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Home»AI Legislation»Here’s what the Nevada Legislature is doing to expand and regulate the use of AI:
AI Legislation

Here’s what the Nevada Legislature is doing to expand and regulate the use of AI:

versatileaiBy versatileaiApril 11, 2025No Comments7 Mins Read
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As artificial intelligence (AI) becomes more common, governments across the country are working on ways to regulate and utilize new technologies.

More than 12 bills introduced at this year’s legislative conference have sought to regulate or expand the use of AI in the silver state. This is a controversial issue taking into account the rapid ascension of technology and concerns that it could perpetuate misinformation and lead to negative consequences from rental prices to mental health care.

State agencies are coming in as they are warmed up by the idea of ​​using AI, defined as a machine-based system that can create content and make decisions, predictions or recommendations based on existing material to simplify and facilitate specific processes. Last year, the Department of Employment, Training and Rehabilitation (DETR) used an AI program run by Google to control unemployment appeals (which have been in the backlog for a long time) in human verification, while the automotive sector uses AI-driven chatbots to ask field questions.

In November, the state’s Chief Information Officer’s Office announced its policy regarding the responsible ethical use of AI in state governments. Agency-level AI policies prohibiting being more tolerant than statewide policies, using AI to create discriminatory content and using personal data without anonymization.

The office also announced this week that it would employ Microsoft AI-powered assistants that can be used for tasks such as drafting emails and brainstorming ideas, according to a memo obtained by Indy.

Existing state laws also already prohibit you from engaging in deceptive practices such as using AI to spread misinformation and violating people’s rights of privacy.

But there are likely to be more changes. Here are the bills that move (or are not moving) through Congress related to AI:

Comprehensive legislation

The most vast AI-related bill is SB199, sponsored by Sen. Dina Neal (D-North Las Vegas).

The bill initially included a prohibition on using AI to create police reports, but the latest version says that “the police department must create a policy regarding the use of facial recognition software and other AI tools that may violate the civil and constitutional rights of citizens.

The revised bill also removed the proposed ban that uses AI to create a K-12 lesson plan. Instead, the new version requires working groups to investigate AI in schools and develop policies regarding the use of AI in lesson plans.

Several aspects of the bill remain, such as blocking insurance companies’ use of patient data to train AI systems without patient explicit consent, and banning landlords from using estimated AI rent prices based on private data.

In California, AI is used to raise rent prices by consolidating private information to generate recommendations for landlords and their competitors. Some local governments, including San Francisco, have passed laws prohibiting the use of AI to set rent.

The bill would also significantly increase state surveillance for AI companies. This is defined as someone who develops and sells AI systems to others. These arrangements must be reported to the Attorney General’s Office.

Additionally, the bill requires DETR to investigate state employers about the number of jobs lost or risk disappearing due to AI.

Earlier this year, Neal told Indy that the state’s existing AI policy is “limited.” The bill was handed over from the first committee, but was introduced to the Senate Finance Committee.

Sen. Dina Neal (D-North Las Vegas) following the state of Joe Lombardo’s state speech in Congress in Carson City on January 15, 2025. (David Calvert/Nevada Independent)

Are you helping out snap recipients?

Nevada could be the next state to use AI to connect recipients of the Supplementary Nutrition Assistance Program (SNAP) to food that would otherwise be wasted.

Sponsored by the Congressional Committee on Methods and Means, AB474 calls for the state’s Department of Welfare and Support Services to use the Smart Shopper Mobile App deployed in Delaware. The bill received exemption from legislative deadlines.

The app uses AI to determine how much food is wasted through retailer data, and snaps that information to recipients using food consumption trends that may benefit from unused food. Recipients can use the app to see discounts on snap-qualified foods that otherwise can be thrown into the trash or prevent them from being eaten.

Eight other states are actively debating how to implement the app.

“It’s a real win-win — food security for the most vulnerable and saving waste,” said Bethany Hall Ron, a former Delaware lieutenant governor who serves as a brief stint as state governor and helps the implementation of the app, in an interview.

The law comes as the Trump administration cut certain programs that amount to £1.3 million food losses delivered to Nevada’s food bank.

Proposals on healthcare, electricity, elections, and child pornography

The Secretary of State’s office is behind AB73. This requires disclosure of artificial intelligence in campaign materials, and state election officials have said it is an easy way for bad actors to mislead the public. It passed unanimously from the assembly.

Neil has another bill (SB128) that prohibits health insurance companies from using or relying on AI to deny prior permission requests or limiting the amount of coverage provided to previously approved care. It passed the Senate with support from all Democrats and two Republicans: Officers Lori Logic (R-Las Vegas) and John Steinbeck (R-Las Vegas).

A recent survey by the American Medical Association found that 61% of doctors are concerned that AI has led to an increase in previous rejection of approval.

Sponsored by the Government Congress Committee on Issues, AB325 prohibits using AI to make final decisions on emergency response planning and resource allocation, and to close certain utility services. Last week, it unanimously passed the floor of the parliament.

A report by the Nevada policy research organization, Guinn Center, found that several states have used AI to help answer non-emergency calls to identify and control wildfires. But supporters of the bill said there must be safeguards to ensure humans have a final say on emergency response.

Senate majority leader Nicole Canissaro (D-Las Vegas) sponsors SB263, which prohibits computer-generated child pornography that contains content created through artificial intelligence. The bill is exempt from legislative deadlines.

Modified invoice from ASSM. Jovan Jackson (D-North Las Vegas) had banned school counselors, psychologists and social workers from using AI to provide care.

At a hearing at AB406 earlier this month, representatives from the National Association of Social Workers said there have been an increase in human-free AI therapy apps such as Earkick and Sintelly, and there have been cases where suicide and death occurred after interacting with AI-driven therapy.

Jackson said at the hearing that “AI does not provide the emotional intelligence we need” to provide mental health care.

Dead Bill (for now)

Several bills that had imposed certain transparency requirements or restrictions on AI failed to meet the initial committee’s passage deadline earlier this month, but the four had similar language to the proposals handed over.

AB295, AI-related proposals and pre-authorization from ASSM. Toby Yurek (R-Las Vegas) has a similar language to other healthcare-related bills (SB128). AB531 would have been raised by the Congressional Committee on Education and would have required group supervisions to study the use of AI in education. These provisions are also reflected in SB199, a wide range of AI bills sponsored by Neil. A suggestion from ASSM. Bert Gurr (R-Elko), AB271 prohibits the use of AI on voting equipment and requires disclosure of political material generated by AI, the latter being subject to the Secretary of State’s Bill (AB73). AB187, from ASSM. Joe Dalia (D-Henderson) reflects the Kanizaro bill created by AI to ban child pornography.

The other two AI bills that met their end mise were AB537, which would have been needed by the Tax Department to disclose the use of AI in tax matters, SB186 is a proposal from Jeffstone (R-Henderson), who mandated the use of AI when used to generate written communications to patients.

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