New York enacts nation-leading AI safety and transparency law
Governor Kathy Hochul finalized the RAISE Act on March 27, 2026, signing a chapter amendment that represents the law's definitive form.
Objective Facts
Governor Kathy Hochul finalized the RAISE Act on March 27, 2026, signing a chapter amendment that represents the law's definitive form after months of negotiation between the governor's office and state legislators. The law requires large AI developers to create and publish information about their safety protocols, and report incidents to the State within 72 hours of determining that an incident occurred. It creates an oversight office within the Department of Financial Services that will assess large frontier developers and enable greater transparency. The RAISE Act applies to developers with $500 million or more in annual revenue who develop or operate frontier models in New York. The bill is the first major state AI legislation to pass in the face of the recent White House executive order seeking to limit the impact of state AI laws through U.S. Department of Justice lawsuits and decreased federal broadband funding.
Left-Leaning Perspective
Assemblymember Alex Bores characterized the finalized law as "a major victory" that "moves beyond California's SB53 in significant ways" and claimed "In New York, we defeated last-ditch attempts from AI oligarchs to wipe out this bill." State Senator Andrew Gounardes, who sponsored the bill, called it "an enormous win for the safety of our communities" and declared "Big tech oligarchs think it's fine to put their profits ahead of our safety—we disagree." The bill "passed the legislature with overwhelming bipartisan support and is supported by 84% of New Yorkers." Governor Hochul stated the RAISE Act sets "a strong and sensible standard for frontier AI safety, holding the biggest developers accountable" and noted it "builds on California's recently adopted framework, creating a unified benchmark among the country's leading tech states as the federal government lags behind, failing to implement common-sense regulations that protect the public." Democratic sponsors framed the law as essential safety guardrails on a powerful technology, comparing it to requiring seatbelts in cars or safety plans before opening daycares. The changes to the final law came about after pressure from the technology industry collided with bill sponsors' desires to put stronger guardrails on AI. Some AI safety advocates criticized the amendments as "considerably watering down the RAISE Act" compared to what the New York State legislature had initially passed.
Right-Leaning Perspective
A bipartisan super PAC called "Leading the Future," backed by high-profile tech figures including OpenAI President Greg Brockman and venture firm Andreessen Horowitz, announced it will oppose Assemblymember Bores during his U.S. congressional campaign, stating the group "will oppose policies that stifle innovation, enable China to gain global AI superiority." Critics argue that a "patchwork" of state AI policies will hinder innovation and put the U.S. at risk of falling behind China, while others counter that the federal government moves too slowly to keep up with AI development. President Trump issued an executive order just eight days before the law was signed, "announcing a policy to establish a 'minimally burdensome' national standard for AI and directing the Department of Justice to challenge state laws deemed inconsistent with that goal." Legal analysts expect the Department of Commerce to consider the RAISE Act "burdensome" and in conflict with the order's stated goals, asserting that New York and California laws represent "first steps in the 'patchwork' of state laws that the executive order says could stifle AI innovation." Assemblymember Bores countered critics by noting he has "a master's in computer science, two patents, and nearly a decade working in tech," stating "If they are scared of people who understand their business regulating their business, they are telling on themselves."
Deep Dive
Governor Hochul originally signed the RAISE Act on December 19, 2025, following the state legislature's passage in June 2025, then negotiated with lawmakers to secure a chapter amendment introduced on January 6, 2026, passed on March 11, 2026, and finally signed into law on March 27, 2026. Hochul signed the bill just eight days after President Trump issued an executive order directing the Department of Justice to challenge state laws deemed inconsistent with a "minimally burdensome" national AI standard. The final law dials back developer requirements compared to the version passed by the legislature, with changes coming about after pressure from the technology industry collided with bill sponsors' desires for stronger guardrails. Hochul's version changed the applicability threshold from a computational cost of $100 million to revenue of $500 million, and removed the requirement that companies not release unsafe models, shifting from requiring disclosure within 72 hours if harm may be imminent to disclosure only when such harm has actually occurred. New York's alignment with California on AI safety is intended to lift perceived patchwork burdens; OpenAI stated that the combination of New York and California legislation "is a big step in the right direction," though preferring a single federal standard. Legal commentators expect that whether the Department of Justice brings a lawsuit challenging the RAISE Act is likely, and the AI Litigation Task Force established in January 2026 will probably target the law alongside California's TFAIA and possibly other state AI laws.