The Texas Responsible Artificial Intelligence Governance Act (TRAIGA)
On June 5, 2025, Texas became the first state to pass comprehensive legislation regulating the use of artificial intelligence (AI) in the workplace with the Texas Responsible Artificial Intelligence Governance Act (TRAIGA). This groundbreaking law establishes critical guardrails for AI usage without imposing excessive burdens on employers.
Background of AI Regulation in Texas
The journey to TRAIGA began when State Rep. Giovanni Capriglione introduced a more ambitious bill, HB 1709, which aimed to set the nation’s most comprehensive state-level AI standards. However, this initial proposal failed to progress beyond committee. In response, a revised, less stringent version of the bill was introduced in March, leading to the current TRAIGA law.
Key Provisions of TRAIGA
Upon approval by Governor Abbott, TRAIGA will implement several critical measures:
1. Clarification of AI Discrimination Rules
TRAIGA explicitly prohibits the development or deployment of AI systems intended to unlawfully discriminate against protected classes under state law, including race, color, sex, religion, and disability. While existing laws already address intentional discrimination, this new regulation emphasizes the necessity of ensuring AI cannot facilitate purposeful discrimination.
2. Banning Harmful AI Uses
The law will outlaw AI systems designed to manipulate human behavior for harmful purposes, including inciting self-harm or criminal behavior. Additionally, it will prohibit the use of AI for social scoring and restrict censorship of political content, thus safeguarding freedom of expression and association.
3. Government Transparency Requirements
TRAIGA mandates that state government agencies must inform consumers when they are interacting with an AI system. However, this requirement does not extend to private businesses, allowing them more flexibility in their interactions with customers and employees.
4. Biometric Data Regulations
The new law introduces provisions concerning the use of biometric data, such as facial and voice recognition. Notably, it specifies that public availability of images or audio does not equate to consent for use as biometric identifiers. However, significant loopholes exist, allowing businesses to utilize biometric data in specific contexts without adhering to the same restrictions.
5. AI Sandbox Program
TRAIGA allows businesses to test innovative AI systems in a controlled environment for up to 36 months while submitting quarterly performance reports. This provision aims to foster innovation while ensuring some level of oversight.
6. Establishment of the Texas Artificial Intelligence Council
The law will create a 10-member advisory body within the Department of Information Resources responsible for monitoring AI use across state government and recommending legislative updates.
7. Limitation on Private Right of Action
Under TRAIGA, only the state Attorney General can enforce AI regulations, meaning there is no private right for consumers or workers to initiate lawsuits for violations.
Next Steps for TRAIGA
Governor Abbott has until June 22 to decide on the bill. His options include:
- Sign the Bill: TRAIGA will become law on January 1, 2026.
- Veto the Bill: This would prevent the law from taking effect unless overridden by a two-thirds majority in both chambers, which is unlikely given the session’s adjournment.
- Take No Action: The bill will automatically become law on January 1, 2026.
Potential Federal Implications
In an interesting twist, Congress is currently considering a proposal for a decade-long moratorium on state-level AI regulations. If approved, this would nullify TRAIGA and similar state laws. The House has already passed the 10-year ban, awaiting Senate action.
As Texas embarks on this regulatory journey, the implications for businesses, employers, and AI developers will be significant, setting a precedent for how AI can be governed at the state level.
