In one paragraph
Vermont's H.341 (2025-2026 biennium) would have set oversight and safety standards for developers and deployers of inherently dangerous AI systems, meaning high-risk AI systems, dual-use foundational models and generative AI systems, used by non-small businesses doing business in Vermont. Duties included reasonable care, NIST-based testing and risk management, and Safety and Impact Assessments filed with an AI Division in the Agency of Digital Services. Harmed consumers could sue. It was referred to House Commerce on February 25, 2025 and died.
Plain-English summary, written with AI assistance. The official text controls.
What it means for business
None: the bill did not pass. It would have required larger AI developers and deployers to test, assess and file reports on inherently dangerous AI systems and exposed them to consumer lawsuits.
Key provisions
- Applies to persons that are not small businesses (per the SBA definition) and that do business in Vermont or with its residents, or develop, distribute or deploy high-risk AI there (Sec. 4193j)
- Developers and deployers must use reasonable care to avoid foreseeable risks including crime, discrimination and physical, financial or reputational injury (Sec. 4193f)
- Developers may not place an inherently dangerous system in commerce without documented testing at least as stringent as the NIST AI Risk Management Framework; deployers need a comparable risk management program (Sec. 4193g)
- Deployers of inherently dangerous systems file a Safety and Impact Assessment before deployment and every two years; high-risk deployers file 1-, 6- and 12-month testing results (Sec. 4193e)
- The Division of Artificial Intelligence within the Agency of Digital Services reviews filings; the Attorney General may seek injunctions and issue civil investigative demands (Sec. 4193c)
- Violations are unfair practices under 9 V.S.A. sec. 2453; harmed consumers may sue for damages, punitive damages for intentional violations, and fees (Sec. 4193h)
- Would have taken effect July 1, 2025 (Sec. 3). Died in House Commerce and Economic Development
Latest legislative action
Feb 25, 2025. Read first time and referred to the Committee on Commerce and Economic Development
Sponsors (showing 5 of 27)
| Name | Role |
|---|---|
| Barbara Rachelson D | Primary |
| Mary-Katherine Stone D | Primary |
| Monique Priestley D | Primary |
| Paul Martin | Primary |
| Seth Chase | Primary |
Topics and industries
Related topics
Affected industries
This page is general information, not legal advice. Summaries are AI-assisted and may contain errors; read the statute for the controlling text and talk to a lawyer about your situation. Full disclaimer · Report an error