Vermont H 340: An act relating to the Child Care Financial Assistance Program

Bill Text

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VT LEG #378965 v.1
H.340 1
Introduced by Representatives Priestley of Bradford, Arsenault of Williston, 2
Berbeco of Winooski, Cole of Hartford, Logan of Burlington, 3
Masland of Thetford, McGill of Bridport, Sibilia of Dover, and 4
White of Waitsfield 5
Referred to Committee on 6
Date: 7
Subject: Commerce and trade; consumer protection; artificial intelligence 8
Statement of purpose of bill as introduced: This bill proposes to regulate 9
developers and deployers of automated decision systems used in consequential 10
decisions in an effort to avoid algorithmic discrimination towards consumers. 11
An act relating to regulating developers and deployers of certain automated 12
decision systems 13
It is hereby enacted by the General Assembly of the State of Vermont: 14
Sec. 1. 9 V.S.A. chapter 118 is added to read: 15
CHAPTER 118. ARTIFICIAL INTELLIGENCE 16
Subchapter 1. Algorithmic Discrimination and Automated Decision Systems 17
§ 4193a. DEFINITIONS 18
As used in this subchapter: 19

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VT LEG #378965 v.1
(1)(A) “Algorithmic discrimination” means any condition in which the 1
use of an automated decision system results in a differential treatment or 2
impact that disfavors an individual on the basis of the individual’s actual or 3
perceived age, color, disability, ethnicity, genetic information, immigration or 4
citizenship status, limited proficiency in the English language, national origin, 5
race, religion, reproductive health, sex, sexual orientation, gender identity, 6
veteran status, or other classification protected under the laws of this State or 7
federal law. 8
(B) “Algorithmic discrimination” does not include: 9
(i) a developer’s or deployer’s testing of the developer’s or 10
deployer’s own automated decision system to identify, mitigate, and prevent 11
discrimination; 12
(ii) expanding an applicant, customer, or participant pool to 13
increase diversity or redress historical discrimination; or 14
(iii) an act or omission by or on behalf of a private club or other 15
establishment that is not in fact open to the public, as set forth in Title II of the 16
federal Civil Rights Act of 1964, 42 U.S.C.§ 2000a(e), as amended. 17
(2) “Auditor” refers to an independent entity, including an individual, a 18
nonprofit, a firm, a corporation, a partnership, a cooperative, or an association, 19
commissioned to perform an audit. 20

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VT LEG #378965 v.1
(3)(A) “Automated decision system” means a computational process 1
derived from machine learning, statistical modeling, data analytics, or artificial 2
intelligence that issues an output, including a score, classification, or 3
recommendation. 4
(B) “Automated decision system” does not include any software used 5
primarily for basic computerized processes, such as antimalware, antivirus, 6
autocorrect functions, calculators, databases, data storage, electronic 7
communications, firewall, internet domain registration, website loading, 8
networking, spam and robocall filtering, spellcheck tools, spreadsheets, web 9
caching, web hosting, or any tool that relates only to nonemployment internal 10
management affairs such as ordering office supplies or processing payments, 11
and that do not materially affect the rights, liberties, benefits, safety, or welfare 12
of any individual within the State. 13
(4) “Consequential decision” means a decision that has a material, legal, 14
or similarly significant effect on the provision or denial to any consumer of, or 15
the cost, terms, or availability of: 16
(A) educational and vocational training, including: 17
(i) assessment or grading, including detecting student cheating or 18
plagiarism; 19
(ii) accreditation; 20
(iii) certification; 21

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VT LEG #378965 v.1
(iv) admissions or enrollment; and 1
(v) financial aid or scholarships; 2
(B) employment or an employment opportunity, including: 3
(i) pay or promotion; 4
(ii) hiring or termination; and 5
(iii) automated task allocation; 6
(C) housing or lodging, including long-term or short-term rentals; 7
(D) essential utilities, including electricity, heat, water, internet or 8
telecommunications access, or transportation; 9
(E) family planning, including adoption services or reproductive 10
services, as well as assessments related to child protection services; 11
(F) health care or health insurance, including mental health care, 12
dental, or vision; 13
(G) financial services, including a financial service provided by a 14
mortgage company, mortgage broker, or creditor; 15
(H) law enforcement activities, including the allocation of law 16
enforcement personnel or assets, the enforcement of laws, maintaining public 17
order, or managing public safety; 18
(I) government services, including the determination, allocation, or 19
denial of public benefits and services; and 20

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