The section specifies that the Act can be referred to as the "Promoting Responsible Evaluation and Procurement to Advance Readiness for Enterprise-wide Deployment for Artificial Intelligence Act" or simply the "PREPARED for AI Act".

The section provides definitions for terms related to artificial intelligence within the context of the Act, such as “adverse incident,” which refers to AI malfunctions resulting in harm or disruption, and “biometric data,” which involves data from individual characteristics like voice or DNA. It also explains roles like “developer” and “deployer,” describes what “procure or obtain” means in the context of acquiring AI technology, and outlines other key concepts like “risk” and “use case.”

The section outlines two main responsibilities: First, within one year of the law being passed, the Director must make sure that agencies follow the new rules. Second, within 180 days and then every year, the Director has to update Congress on how these rules are being followed and any related issues.

The section outlines requirements for U.S. government agencies when buying or using artificial intelligence. It specifies the need for risk assessments, expert consultations, and careful planning to address issues like data privacy and security. For high-risk cases, additional safety, quality, and data handling rules must be followed, and agencies have the authority to halt AI use if it poses unacceptable risks.

The bill establishes a Chief Artificial Intelligence Officers Council to help U.S. government agencies better manage and use artificial intelligence technologies. This council will coordinate AI practices across agencies, aid in risk management, share best practices, and consult on matters involving experts and other government levels. It also sets guidelines for incident reporting and provides the authority to form committees and utilize shared services for council operations.

The section requires agencies to responsibly use artificial intelligence by setting clear goals, ensuring adherence to trustworthy AI principles, and addressing risks such as bias and reliability. It mandates the establishment of roles like a Chief Artificial Intelligence Officer and an Artificial Intelligence Governance Board to oversee AI use, while ensuring the involvement of various agency officials.

Each agency must create a risk classification system for using artificial intelligence (AI) in their operations within a year of this bill's enactment. This system should categorize AI use cases into unacceptable, high, medium, and low risks based on criteria like mission impact, scale, and standards, with high-risk cases affecting legal rights, safety, or essential services, while any AI use deemed a clear threat to human safety or rights is classified as unacceptable.

The section outlines guidelines for U.S. government agencies in using artificial intelligence (AI), emphasizing risk assessment, documentation, and compliance. Agencies must evaluate AI risks, document processes, ensure ongoing monitoring, and provide security for information, with special rules for high-risk and exempted use cases, all to ensure AI use aligns with safety and rights, subject to waivers when necessary.

The section prohibits any government agency from using artificial intelligence for specific purposes, such as identifying emotions based on facial recognition, determining characteristics like race or beliefs from biometric data, scoring a person's trustworthiness based on their social behavior, or any other AI use deemed too risky by the agency's risk assessment system.

Agencies covered by the Chief Financial Officers Act of 1990 are encouraged to set up Procurement Innovation Labs to try new methods and share best practices for purchases, especially for trustworthy commercial technology like artificial intelligence. These labs should support agency staff in testing and improving procurement processes, ensure collaboration among different departments, and can be structured under the Chief Acquisition Officer or Senior Procurement Executive.

The section establishes a test program allowing government agencies to acquire commercial technology solutions through a multi-phase process. It includes specific phases to evaluate technology proposals, limits contracts to $25 million, requires guidelines and public notice through the Federal Acquisition Regulation (FAR), and sets a five-year time limit for the authority of the program.

The section outlines a pilot program that allows government agencies to conduct research and prototype projects. It includes guidelines on contracting procedures, competitive classification, and technology use, with an emphasis on small businesses and cost-sharing. The program has a funding limit of $10 million and will terminate five years after updated regulations are established.

The section outlines the process for improving how artificial intelligence is tested and evaluated within government agencies. It requires the submission of annual reports about challenges in AI testing, encourages collaboration across agencies to develop solutions, and mandates sharing information and updates with congressional committees; these requirements will expire in 10 years.

The section outlines changes to laws and guidelines for how federal agencies handle inventories of artificial intelligence (AI) use cases. It requires these agencies to disclose details about the sources of AI development and data, level of risk classification, and any use cases deemed "sensitive." It also mandates annual reports to Congress and sets up processes for oversight and trend analysis of AI use in government.

The first section of the act gives its short title, stating that it can be referred to as either the “Promoting Responsible Evaluation and Procurement to Advance Readiness for Enterprise-wide Deployment for Artificial Intelligence Act” or the abbreviated “PREPARED for AI Act”.

The text provides definitions for key terms used in the bill, such as "adverse outcome," "agency," "artificial intelligence," and others. These definitions clarify how the terms relate to artificial intelligence and its impact on individuals, property, and government operations.

The section outlines that the Director is responsible for ensuring the requirements of the Act are put into action, which may include issuing guidance. Additionally, the Director must update Congress about the progress and pertinent issues at least 180 days after the Act becomes law and then every year.

The section outlines how the U.S. government plans to update its rules for buying artificial intelligence (AI). It emphasizes ensuring safety, security, and privacy, especially for high-risk uses, by including specific requirements in contracts. It also highlights the importance of consulting experts from various fields when developing these requirements.

The bill establishes a Chief Artificial Intelligence Officers Council to coordinate and improve the use of artificial intelligence across federal agencies. The council's duties include sharing best practices, managing risks, improving service delivery, and reporting adverse outcomes, while also involving various stakeholders and regularly updating procedures and guidance to ensure effective implementation.

The bill requires agency heads to ensure the responsible use of artificial intelligence by developing policies, monitoring AI performance, and preventing bias and discrimination. They must appoint a Chief Artificial Intelligence Officer to manage AI use and establish an Artificial Intelligence Governance Board to oversee AI-related issues.

The bill section outlines requirements for U.S. government agencies on using artificial intelligence (AI), mandating risk assessment processes for high-risk AI applications that impact areas like civil rights and safety. It also requires agencies to document the AI data sources, ensure testing, train personnel, and have waivers for critical operations, aiming to protect public rights and safety while employing AI technologies.

This section prohibits any agency from using artificial intelligence to map facial features to emotions, make deductions about personal traits like race or beliefs from biometric data, or rate a person's trustworthiness or social standing based on their behavior or personal characteristics, especially if it leads to discrimination. An exception is made for determining age when investigating child sexual abuse.

Each identified agency may establish a Procurement Innovation Lab to experiment with new methods and share best practices in buying goods and services, especially in tech areas like AI. The lab's roles include supporting the workforce to explore new approaches, collaborating across departments, and helping teams adopt successful acquisition strategies, and it should be integrated with the agency's top procurement leaders.

The section establishes a program where government agencies can test and buy commercial technology through a multi-phase process, aiming to reduce risks and encourage competition. The program has specific phases for evaluating potential, detailing plans, and possibly implementing solutions, with a maximum contract limit of $25 million, and is set to end 5 years after related federal regulations are updated.

The section establishes a pilot program that allows federal agencies to conduct research and development projects, including prototype projects involving new technologies, with specific guidelines for contracting procedures. It emphasizes using small businesses, cost-sharing, and tailored intellectual property terms, with a cap of $10 million on contract amounts. The program is set to expire five years after the necessary regulatory changes are implemented.

The section outlines the responsibilities of various agencies and councils in developing tools and guidance for testing and evaluating artificial intelligence (AI). It requires agencies to report obstacles related to AI evaluation, encourages collaboration to address these challenges, mandates annual reporting to Congress, and includes a plan for identifying low-risk AI use cases, with these requirements ending 10 years after the Act's enactment.

The section outlines changes to laws and policies regarding how government agencies handle inventories of artificial intelligence (AI) use cases. It specifies requirements for disclosures about AI development, data sources, risk levels, and updates to inventories, as well as obligations for reporting to Congress and oversight by the Comptroller General to ensure proper classification and identify trends in AI use.