Legislature(2025 - 2026)GRUENBERG 120

02/28/2025 01:00 PM House JUDICIARY

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01:01:03 PM Start
01:01:47 PM Presentation(s): Legal and Ethical Implications of Artificial Intelligence
02:17:19 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ Presentation: Legal and Ethical Implications of TELECONFERENCED
Artificial Intelligence
+ Bills Previously Heard/Scheduled TELECONFERENCED
**Streamed live on AKL.tv**
                    ALASKA STATE LEGISLATURE                                                                                  
               HOUSE JUDICIARY STANDING COMMITTEE                                                                             
                       February 28, 2025                                                                                        
                           1:01 p.m.                                                                                            
                                                                                                                                
                             DRAFT                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Andrew Gray, Chair                                                                                               
Representative Chuck Kopp, Vice Chair                                                                                           
Representative Ted Eischeid                                                                                                     
Representative Genevieve Mina                                                                                                   
Representative Mia Costello                                                                                                     
Representative Jubilee Underwood                                                                                                
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Representative Sarah Vance                                                                                                      
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
PRESENTATION(S):  LEGAL AND ETHICAL IMPLICATIONS OF ARTIFICIAL                                                                  
INTELLIGENCE                                                                                                                    
                                                                                                                                
     - HEARD                                                                                                                    
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
No previous action to record                                                                                                    
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
GUARAV KHANA, PhD, Senior Manager of Data Science and Digital                                                                   
Journeys                                                                                                                        
Cisco Systems;                                                                                                                  
AI Leadership Instructor, Stanford University                                                                                   
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Presented on AI foundations during the                                                                   
Legal and Ethical Implications of Artificial Intelligence                                                                       
presentation.                                                                                                                   
                                                                                                                                
ROSE FELICIANO, Executive Director for Washington and Northwest                                                                 
TechNet                                                                                                                         
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Presented on AI policy during the Legal and                                                              
Ethical Implications of Artificial Intelligence presentation.                                                                   
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
1:01:03 PM                                                                                                                    
                                                                                                                                
CHAIR ANDREW  GRAY called the House  Judiciary Standing Committee                                                             
meeting to  order at 1:01  p.m.  Representatives  Costello, Mina,                                                               
Eischeid,  and   Gray  were  present   at  the  call   to  order.                                                               
Representatives Underwood and Kopp arrived  as the meeting was in                                                               
progress.                                                                                                                       
                                                                                                                                
^PRESENTATION(S):   Legal and Ethical Implications  of Artificial                                                               
Intelligence                                                                                                                    
 PRESENTATION(S):  Legal and Ethical Implications of Artificial                                                             
                          Intelligence                                                                                      
                                                                                                                              
1:01:47 PM                                                                                                                    
                                                                                                                                
CHAIR GRAY  announced that  the only order  of business  would be                                                               
the  Legal and  Ethical Implications  of Artificial  Intelligence                                                               
presentation.                                                                                                                   
                                                                                                                                
1:02:27 PM                                                                                                                    
                                                                                                                                
GUARAV KHANA,  PhD, Senior  Manager of  Data Science  and Digital                                                               
Journeys,  Cisco  Systems;  AI  Leadership  Instructor,  Stanford                                                               
University,   gave   a   PowerPoint  presentation,   titled   "AI                                                               
Foundations,"  [hard  copy  included in  the  committee  packet].                                                               
Beginning on slide 2, he  recalled the historic launch of ChatGPT                                                               
on November 30, 2022.  On  slide 3, he elaborated on the economic                                                               
impacts of  AI, which is  estimated to add between  $2.6 trillion                                                               
to $4.4 trillion  annually.  Continuing to slide  4, he explained                                                               
that  AI   is  fundamentally  good  at   detecting  patterns  and                                                               
anomalies across large datasets.  On  slide 5, he likened AI to a                                                               
rocket  ship with  a  quote  from Andrew  Ng.    He outlined  the                                                               
journey of machine learning - or  AI - on slide 6, recalling that                                                               
it experienced  a renaissance in  the late 2000s with  tasks like                                                               
detecting fraudulent  credit card  transactions.   Its objectives                                                               
grew  more  sophisticated  with   the  implementation  of  object                                                               
identification and x-ray analysis in  the 2010s, growing to self-                                                               
driving cars and  text/video generation at present.   On slide 7,                                                               
he spoke  to AI's forecasted  contribution to the  global economy                                                               
of $15.7  trillion by 2030, noting  that thus far, AI  has always                                                               
exceeded projections.   Slide  8 highlighted use  cases of  AI in                                                               
state  government   for  things   like  court   filings,  traffic                                                               
decongestion, and  chatbots.  Slides  9 through 11  gave examples                                                               
of how  ChatGPT is  being used.   On slide  12, he  explained the                                                               
transformative  power  of  AI.    He shared  an  example  of  how                                                               
generative AI  systems make errors to  illustrated the importance                                                               
of input and phrasing and why  it matters.  Slide 14 outlined the                                                               
latest  research  and  innovation on  grounding,  alignment,  and                                                               
safety.   Grounding  refers  to a  large  language model's  (LLM)                                                               
ability to  provide accurate,  reliable, and  verifiable answers.                                                               
Alignment  refers  to  the  ability  avoid  harmful,  biased,  or                                                               
inappropriate  outputs while  remaining  useful;  the ability  to                                                               
match human  expectations and  societal/organization norms.   The                                                               
concept  of  safety refers  to  the  ability  for bad  actors  to                                                               
compromise these systems and output harmful and toxic content.                                                                  
                                                                                                                                
1:24:24 PM                                                                                                                    
                                                                                                                                
DR.  KHANA,  in response  to  a  series  of questions,  said  the                                                               
difference between  alignment and safety  is the ability  for the                                                               
LLM to sound  like one's brand versus  defense against outputting                                                               
toxic language;  guardrails are built  into the modes  to prevent                                                               
safety  violations  and  toxic  speech;  AI  has  no  concept  of                                                               
reasoning  and instead,  gives the  illusion of  thinking like  a                                                               
human  by  predicting  words;  there is  a  meaning,  depth,  and                                                               
emotion  expressed  by  humans  that  is  not  present  in  these                                                               
systems.                                                                                                                        
                                                                                                                                
1:35:01 PM                                                                                                                    
                                                                                                                                
DR. KHANA resumed the presentation  on slides 15-17 with examples                                                               
of how  to "hack"  an LLM  for a secret  password.   He explained                                                               
that AI can  be tricked into revealing something  it shouldn't or                                                               
generating toxic  content.  He  concluded that these  systems are                                                               
wonderful and  innovative, but their  flaws must  be acknowledged                                                               
and mitigated.                                                                                                                  
                                                                                                                                
1:38:52 PM                                                                                                                    
                                                                                                                                
ROSE FELICIANO, Executive Director  for Washington and Northwest,                                                               
TechNet, gave a presentation on  TechNet and AI legislation.  She                                                               
shared several policy principles  that TechNet urges legislatures                                                               
to consider when crafting AI  related legislation.  First, policy                                                               
makers  should   avoid  blanket   prohibitions  on   AI,  machine                                                               
learning,  or  other  forms  of  automated  decision  making  and                                                               
instead  reserve any  restrictions  for specific  use cases  that                                                               
present clear,  demonstrated risk of unacceptable  harm.  Second,                                                               
policy makers  should leverage  existing authorities  under state                                                               
law  that  provide   substantial  anti-discrimination  and  civil                                                               
rights  protections and  limit new  authorities  specific to  the                                                               
operation  of  AI  where  existing  authorities  are  inadequate.                                                               
Third, policy makers should ensure  any requirements on automated                                                               
decision tools focus on high  risk uses where decisions are based                                                               
solely on  the automated decisions.   They should  avoid labeling                                                               
entire  sectors as  inherently high  risk and  focus on  specific                                                               
outcomes  that  involve the  loss  of  life  or liberty  or  have                                                               
significant legal  effects on  people.   Fourth, interoperability                                                               
is  a  huge concern  for  the  technology  industry.   She  urged                                                               
legislators  to rely  on established  national and  international                                                               
framework as a guide for  developing policy to ensure operability                                                               
and avoid  patchwork.  She  encouraged members to  allow measures                                                               
taken  to  comply with  one  law  or  regulation to  satisfy  the                                                               
requirements  for  another applicable  law  or  regulation.   She                                                               
shared that  last year, TechNet  had tracked 476 AI  bills across                                                               
the  country that  largely focused  on  the creation  of AI  task                                                               
forces,  election   misinformation,  protections   against  child                                                               
sexual abuse material (CSAM),  and safeguarding against potential                                                               
bias in automated decision tools.                                                                                               
                                                                                                                                
CHAIR GRAY acknowledged that protecting  the public from harm may                                                               
cost  money  and  may  require  restrictions  on  the  technology                                                               
industry.   He  emphasized that  the committee's  goal is  public                                                               
protection, not the protection of a particular company.                                                                         
                                                                                                                                
1:48:34 PM                                                                                                                    
                                                                                                                                
MS. FELICIANO shared  an example involving Zillow and  the use of                                                               
artificial staging  for real estate  listings and how  that might                                                               
feel deceitful to  buyers.  In response to a  series of questions                                                               
about the  use of AI in  election material, she said  a number of                                                               
states have  passed AI  disclosure laws.   TechNet  believes that                                                               
it's  the  candidate's  responsibility [to  represent  themselves                                                               
honestly], and  that this issue is  much more important if  AI is                                                               
being  used  harmfully  or to  disparage  another  candidate,  as                                                               
opposed to being  used to enhance one's  physical appearance, for                                                               
example.                                                                                                                        
                                                                                                                                
DR. KHANA,  in response to  a question from the  chair, indicated                                                               
that  it  would be  possible  to  quantify the  use  of  AI in  a                                                               
particular  advertisement  or video  so  that  a usage  threshold                                                               
could  be implemented  for disclosure,  but implementing  uniform                                                               
standards would be difficult because  the variety of instances is                                                               
so vast.   He suggested  that if AI  was used to  craft something                                                               
entirely,  a watermark  could be  used.   Further, he  shared his                                                               
belief  that  some of  these  standards  would be  determined  in                                                               
court.  He reasoned that disclosing  a modicum use of AI would be                                                               
unreasonable.                                                                                                                   
                                                                                                                                
MS. FELICIANO added  that the state of  Washington is considering                                                               
a  bill that  would  require watermarking,  also  referred to  as                                                               
"content provenance," for content altered by AI.                                                                                
                                                                                                                                
1:57:41 PM                                                                                                                    
                                                                                                                                
MS. FELICIANO,  in response to  a series of questions  about data                                                               
privacy, reported  that 19 states  had adopted data  privacy laws                                                               
and  suggested that  all states  should  have one  as a  starting                                                               
point.   With  regard to  health data,  she said  it must  follow                                                               
Health  Insurance  Portability  and  Accountability  Act  (HIPAA)                                                               
guidelines.  In  response to a question  about collaboration with                                                               
law enforcement, she said many  AI companies have dedicated staff                                                               
whose job it  is to look for  CSAM and report it  to the National                                                               
Center for Missing  and Exploited Children, per federal  law.  In                                                               
response to a question about  the regulation of data centers, she                                                               
said  it's   important  that  electric  utilities   and  regional                                                               
planning companies  are anticipating  future need to  prepare for                                                               
environmental and energy impacts.                                                                                               
                                                                                                                                
2:06:36 PM                                                                                                                    
                                                                                                                                
DR. KHANA agreed  that an updated data privacy policy  would be a                                                               
good starting point.  He explained  that the heart of a good data                                                               
privacy  policy   includes  categorizing  data  and   creating  a                                                               
taxonomy of  confidential versus public data  or allowable versus                                                               
restricted data, for  example.  He said there's a  way to do data                                                               
loss protection  as well.   Many newer  generative AI  models are                                                               
not  that   energy  intensive  and   can  be  built   for  energy                                                               
efficiency.  He  added that smaller models  can outperform larger                                                               
models for  certain companies if  they're trained to  do specific                                                               
tasks well,  versus trained  to do everything  like ChatGPT.   He                                                               
opined  that there  wouldn't be  an exponential  need for  energy                                                               
that  crashes the  grid; however,  the  need for  power has  been                                                               
underestimated.    In  response  to a  series  of  questions,  he                                                               
reported  that  it takes  months  to  build large  generative  AI                                                               
chatbots  and days  for smaller  models, because  they are  often                                                               
derivatives of the larger models;  guardrails are not required by                                                               
law, which  could be mandated for  any models that would  be used                                                               
by the state along with other rules and layers of protection.                                                                   
                                                                                                                                
2:12:48 PM                                                                                                                    
                                                                                                                                
MS.  FELICIANO  offered  to  follow up  on  two  questions  about                                                               
whether  the Uniform  Law Commission  had standardized  statutory                                                               
language  and which  states  Alaska could  look  to for  crafting                                                               
policy that imposes guardrails on new generative AI chatbots.                                                                   
                                                                                                                                
DR. KHANA spoke  to the importance of striking  a balance between                                                               
generalized  and overly  strict  language to  avoid  the need  to                                                               
revisit the policy as technology  evolves.  Be recommended erring                                                               
on the side of caution and  including more rather than less to be                                                               
as comprehensive as possible.                                                                                                   
                                                                                                                                
2:17:19 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no further business before the committee, the House                                                                 
Judiciary Standing Committee meeting was adjourned at 2:17 p.m.                                                                 

Document Name Date/Time Subjects
2025-02-28 - House Judiciary Committee - Alaska House of Representatives v1.pdf HJUD 2/28/2025 1:00:00 PM
Artificial Intelligence