-operated kill switches for non-compliant AI systems. Additionally, the bills propose granting individuals the legal right to sue AI developers directly if they suffer harm, which could significantly impact corporate liability in sectors like housing and employment.
The City Council scheduled a hearing for October 5 to debate the package, with all 51 council members expected to participate. Executives from major AI firms have received invitations to attend the session.
This initiative follows the September 17 launch of a whistleblower portal by New York Attorney General Letitia James, designed for reporting unsafe AI practices. These moves build upon the city's existing regulatory history, including the 2023 Local Law 144 regarding bias audits.
