AL HB524

All Alabama state agencies must complete an initial AI-assisted review of all rules and guidance documents by April 1, 2027, followed by quarterly reviews thereafter—expanding beyond agencies currently subject to the Administrative Procedure Act's five-year review requirement.

Agencies must acquire or develop "agentic artificial intelligence" systems to analyze whether rules are mandated or discretionary, identify conflicts or duplications, compare requirements to neighboring states, assess plain language compliance, and conduct cost-benefit analyses.

Human oversight is mandatory: agency staff with subject matter expertise and legal experience must verify AI analyses, assess recommendations, and approve any rule changes—no rule may be amended or repealed based solely on AI analysis.

Agencies must eliminate conflicting, duplicative, or unnecessarily burdensome rules identified through reviews, and must document justifications when retaining provisions the AI flagged as burdensome.

Annual reports due by September 1 must be published on agency websites, detailing the number of rules reviewed and modified, accepted and rejected AI recommendations, and estimated cost savings to regulated parties.