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SECOND REGULAR SESSION
SENATE BILL NO. 1324
103RD GENERAL ASSEMBLY
INTRODUCED BY SENATOR HUDSON.
4424S.01I KRISTINA MARTIN, Secretary
AN ACT
To amend chapter 407, RSMo, by adding thereto seven new sections relating to regulation of
artificially generated online content using artificial intelligence, with penalty
provisions and a severability clause.
Be it enacted by the General Assembly of the State of Missouri, as follows:
Section A. Chapter 407, RSMo, is amended by adding thereto 1
seven new sections, to be known as sections 407.3000, 407.3001, 2
407.3002, 407.3003, 407.3004, 407.3005, and 407.3006, to read 3
as follows:4
407.3000. The provisions of sections 407.3000 to 1
407.3006 shall be known as and may be cited as the "Missouri 2
Artificial Intelligence Transparency and Accountability Act" 3
and shall become effective on January 1, 2027. 4
407.3001. As used in sections 407.3002 to 407.3006, 1
the following terms shall mean: 2
(1) "AI-generated content", any text, audio, image, 3
video, or other media created or substantially modified by 4
an AI system; 5
(2) "Artificial intelligence system" or "AI system", a 6
computer-based system that can, for a given set of human- 7
defined objectives, make predictions, recommendations, or 8
decisions influencing real or virtual environments, 9
including generative artificial intelligence capable of 10
producing text, audio, images, or video; 11
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(3) "Deepfake", AI-generated or manipulated media that 12
depicts a person saying or doing something they did not say 13
or do, often with deceptive intent; 14
(4) "Deployer", an entity that uses an AI system to 15
generate content for public consumption; 16
(5) "Developer", an entity that designs, builds, or 17
trains an AI system; 18
(6) "Public consumption", content distributed through 19
platforms accessible to the general public, including social 20
media, websites, broadcasts, or other public forums, whether 21
free or paid; 22
(7) "Usage log", a record of AI system operations, 23
including the date, time, user identity (if applicable), 24
input parameters, and output generated; 25
(8) "Watermark", a visible or embedded marker 26
indicating that content is AI-generated. 27
407.3002. 1. Any person or entity creating AI- 1
generated content for public consumption shall clearly label 2
the content as "AI-generated" in a prominent and conspicuous 3
manner. The label shall include the following: 4
(1) The name of the AI system used and, if applicable, 5
the name of the developer or deployer; 6
(2) If text is used, the label shall appear at the 7
beginning of the text or in a visible header or footer; 8
(3) If audio is used, a verbal or audible disclosure 9
at the start of the audio. For any audio exceeding thirty 10
seconds, the disclosure shall appear every two minutes; and 11
(4) For images or videos, a visible watermark or 12
overlay embedded with a text disclosure appearing in 13
metadata and captions. 14
2. Any AI-generated content depicting a real 15
individual including, but not limited to, audio or video 16
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mimicking voices or likeness, shall include an additional 17
disclaimer as follows: "This content is AI-generated and 18
does not reflect the actual statements or actions of the 19
depicted individual". Deployers shall verify the 20
authenticity of the content under this subsection before 21
generating such content and shall obtain consent from the 22
individual depicted in the content, except if the content is 23
used for parody or satire. 24
3. Labels and watermarks on any AI-generated content 25
required under section 407.3002 shall be accessible to 26
individuals with disabilities pursuant to section 508 of the 27
federal Rehabilitation Act, Web Content Accessibility 28
Guidelines (WCAG) 2.1, or any other provisions of current 29
law. Exceptions include: 30
(1) Content generated for private and non-commercial 31
use that is not shared publicly; 32
(2) AI-generated content used solely for internal 33
business operations for research, not intended for public 34
distribution; or 35
(3) Content that uses minimal AI assistance that does 36
not substantially alter the content's meaning or authorship, 37
including, but not limited to, grammar correction tools. 38
407.3003. 1. Developers and deployers shall maintain 1
usage logs for all AI system content distributed for public 2
consumption. Such usage logs shall include: 3
(1) Date and time of content generation; 4
(2) Identity of the user or entity generating the 5
content, if applicable; 6
(3) Input parameters or prompts used; 7
(4) Description of the output, including, but not 8
limited to, the type of content, file size, intended 9
platform; and 10
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(5) Metadata linking the log to the specific AI system 11
and version. 12
2. Usage logs under this subsection shall be retained 13
for a minimum of seven years from the date of content 14
generation, unless otherwise required by current law. 15
3. Usage logs under this subsection shall be stored 16
with encryption and any access to the logs shall be 17
controlled by the developer or deployer to prevent 18
unauthorized access. 19
4. Any personal data in the usage logs shall be kept 20
anonymous and protected pursuant to current law, except when 21
requested for law enforcement purposes. Such data shall 22
only be available to law enforcement upon the issuance of a 23
warrant or a subpoena specifying the scope of the request. 24
Developers and deployers shall provide the logs within 25
fourteen business days after receiving the warrant or 26
subpoena, unless expedited by a court order. Law 27
enforcement may use the logs to investigate violations of 28
sections 407.3000 to 407.3006, fraud, identity theft, 29
election interference, or any other violation involving AI- 30
generated content. 31
407.3004. 1. The attorney general shall enforce 1
provisions of sections 407.3000 to 407.3006. Any person may 2
report violations of sections 407.3000 to 407.3006 to the 3
attorney general. If the attorney general finds that 4
provisions of sections 407.3000 to 407.3006 have been 5
violated, the attorney general shall commence a civil action 6
in the court of competent jurisdiction. If the court finds 7
that a violation occurred, the court may grant actual 8
damages, injunctive relief, attorney fees, and any such 9
other relief the court finds appropriate. The court may 10
grant civil penalties as follows: 11
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(1) A civil penalty not to exceed five thousand 12
dollars for the first violation; 13
(2) A civil penalty not to exceed twenty-five thousand 14
dollars for any subsequent violation; 15
(3) A civil penalty not to exceed fifty thousand 16
dollars per violation for failure to maintain usage logs; and 17
(4) A civil penalty not to exceed one hundred thousand 18
dollars per violation for any violation involving knowingly 19
producing deepfakes without labeling and consent pursuant to 20
section 407.3002. 21
2. Nothing in this section shall preclude an 22
individual from bringing a private civil action in a court 23
of competent jurisdiction for any violation of sections 24
407.3000 to 407.3006. 25
3. Individuals and entities that demonstrate good- 26
faith compliance with sections 407.3000 to 407.3006, 27
including, but not limited to, implementing industry- 28
standard watermarking or maintaining usage logs, may raise 29
an affirmative defense to reduce civil penalties, provided 30
they cure any violation within thirty days after receiving 31
notice of the civil action under this section. 32
407.3005. 1. Within one hundred and eighty days after 1
the effective date of sections 407.3000 to 407.3006, the 2
Missouri department of commerce and insurance may promulgate 3
rules to enforce provisions of sections 407.3000 to 4
407.3006. The rules shall specify technical standards for 5
watermarks and labels, define acceptable formats for usage 6
logs, and establish procedures for law enforcement access to 7
the usage logs. Any rule or portion of a rule, as that term 8
is defined in section 536.010, that is created under the 9
authority delegated in this section shall become effective 10
only if it complies with and is subject to all of the 11
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provisions of chapter 536 and, if applicable, section 12
536.028. This section and chapter 536 are nonseverable and 13
if any of the powers vested with the general assembly 14
pursuant to chapter 536 to review, to delay the effective 15
date, or to disapprove and annul a rule are subsequently 16
held unconstitutional, then the grant of rulemaking 17
authority and any rule proposed or adopted after August 28, 18
2026, shall be invalid and void. 19
2. The department shall launch a public awareness 20
campaign to educate Missouri residents about AI-generated 21
content and the residents' rights under sections 407.3000 to 22
407.3006. 23
3. The department shall establish an AI task force 24
comprised of members from the general assembly, industry, 25
academia, and consumer advocacy groups to: 26
(1) Monitor compliance with sections 407.3000 to 27
407.3006; 28
(2) Recommend updates to comply with emerging AI 29
technologies; and 30
(3) Submit an annual report to the general assembly on 31
the impact of provisions of sections 407.3000 to 407.3006. 32
407.3006. Nothing in sections 407.3000 to 407.3006 1
shall preempt any city, town, county, or any other political 2
subdivision from enacting stricter or more stringent 3
ordinances, laws, or rules provided they do not conflict 4
with provisions of sections 407.3000 to 407.3006. 5
Section B. If any provision of section A of this act 1
or the application thereof to anyone or to any circumstance 2
is held invalid, the remainder of those sections and the 3
application of such provisions to others or other 4
circumstances shall not be affected thereby. 5
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