Cal Matters: If California government wants to use AI, it will have to follow these new rules 

Electronic Privacy Information Center fellow Grant Fergusson evaluated AI contracts signed by state agencies across the U.S. He found they total more than $700 million in value and roughly half involve fraud detection algorithms. The California unemployment benefits incident, he says, is one of the worst instances of harm he encountered while compiling the report and “a perfect example of everything that’s wrong with AI in government.”  

Still, he thinks California deserves credit for being one of the first states to formalize AI purchasing rules. By his count, only about half a dozen US states have implemented policy for automated decision-making systems.

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