Newsom signs legislation establishing framework for third party AI auditors

California Gov. Gavin Newsom signed two new bills this week creating a framework for independent third-party audits of artificial intelligence systems.

The legislation, signed Wednesday, establishes a system for evaluating AI models for compliance with state law. The regulatory effort comes as the emerging technology becomes more deeply embedded in government services, critical infrastructure and other sectors.

SB 813 creates a framework for independent verification organizations that can assess AI systems and models, while AB 1405 establishes a state registry for AI auditors and sets standards for their independence, transparency and integrity, according to Newsom’s office.

“The concerns raised in recent incidents reinforce what California has long recognized: artificial intelligence holds extraordinary promise, but it must be developed and deployed with meaningful safeguards to protect the public,” Newsom said in a statement.

The laws add another layer to California’s increasingly expansive approach to AI regulation, including requirements for frontier AI developers to disclose safety practices and report certain incidents, as well as rules governing AI-generated content and automated decision-making.

The legislation also follows Illinois’ recent push to place strict transparency, safety, and compliance rules on large developers of advanced AI systems. In July, Illinois Gov. JB Pritzker signed the Artificial Intelligence Safety Measures Act, which mandates annual independent third-party audits for major frontier AI developers.

“As AI systems become more powerful and the federal government is unwilling to step in, states have a responsibility to protect our people from the dangers of AI while still harnessing the unique potential of the technology,” Pritzker said in a statement about the law.

California’s new audit requirements come as the state is also rapidly expanding its use of AI in government.

The state recently launched AskCA, an AI-powered assistant designed to help residents navigate government services, while agencies have gained access to Anthropic’s Claude tools and state employees have been testing the internally developed Poppy assistant. It’s also moved to strengthen oversight of AI vendors seeking state contracts in recent months, requiring them to address risks including bias, civil rights violations and harmful content.

In the announcement, Newsom also said the pace and potential consequences of AI technology require a national response and called on the federal government to pass nationwide regulations while still allowing responsible innovation.

“California has taken nation-leading action to advance AI safety, transparency, accountability, and responsible innovation, but the scale and potential consequences of this technology demand sustained action from every level of government,” he said in a statement. “The federal government must step forward with robust, national regulations that match the urgency of this moment.”