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SB59 aims to combat algorithmic discrimination in Hawaii by prohibiting biased algorithmic decisions and requiring transparency from covered entities. Businesses using algorithmic decision-making must comply with new notification and reporting requirements to avoid penalties.
Key Provisions
Prohibits discriminatory algorithmic eligibility determinations based on protected characteristics.
Requires covered entities to notify individuals about the use of their personal information.
Mandates annual reports to the Department of the Attorney General.
Defines key terms such as 'algorithmic eligibility determination' and 'personal information'.
Allows civil enforcement for non-compliance.
Exempts affirmative action plans from discrimination prohibitions.
Latest Legislative Action
Referred to LBT, CPN/JDC.
Bill Sponsors
Name
Role
District
Chris LeeD
Sponsor
SD-025
Karl RhoadsD
Sponsor
SD-013
Stanley ChangD
Sponsor
SD-009
Compliance Checklist
Notify individuals about the use of their personal information in algorithmic decisions. Who: Covered entities making algorithmic eligibility determinations. Deadline: Before the first algorithmic information availability determination. Penalty: Civil action by the Attorney General.
Conduct annual audits of algorithmic practices. Who: Covered entities. Deadline: Annually. Penalty: Civil action by the Attorney General.
Submit annual reports to the Department of the Attorney General. Who: Covered entities. Deadline: Annually. Penalty: Civil action by the Attorney General.
Full Legal Analysis
SB59 establishes a framework to prevent algorithmic discrimination by prohibiting covered entities from making eligibility determinations based on protected characteristics such as race and gender. Covered entities, defined as organizations possessing personal information on more than 25,000 residents, having over $15,000,000 in revenue, or being a data broker, must provide clear notices to individuals about how their personal information is used. Additionally, these entities are required to submit annual reports to the Department of the Attorney General, ensuring compliance with the law. Non-compliance can result in civil enforcement actions, including penalties and injunctions. Covered entities must update notices within thirty days after changing their collection or use practices. This bill aligns with growing trends in other states to regulate algorithmic accountability and transparency.
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