Technology (Digital Government)

H 752 requires Vermont's Agency of Digital Services to annually review all state government computer systems that make decisions (like benefits or permits) for cybersecurity risks and personal data vulnerabilities. The bill amends state law (sections 3303 and 3305) to mandate that the Agency's annual inventory of these systems include assessments of privacy risks and cybersecurity safeguards. If a system is found to pose significant risks, the Agency can formally request that state agencies terminate its use. This directly affects all Vermont state departments using automated decision systems that process personal data or make government decisions.

This bill establishes safety standards and oversight for developers and deployers of inherently dangerous artificial intelligence systems in Vermont. It requires these entities to submit safety and impact assessments to a new Division of Artificial Intelligence within the Agency of Digital Services. The Attorney General can enforce the law by taking legal action against noncompliant developers or deployers, including seeking court orders to stop violations. The bill specifically targets high-risk AI systems, dual-use foundational models, and generative AI systems that pose serious risks to public safety, economic security, or individual rights.

This bill, S 69 (Vermont Age-Appropriate Design Code Act), requires online services popular with minors to redesign their platforms to protect children’s privacy and safety. It directly affects businesses that generate most revenue from online services likely accessed by Vermont minors under 18 and collect their personal data. Key provisions mandate age-assurance methods to identify minors, set default privacy settings to the most protective level, ban features causing "compulsive use" (like addictive content algorithms), and restrict data collection for minors. The law also defines strict rules for handling biometric, genetic, and derived data of minors, ensuring data processing aligns with their developmental needs. It applies broadly to digital products like apps and websites, excluding physical products and basic internet services.

This bill requires online businesses likely to be accessed by children to avoid using design features that are harmful or overly invasive of children's privacy. It defines "covered businesses" as those with online services reasonably likely to be used by minors and mandates that these businesses set privacy settings to the most protective default for children. Key provisions prohibit design features causing compulsive use (like endless scrolling) and require businesses to handle children's personal data with heightened safeguards. The law applies to Vermont-based businesses offering online products or services to minors, aiming to protect children's privacy through proactive design standards.

H.489 adjusts the Vermont state budget for fiscal year 2025 by modifying funding allocations across multiple agencies. It increases total funding for the Judiciary by $2.56 million (primarily through General Fund) and shifts $786,000 from Operating Expenses to Personal Services for the Agency of Digital Services. The bill also raises Human Services funding by $841,000, including a $4.3 million increase in the Global Commitment fund, while reducing Public Safety Criminal Justice Services funding by $681,000. These changes directly affect state agencies managing digital infrastructure, courts, public safety, and human services programs. The bill was vetoed by the Governor on April 4, 2025, and did not become law.