,,ii  #aah? ,,congress  #a/ ,session    
,s4 #cjej  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,octob] #ag1 #bjbc,mr4 
,r\nds 7= himself1 ,mr4 ,s*um]1 ,mr4    
,"y1 & ,mr4 ,he9ri*7 introduc$ ! foll[+ 
bill2 :i* 0 read twice & ref]r$ to !    
,committee on ,arm$ ,s]vices  ,a ,,bill 
,to require a report on artificial      
intellig5ce regulation 9 ! f9ancial     
s]vices indu/ry1 to e/abli% artificial  
intellig5ce bug b\nty programs1 to      
require a vuln]ability analysis /udy =  
artificial intellig5ce-enabl$ milit>y   
applications1 & to require a report on  
data %>+ & coord9ation1 & = o!r         
purposes4  #a4 ,%ort title ,?is ,act may
 be cit$ z ! ,artificial ,intellig5ce   
,advancem5t ,act ( #bjbc4  #b4          
,def9itions ,9 ?is ,act3 7#a7           
,congressional def5se committees ,! t]m 
congressional def5se committees has !   
mean+ giv5 su* t]m 9 section #aja (     
title #aj1 ,unit$ ,/ates ,code4  7#b7   
,f\ndational artificial intellig5ce     
model ,! t]m f\ndational artificial     

intellig5ce model means an adaptive     
g5]ative model t is tra9$ on a broad set
 ( unlabel$ data sets t c be us$ =      
diff]5t tasks1 ) m9imal f9e-tun+4  #c4  
,report on artificial intellig5ce       
regulation 9 f9ancial s]vices indu/ry   
7a7 ,9 g5]al ,n lat] ?an #ij days aft] !
 date ( enactm5t ( ?is ,act1 ea* ( !    
,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve    
,sy/em1 ! ,f$]al ,deposit ,insurance    
,corporation1 ! ,(fice ( ! ,comptroll] (
 ! ,curr5cy1 ! ,national ,cr$it ,union  
,adm9i/ration1 & ! ,bureau ( ,consum]   
,f9ancial ,protection %all submit to !  
,committee on ,bank+1 ,h\s+ & ,urban    
,affairs ( ! ,s5ate & ! ,committee on   
,f9ancial ,s]vices ( ! ,h\se (          
,repres5tatives a report on its gap 9 k 
relat+ to artificial intellig5ce1       
includ+ an analysis on-- 7#a7 :i* tasks 
are mo/ frequ5tly be+ assi/$ or complet$
 ) artificial intellig5ce 9 !           
in/itutions ! ag5cy regulates2  7#b7    
curr5t gov]nance /&>ds 9 place =        
artificial intellig5ce use at ! ag5cy & 

curr5t /&>ds 9 place = artificial       
intellig5ce ov]sight by ! ag5cy2  7#c7  
pot5tially additional regulatory        
au?orities requir$ by ! ag5cy to cont9ue
 to successfully execute its mission2   
7#d7 :]e artificial intellig5ce may lead
 to ov]lapp+ regulatory issues betwe5   
ag5cies t require cl>ification2  7#e7 h[
 ! ag5cy is curr5tly us+ artificial     
intellig5ce1 h[ ! ag5cy plans to use su*
 artificial intellig5ce ! next #c ye>s1 
& ! expect$ impact1 includ+ fiscal &    
/aff+1 ( ^? plans2 &  7#f7 :at res\rces1
 monet>y or o!r res\rces1 if any1 !     
ag5cy requires to bo? adapt to ! *anges 
t artificial intellig5ce w br+ to !     
regulatory l&scape & to adequately adopt
 & ov]see ! use ( artificial intellig5ce
 across its op]ations describ$ 9        
p>agraph 7#e74  7b7 ,rule ( con/ruction 
,no?+ 9 ?is section may be con/ru$ to   
require an ag5cy to include confid5tial 
sup]visory in=mation or pre-decisional  
or delib]ative non-public in=mation 9 a 
report "u ?is section4  #d4 ,artificial 

intellig5ce bug b\nty programs  7a7     
,program = f\ndational artificial       
intellig5ce products be+ incorporat$ by 
,dep>tm5t ( ,def5se  7#a7 ,developm5t   
requir$ ,n lat] ?an #ahj days aft] !    
date ( ! enactm5t ( ?is ,act & subject  
to ! availability ( appropriations1 !   
,*ief ,data & ,artificial ,intellig5ce  
,(fic] ( ! ,dep>tm5t ( ,def5se %all     
develop a bug b\nty program =           
f\ndational artificial intellig5ce      
models be+ integrat$ into ,dep>tm5t (   
,def5se missions & op]ations4  7#b7     
,collaboration ,9 develop+ ! program    
requir$ by p>agraph 7#a71 ! ,*ief may   
collaborate ) ! heads ( o!r gov]nm5t    
ag5cies t h exp]tise 9 cyb]security &   
artificial intellig5ce4  7#c7           
,implem5tation au?oriz$ ,! ,*ief may    
c>ry out ! program develop$ pursuant to 
subsection 7a74  7#d7 ,contracts ,!     
,secret>y ( ,def5se %all ensure1 z may  
be appropriate1 t :5ev] ! ,dep>tm5t (   
,def5se ent]s into any contract1 !      
contract all[s = p>ticipation 9 ! bug   

b\nty program develop$ pursuant to      
p>agraph 7#a74  7#e7 ,rule ( con/ruction
 ,no?+ 9 ?is subsection %all be con/ru$ 
to require-- 7,a7 ! use ( any           
f\ndational artificial intellig5ce      
model2 or  7,b7 ! implem5tation ( !     
program develop$ pursuant to p>agraph   
7#a7 9 ord] = ! ,dep>tm5t to incorporate
 a f\ndational artificial intellig5ce   
model4  7b7 ,brief+ ,n lat] ?an "o ye>  
aft] ! date ( ! enactm5t ( ?is ,act1 !  
,*ief %all provide ! congressional      
def5se committees a brief+ on-- 7#a7 !  
developm5t & implem5tation ( bug b\nty  
programs ! ,*ief consid]s relevant to ! 
matt]s cov]$ by ?is section2 &  7#b7    
long-t]m plans ( ! ,*ief ) respect to   
su* bug b\nty programs4  #e4            
,vuln]ability analysis /udy = artificial
 intellig5ce-enabl$ milit>y applications
  7a7 ,/udy requir$ ,n lat] ?an "o ye>  
aft] ! date ( ! enactm5t ( ?is ,act1 !  
,*ief ,digital & ,artificial            
,intellig5ce ,(fic] 7,,cdao7 ( !        
,dep>tm5t ( ,def5se %all complete a /udy

 analyz+ ! vuln]abilities to ! privacy1 
security1 & accuracy (1 & capacity to   
assess1 artificial intellig5ce-enabl$   
milit>y applications1 z well z rese>* & 
developm5t ne$s = su* applications4  7b7
 ,elem5ts ,! /udy requir$ by subsection 
7a7 %all cov] ! foll[+3 7#a7 ,rese>* &  
developm5t ne$s & transition pa?ways to 
advance expla9able & int]pretable       
artificial intellig5ce-enabl$ milit>y   
applications1 includ+ ! capability to   
assess ! und]ly+ algori?ms & data models
 ( su* applications4  7#b7 ,assess+ !   
pot5tial risks to ! privacy1 security1 &
 accuracy ( und]ly+ ar*itectures &      
algori?ms ( artificial                  
intellig5ce-enabl$ milit>y applications1
 includ+ ! foll[+3 7,a7 ,individual     
f\ndational artificial intellig5ce      
models1 includ+ ! adequacy ( exi/+ te/+1
 tra9+1 & audit+ = su* models to ensure 
models c be prop]ly assess$ ov] "t4     
7,b7 ,! int]actions ( multiple          
artificial intellig5ce-enabl$ milit>y   
applications1 & ! ability to detect &   

assess new1 complex1 & em]g5t behavior  
among/ individual ag5ts1 z well z !     
collective impact1 includ+ h[ su* *anges
 may affect risk to privacy1 security1 &
 accuracy ov] "t4  7,c7 ,! impact (     
increas$ ag5cy 9 artificial             
intellig5ce-enabl$ milit>y applications 
& h[ su* increas$ ag5cy may affect !    
ability to detect & assess new1 complex1
 & em]g5t behavior1 z well risks to !   
privacy1 security1 & accuracy ( su*     
applications ov] "t4  7#c7 ,assess+ !   
survivability & traceability ( decision 
support sy/ems t are integrat$ )        
artificial intellig5ce-enabl$ milit>y   
applications & us$ 9 a conte/$          
environm5t1 includ+-- 7,a7 pot5tial     
b5efits & risks to ,dep>tm5t ( ,def5se  
missions & op]ations ( implem5t+ su*    
applications2 &  7,b7 o!r te*nical or   
op]ational con/ra9ts to ensure su*      
decision support sy/ems t are integrat$ 
) artificial intellig5ce-enabl$ milit>y 
applications are able to adh]e to !     
,dep>tm5t ( ,def5se ,e?ical ,pr9ciples =

 ,artificial ,intellig5ce4  7#d7        
,id5tification ( exi/+ artificial       
intellig5ce metrics1 developm5tal1 te/+ 
& audit capabilities1 p]sonnel1 &       
infra/ructure )9 ! ,dep>tm5t ( ,def5se1 
includ+ te/ & evaluation facilities1    
ne$$ to enable ongo+ id5tification &    
assessm5t "u p>agraphs 7#a7 ?r\gh 7#c71 
& o!r factors su* z-- 7,a7 implications 
= det]r5ce sy/ems bas$ on sy/ems w>f>e2 
&  7,b7 vuln]ability to sy/ems          
confrontation on ! sy/em &              
sy/em-(-sy/ems level4  7#e7             
,id5tification ( gaps or rese>* ne$s to 
suffici5tly respond to ! elem5ts outl9$ 
9 ?is subsection t are n curr5tly1 or n 
suffici5tly1 fund$ )9 ! ,dep>tm5t (     
,def5se4  7c7 ,coord9ation ,9 c>ry+ out 
! /udy requir$ by subsection 7a71 !     
,*ief ,digital & ,artificial            
,intellig5ce ,(fic] %all coord9ate ) !  
foll[+3 7#a7 ,! ,director ( ! ,def5se   
,advanc$ ,rese>* ,projects ,ag5cy       
7,,d>pa74  7#b7 ,! ,"u ,secret>y (      
,def5se = ,rese>* & ,evaluation4  7#c7  

,! ,"u ,secret>y ( ,def5se = ,policy4   
7#d7 ,! ,director = ,op]ational ,te/ &  
,evaluation 7,,dot,e7 ( ! ,dep>tm5t4    
7#e7 ,z ! ,*ief ,digital & ,artificial  
,intellig5ce ,(fic] consid]s            
appropriate1 ! foll[+3 7,a7 ,! ,secret>y
 ( ,en]gy4  7,b7 ,! ,director ( !       
,national ,in/itute ( ,/&>ds &          
,te*nology4  7,c7 ,! ,director ( !      
,national ,sci5ce ,f\ndation4  7,d7 ,!  
head ( ! ,national ,artificial          
,intellig5ce ,initiative ,(fice ( !     
,(fice ( ,sci5ce & ,te*nology ,policy4  
7,e7 ,memb]s & repres5tatives ( indu/ry4
  7,f7 ,memb]s & repres5tatives (       
academia4  7d7 ,int]im brief+ ,n lat]   
?an #ahj days aft] ! date ( ! enactm5t (
 ?is ,act1 ! ,*ief ,digital &           
,artificial ,intellig5ce ,(fic] %all    
provide ! congressional def5se          
committees a brief+ on ! int]im f9d+s ( 
! ,*ief ,digital & ,artificial          
,intellig5ce ,(fic] ) respect to ! /udy 
be+ conduct$ pursuant to subsection 7a74
  7e7 ,f9al report  7#a7 ,9 g5]al ,n    

lat] ?an "o ye> aft] ! date ( ! enactm5t
 ( ?is ,act1 ! ,*ief ,digital &         
,artificial ,intellig5ce ,(fic] %all    
submit to ! congressional def5se        
committees a f9al report on ! f9d+s ( ! 
,*ief ,digital & ,artificial            
,intellig5ce ,(fic] ) respect to ! /udy 
conduct$ pursuant to subsection 7a74    
7#b7 ,=m ,! f9al report submitt$        
pursuant to p>agraph 7#a7 %all be       
submitt$ 9 unclassifi$ =1 b may include 
a classifi$ annex4  #f4 ,report on data 
%>+ & coord9ation  7a7 ,9 g5]al ,n lat] 
?an #ahj days aft] ! date ( ! enactm5t (
 ?is ,act1 ! ,secret>y ( ,def5se %all   
submit to ! congressional def5se        
committees a report on ways to improve  
data %>+1 int]op]ability1 & quality1 z  
may be appropriate1 across ! ,dep>tm5t (
 ,def5se4  7b7 ,cont5ts ,! report       
submitt$ pursuant to subsection 7a7 %all
 include ! foll[+3 7#a7 ,a description (
 policies1 practices1 & cultural b>ri]s 
t imp$e data %>+ & int]op]ability1 &    
lead to data quality issues1 among      

compon5ts ( ! ,dep>tm5t4  7#b7 ,! impact
 a lack ( appropriate levels ( data %>+1
 int]op]ability1 & quality has on       
,dep>tm5tal collaboration1 effici5cy1   
int]op]ability1 & jo9t-decisionmak+4    
7#c7 ,a review ( curr5t ef=ts to promote
 appropriate data %>+1 includ+ to       
c5tralize data managem5t1 su* z !       
,,avana program4  7#d7 ,a description ( 
ne>-1 mid-1 & long-t]m ef=ts t ! ,(fice 
( ! ,secret>y ( ,def5se plans to        
implem5t to promote data %>+ &          
int]op]ability1 includ+ ef=ts to improve
 data quality4  7#e7 ,a detail$ plan to 
implem5t a data %>+ & int]op]ability    
/rategy t supports effective developm5t 
& employm5t ( artificial                
intellig5ce-enabl$ milit>y applications4
  7#f7 ,a detail$ assessm5t ( !         
implem5tation ( ! ,dep>tm5t ( ,def5se   
,data ,/rategy issu$ 9 #bjbj1 z well z !
 use ( data decrees to improve managem5t
 rigor 9 ! ,dep>tm5t :5 x comes to data 
%>+ & int]op]ability4  7#g7 ,any        
recomm5dations = ,congress ) respect to 

assi/+ ! ,dep>tm5t 9 ^! ef=ts4