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SB1786 • 2026

artificial intelligence; content verification

SB1786 - artificial intelligence; content verification

Children Technology
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Warren Petersen
Last action
2026-05-05
Official status
Transmitted to Senate
Effective date
Not listed

Plain English Breakdown

The official bill text contains a contradiction regarding the effective date: Section 3 states February 1, 2027, while the Fact Sheet and other sections state February 2, 2027. The final legal status of this discrepancy is unknown based on provided materials.

Arizona SB1786: Rules for AI-Generated Media

Starting in February 2027, large artificial intelligence companies must add verification data to videos, images, and audio they create or change so users can tell if the content is real.

What This Bill Does

  • Requires certain AI providers to include provenance data in video, image, or audio files created by their systems that are shared outside the system.
  • Excludes text from chatbots, voice assistants, and virtual reality interactions from these labeling rules.
  • Mandates that companies use standard methods like watermarking to make this verification data hard to remove or change.
  • Prohibits including personal information about specific people in the verification data unless a user chooses to add it.
  • Defines small changes like adjusting brightness, cropping, or removing background noise as minor modifications that do not require new labels.

Who It Names or Affects

  • Companies that create generative AI systems with more than one million monthly users available in Arizona for personal use.
  • Users who share videos, images, or audio created by these large AI systems outside of the original platform.
  • Excludes cloud service providers, internet search engines, and companies selling tools mainly to other businesses.

Terms To Know

Provenance data
Hidden information inside a digital file that shows where it came from or if it was changed by AI.
Covered provider
A company making an AI tool with over one million monthly users in Arizona for personal use, excluding internet providers and business-only tools.
Minor modification
Small changes like changing color or size that do not change the main meaning of a video, image, or audio file.

Limits and Unknowns

  • The law does not apply to online stores where people buy goods or services directly.
  • Companies are not required to share their secret trade secrets about how they built their AI systems.
  • There is a conflict in the official text regarding the effective date, with one section stating February 1, 2027 and another stating February 2, 2027.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

Plain English: This amendment changes the law to require companies that make public artificial intelligence tools in Arizona to add hidden tracking data to AI-made videos, images, and audio so people can tell they are not real.

  • Companies must include 'provenance data' (tracking information) in any video, image, or audio created by their generative AI systems that is available for users outside the system.
  • The law no longer requires this tracking data if the content was made during a real-time conversation with an AI assistant or inside virtual reality experiences.
  • Companies are not allowed to include personal information about specific people in the hidden tracking data unless they choose to do so and get permission from the user first.
  • Only companies that make generative AI tools available for public use within Arizona must follow these rules, while cloud services and business-only software are excluded.
  • The text does not explain exactly what happens if a company breaks these new rules or how much they could be fined.
  • It is unclear from this amendment alone who will check to make sure companies are following the law correctly.

Plain English: This amendment changes the law to require large public AI tools in Arizona to add hidden tracking data to videos, images, and audio they create or change, while removing rules that would have forced them to hide personal user information.

  • Requires covered providers to include provenance (tracking) data in any video, image, or audio content created or significantly changed by their AI systems.
  • Removes the requirement for companies to avoid including identifiable personal information in that tracking data unless a user chooses to add it.
  • Narrows the definition of 'covered provider' to only include publicly accessible AI tools used for personal purposes within Arizona, removing size limits based on monthly users.
  • Simplifies the definition of generative artificial intelligence systems and removes exemptions for streaming services, online stores, and search engines.
  • The amendment text does not define specific penalties or fines for companies that fail to follow these new rules.
  • It is unclear how 'commercially and technically reasonable' methods will be measured in court if a company disputes the requirement.
  • The effective date of February 1, 2027, was removed from this version of the text.

Plain English: This amendment changes the law so that text created during live, interactive conversations with AI does not need to include special tracking data.

  • Excludes text generated from real-time interactions like voice assistants or virtual reality environments from requiring provenance labels.
  • Removes a rule that previously required covered providers to have more than one million monthly users.
  • The provided amendment text is cut off at the end, so some details about 'minor modifications' are missing.
  • Some technical legal terms like 'provenance data' and specific definitions for covered providers may be hard to fully explain without more context.

Bill History

  1. 2026-05-05 Senate

    Transmitted to Senate

  2. 2026-05-04 House

    Transmitted to House

  3. 2026-05-04 Senate

    Senate passed

  4. 2026-04-27 House

    House passed

  5. 2026-04-21 Senate

    Senate minority caucus

  6. 2026-04-15 Senate

    Transmitted to Senate

  7. 2026-04-15 House

    House third read passed

  8. 2026-04-13 House

    House committee of the whole

  9. 2026-03-31 House

    House minority caucus

  10. 2026-03-31 House

    House majority caucus

  11. 2026-03-10 House

    House second read

  12. 2026-03-09 House

    House Rules: C&P

  13. 2026-03-09 House

    House Artificial Intelligence & Innovation: DPA

  14. 2026-03-09 House

    House first read

  15. 2026-03-03 House

    Transmitted to House

  16. 2026-03-03 Senate

    Senate third read passed

  17. 2026-03-02 Senate

    Senate committee of the whole

  18. 2026-02-23 Senate

    Senate minority caucus

  19. 2026-02-23 Senate

    Senate majority caucus

  20. 2026-02-23 Senate

    Senate consent calendar

  21. 2026-02-09 Senate

    Senate second read

  22. 2026-02-05 Senate

    Senate Rules: PFC

  23. 2026-02-05 Senate

    Senate Judiciary and Elections: DP

  24. 2026-02-05 Senate

    Senate first read

Official Summary Text

SB1786 - 572R - Senate Fact Sheet

Assigned to
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PASSED BY HOUSE

ARIZONA STATE SENATE

Fifty-Seventh
Legislature, Second Regular Session

REVISED

AMENDED

FACT SHEET FOR
S.B. 1786

artificial
intelligence; content verification

Purpose

Effective February
2, 2027, requires certain providers of generative artificial intelligence (AI)
systems to include provenance data in specified media that is created or
materially altered by the system.

Background

The federal
National Artificial Intelligence Initiative Act of 2020 (Act) codified the
establishment of a national AI initiative and associated federal offices and
committees. The Act directed the Secretary of Commerce, in coordination with
other federal agencies, including the National Institute of Standards and
Technology, the Department of Energy and the Department of Homeland Security,
to establish guidelines and best practices for developing safe, secure and
trustworthy AI systems, with the aim of promoting consensus industry standards
(
15
U.S.C. � 9401 et seq
).

Executive Order
14179 deems that it is the policy of the United States to sustain and enhance
AI to promote economic competitiveness and national security. The Order
directed various federal agencies and individuals to develop an AI action plan
and identify actions taken pursuant to Executive Order 14110 that conflict with
this policy (
Exec.
Order No. 14179
). Executive Order 14365 deems that it is the policy of the
United States to achieve a minimally burdensome national policy framework for
AI. The Order directed the establishment of an AI Litigation Task Force for the
purpose of evaluating and challenging state laws inconsistent with this policy and
restricted funding to the states under the Broadband Equity Access and
Development Program (
Exec.
Order 14365
).

There is no
anticipated fiscal impact to the state General Fund associated with this
legislation.

Provisions

1.

Requires a covered provider to include provenance data in any video,
image or audio content

that is created or materially altered by the covered
provider's generative AI system and that is available to be shared with users
outside of the system.

2.

Specifies that this requirement does not apply to text content that is
generated as a result of an interactive experience, including voice assistant
responses, virtual reality environments, augmented reality applications,
real-time conversational AI interactions and other real-time, dynamic
interactions between a user and a generative AI system.

3.

Defines
covered provider
as a person or entity that creates,
codes or otherwise produces a generative AI system that has more than one
million monthly users and that is publicly accessible within the geographic
boundaries of Arizona for personal use by consumers.

4.

Specifies
that the definition for
covered provider
does not include:

a)

cloud service providers;

b)

providers that distribute, or make available, a generative AI system
that is primarily licensed or sold for business to business purposes;

c)

products, services or applications that are primarily marketed and
intended to facilitate accessibility for a person with a disability if the
developer takes reasonable measures to protect against unauthorized use;

d)

internet service providers;

e)

internet service providers' affiliates or subsidiaries;

f)

internet
search engines.

5.

Requires a covered provider to use commercially and technically
reasonable methods to make the provenance data difficult to remove or tamper
with.

6.

Stipulates that the above requirement may be satisfied with the use of a
commonly supported technical standard for watermarking and metadata.

7.

Stipulates that content is not considered materially altered if the
alteration consists of a minor modification that does not lead to significant
changes to the perceived content or meaning of the content.

8.

Prohibits covered providers from including any information that relates
to an identified individual, or a reasonably identifiable individual, in
provenance data that is in any video, image or audio content created or
materially altered by the covered provider's generative AI system, to the
extent that it is commercially and technically reasonable, unless a covered
provider chooses to include the information where a user affirmatively elects
to include the information.

9.

Stipulates
that requirements relating to content verification for generative AI systems do
not:

a)

apply to any product, service, internet website or application that
either:

i.

exclusively provides video games or non-user-generated television,
music, streaming, movie or interactive experiences; or

ii.

provides
for the sale of goods or services directly to consumers through the internet
and allows customers to browse, select and purchase items virtually.

b)

require
a covered provider to disclose any trade secret or confidential or proprietary
information about the design or use of an AI system.

10.

Defines

generative AI system
as an AI system that can generate synthetic content.

11.

Defines

minor modification
to include changing brightness, contrast or color,
sharpening, saturating, applying filters, resizing, scaling, cropping, format
conversions, resampling, denoising and removing background noise in audio.

12.

Defines

provenance data
as data that is embedded into digital content or that is
included in the digital content's metadata to verify the digital content's
authenticity, origin or history of modification and that includes generally
accepted security best practices.

13.

Contains
a statement of legislative findings.

14.

Becomes
effective on February 2, 2027.

Amendments Adopted by the
House of Representatives

1.

Limits the applicability of requirements for generative AI system
provenance data to content that is available to be shared outside of the
system.

2.

Exempts various interactive experiences with generative AI systems from
provenance data requirements.

3.

Exempts various products and services from generative AI content
verification requirements in general.

4.

Excludes specified entities and services from the definition of a
covered
provider
of generative AI systems.

5.

Modifies the definition of
covered provider
to only include
generative AI systems that have more than one million monthly users.

6.

Prohibits, rather than requires, generative AI systems from including
information on identifiable individuals in provenance data, but only to the
extent that it is commercially and technically reasonable, unless a covered
provider chooses to include the information where a user affirmatively elects
to include the information.

7.

Adds a delayed effective date of February 2, 2027.

8.

Modifies the definitions of
generative AI system
and
provenance
data
.

9.

Makes conforming changes.

Revisions

�

Corrects the effective date.

Senate Action
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House
Action

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Prepared by Senate Research

April 16, 2026

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Current Bill Text

Read the full stored bill text
SB1786 - 572R - H Ver

House Engrossed
Senate Bill

artificial
intelligence; content verification

State of Arizona

Senate

Fifty-seventh Legislature

Second Regular Session

2026

SENATE BILL 1786

AN
ACT

amending title 18, Arizona Revised Statutes,
by adding chapter 8; relating to information technology.

(TEXT OF BILL BEGINS ON NEXT PAGE)

Be it
enacted by the Legislature of the State of Arizona:

Section 1. Title 18, Arizona Revised Statutes,
is amended by adding chapter 8, to read:

CHAPTER
8

ARTIFICIAL
INTELLIGENCE

ARTICLE
1. GENERAL PROVISIONS

START_STATUTE
18-801.

Artificial intelligence; content verification; definitions

A. A covered provider
shall include provenance data in any video, image or audio content that is
created or materially altered by the covered provider's generative artificial
intelligence system
and
that is available to be shared with users outside of the generative artificial
intelligence system.� This subsection does not apply to
text
content that is
generated as a result of an interactive experience, including voice assistant
responses, virtual REALITY environments, augmented reality applications,
real-time conversational artificial intelligence interactions and other
real-time, dynamic interactions between a user and a generative
artificial intelligence system
.

B. A covered provider
shall use commercially and technically reasonable methods to make the
provenance data difficult to remove or tamper with. The use of a
commonly supported technical standard for watermarking and metadata complies
with the requirements of this subsection.

C. The Content is not
considered materially altered for purposes of this section if the alteration
consists of a minor modification that does not lead to significant changes to
the perceived content or meaning of the content.

D.
To the extent that
it is commercially and technically reasonable,
a covered provider
may not
include any
information that relates to an identified or reasonably identifiable individual
in provenance data that
is in any video, image or audio
content created or
materially altered by the covered provider's generative artificial intelligence
system
and
that is subject to the requirements of this chapter unless the covered provider
chooses to include the information where a user affirmatively elects to include
the information
.

E. This chapter does
not do either of the following:

1. Apply to any
product, service, internet website or application that either:

(
a
) exclusively provides
video games or non-user-generated television, music, streaming,
movie or interactive experiences.

(
b
) Provides for the sale
of goods or services directly to consumers through the internet and allows
customers to browse, SELECT and purchase items virtually.

2. Require a covered
provider to disclose any trade secret or confidential or proprietary
information about the design or use of an artificial intelligence system.

F.
For the purposeS of
this section:

1. "Covered
provider"
:

(
a
)
Means a person or
entity that creates, codes or otherwise produces a generative artificial
intelligence system that
has more than one million monthly users and that
is publicly
accessible within the geographic boundaries of this state to consumers for
personal use.

(
b
) Does not include any
of the following:

(
i
) a cloud service
provider.

(
ii
) A provider that
distributes or makes available a generative artificial intelligence system that
is primarily licensed or sold for business to business purposes.

(
iii
) A product, service or
application that is primarily marketed and intended to facilitate accessibility
for a person with a disability if the developer takes reasonable measures to
protect against unauthorized use.

(
iv
) An internet service
provider.

(
v
) An internet service
provider's affiliates or subsidiaries.

(
vi
) An internet search
engine.

2. "Generative
artificial intelligence system" means
an artificial intelligence system
that can generate synthetic content
.

3. "MINOR
MODIFICATION" INCLUDES ALL OF THE FOLLOWING:

(
a
) CHANGING
THE BRIGHTNESS, CONTRAST OR COLOR.

(
b
) SHARPENING.

(
c
) SATURATING.

(
d
) APPLYING
FILTERS.

(
e
) RESIZING.

(
f
) SCALING.

(
g
) CROPPING.

(
h
) FORMAT
CONVERSIONS.

(
i
) RESAMPLING.

(
j
) DENOISING.

(
k
) REMOVING
BACKGROUND NOISE IN AUDIO.

4. "Provenance
data" means data that is embedded into digital content
or
that is included
in the digital content's metadata to verify the digital content's authenticity,
origin or history of modification
and that includes generally
accepted security best practices
.
END_STATUTE

Sec.
2.

Legislative findings

The legislature intends that
section 18-801, Arizona Revised Statutes, as added by this act, be
broadly construed and applied to promote the underlying purpose of the act,
which is all of the following:

1. To protect
individuals and groups of individuals from known, and unknown but reasonably
foreseeable, risks associated with artificial intelligence.

2. To provide
transparency regarding those risks in the development, deployment or use of
artificial intelligence systems.

3. To provide
reasonable notice regarding the use of artificial intelligence systems.

4. To protect the
public from fraud or deception.

Sec. 3.
Effective date

This act is effective from and after
February 1, 2027.