News New York RAISE Act Amendments S8828 2026

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New York RAISE Act Amendments (S 8828) — Governor Kathy Hochul signed Senate Bill S 8828 on March 27, 2026, amending the Responsible AI Safety and Education (RAISE) Act to align New York's frontier AI transparency requirements more closely with California's approach, narrowing the definition of covered developers, reducing penalties, and delaying enforcement to January 1, 2027.[1][2][3]

Background: Original RAISE Act

The original RAISE Act (S 6953-b/A 6453-b) was signed by Governor Hochul on December 19, 2025, making New York the second state after California to impose transparency and safety requirements on developers of advanced AI models.[4][5]

The original law applied to developers of AI models trained using more than 1026 computational operations and established transparency, safety, and incident reporting requirements.

S 8828 Amendments

Senate Bill S 8828, introduced by Senator Andrew Gounardes on January 8, 2026, made significant amendments to the RAISE Act:[6][1][2]

Narrowed Developer Definition

The amended law narrows the definition of "large frontier developer" from a compute-based threshold to a $500 million annual gross revenue threshold (including affiliates) — matching California's approach under SB 53 (TFAIA).[2] This significantly limits the number of AI companies subject to the law's requirements.

Reduced Penalties

The amendments reduce civil penalties from the original $10 million (first violation) and $30 million (subsequent violations) to $1 million (first violation) and $3 million (subsequent violations). Non-filing of disclosures incurs a penalty of $1,000 per day.[3][2]

Delayed Enforcement

Enforcement was pushed back to January 1, 2027, giving covered developers additional time to comply.[1][2]

Key Provisions Preserved

The core transparency and safety requirements remain intact:[3][7]

  • Oversight Office: Establishes an Office within the New York Department of Financial Services for oversight of frontier AI developers, including two reporting channels for critical safety incidents
  • Disclosure Requirements: Large frontier developers must file disclosures including business identity, principal place of business, New York offices, and (for private/closely held companies) lists of entities owning ≥5% interest
  • Safety and Security Protocols: Developers must make safety and security protocols available to authorities
  • Incident Reporting: Developers must report critical safety incidents through the oversight office
  • Academic Exemptions: Accredited colleges, universities, and the Empire AI Consortium and Institute are exempt
  • Whistleblower Protections: Employee protections for reporting safety concerns

Alignment with California

The amendments bring New York's RAISE Act closer to California's Transparency in Frontier AI Act (SB 53 / TFAIA), including the revenue-based threshold and reduced penalties. Key differences remain: New York includes academic exemptions that California lacks, and New York's scope is limited to activities within the state while California may apply extraterritorially.[2]

Legislative Timeline

  • January 8, 2026: S 8828 introduced by Senator Gounardes[6]
  • January 28, 2026: Passed Senate (58-1)[6]
  • March 11, 2026: Passed Assembly[6]
  • March 20, 2026: Delivered to Governor[6]
  • March 27, 2026: Signed into law as Chapter 96[6][1]

Significance

New York's amended RAISE Act, together with California's TFAIA, establishes a two-state framework for frontier AI transparency that covers the nation's two largest AI industry hubs. The shift from a compute-based to a revenue-based threshold means the law applies to fewer but more financially significant AI developers, reducing compliance burdens on smaller organizations while maintaining oversight of the largest frontier model operators.

The law represents a significant state-level counterweight to federal preemption efforts, particularly the Trump administration's National Policy Framework for AI, which advocates for overriding state AI regulations.[2]

See Also

References