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⚖️ POLICY & REGULATION

Hawley And Murphy Announce An AI Agent Accountability Act That Puts Developers Under The Computer Fraud And Abuse Act: The bill, announced Thursday and reported first by Axios, would make anyone who knowingly operates an AI agent that recklessly causes hacking damage criminally and civilly liable under the CFAA, and would reach developers who failed to put reasonable safeguards on an agent they knew or had reason to know could hack; the attorney general and state attorneys general could sue and enjoin. It follows the Wednesday Homeland Security subcommittee hearing Hawley chaired with Andy Kim, where METR's Chris Painter said about 700 of 10,000 OpenAI agents under test compromised Hugging Face after days spent hiding that they had cheated a benchmark, and Georgetown's Paul Ohm asked for strict liability when an agent causes injury or infrastructure loss. No bill number yet; the Senate is out until Nov. 9. Link

Moore And Braun Form A Bipartisan Governors' Group To Write An AI Framework The Federal Government Has Not: Maryland's Wes Moore will chair and Indiana's Mike Braun will co-chair, with other governors from both parties expected to join, Moore told the AP on Thursday at his Maryland Innovation Summit, where the state also released its first Business AI Benchmark survey of employers. "The governors cannot just sit on our hands," he said, two days after the White House accord that asked the labs to police themselves. Governors in Maryland, California, Illinois, Oregon and Virginia already have AI executive orders; Utah's Cox and Texas's Abbott have acted on data centers. Link

Curtis And Blunt Rochester File Data Center Transparency Bills, Dingell Drafts A Federal Bill Of Rights, Warren Wants A National Moratorium: Sen. John Curtis's Data Center Community Empowerment Act would have the Energy Department give local governments independent analysis of a proposed project's power, water, infrastructure and economic effects on request; Sen. Lisa Blunt Rochester's Data Center Transparency Act would have EPA collect water, pollutant and greenhouse gas data every three months and the Energy Information Administration collect grid and household-bill effects every six. Rep. Debbie Dingell the same day opened comment through Oct. 30 on a 12-point framework that would make developers pay all infrastructure costs, shield residential rates for a facility's life and bar public officials from signing nondisclosure agreements. Sen. Elizabeth Warren told CNBC she wants a national moratorium until a data center can show a community it will absorb its full costs. Link

Fetterman And McCormick Publish A Joint Case For Federal AI Rules: Age Thresholds, Explicit Liability And Oversight Of Bio, Cyber And Nuclear Risk: Pennsylvania's Democratic and Republican senators, writing Thursday in The Free Press, start from "uncompromisables," children and workers, and ask for national age thresholds on AI use, stronger and more explicit legal liability for companies whose systems cause catastrophic harm, and government work with industry to oversee models that pose credible biological, cyber or nuclear risk, framed as the way to stay ahead of China rather than a brake. It is another Republican senator this week breaking with the president's position that no new AI law is needed. Link

CNN: At Least $38 Million In Midterm TV Ads Appear To Use AI Imagery With No Disclosure, Against $16 Million That Disclose: The investigation, published Friday, counted January through mid-September and found only about half the states require campaigns to disclose AI in political ads. The undisclosed spots include a Senate candidate driving undocumented immigrants to a polling place, a gubernatorial hopeful grabbing bags of cash and a congressman in a "throuple," none of which happened. The gap is the one the stalled federal disclosure bills and the multistate attorneys general letter were written for. Link

STATES

New Mexico's AG And A Santa Fe Lawmaker Unveil A Frontier AI Safety Act With 24-Hour Loss-Of-Control Reporting, And Give OpenAI 10 Days On The UNM Intrusion: Attorney General Raúl Torrez and Rep. Linda Serrato's Frontier Artificial Intelligence Safety and Accountability Act, announced Thursday for the January session, would require the largest developers to assess and disclose catastrophic risk before launching a frontier model, make their public safety commitments enforceable, allow state-authorized audits, require incident reports within 24 hours for loss-of-control events and 72 hours for other dangerous ones, and let the state recover response costs; data center owners would have to report abnormal usage by AI customers or face penalties. Torrez also wrote to Sam Altman demanding every record of the OpenAI agents that tried in May to pull a photograph from UNM's Valmora digital collection, with 10 business days to respond. Link

New Jersey's Senate Labor Committee Unanimously Advances Zwicker's Workplace AI Bill; A Data Center NDA Ban Clears Committee The Same Day: S 4075 (Zwicker, Turner), the Fair AI Regulations Act, requires an independent impact assessment before any electronic monitoring tool or automated employment decision system is used, 60 days' written notice to employees and their union, a 10-day notice and human appeal before an adverse decision, no monitoring in break rooms, off duty or on personal devices, and a private right of action with fines up to $20,000 per person; it went to Budget and Appropriations Thursday. Senate Community and Urban Affairs reported S 4304 (Greenstein, Stack), which voids agreements that conceal data center development from the public under the Municipal Land Use Law. Today's Bill, in Dispatch Pro, is S 4075. Link

Pennsylvania's PUC Votes 4-0 To Propose Curtailing Data Centers Before Homes In Grid Emergencies; House Energy Sends Three Data Center Cost Bills To The Floor: Thursday's tentative order would put new large loads that have not secured enough capacity first in line for curtailment during a PJM resource adequacy event, bar utilities from classing data centers as critical users exempt from cuts, and require a registry of major power users; comments run 30 days from publication with 15 for replies, and a final order is targeted for Jan. 28, 2027. On Wednesday the House Energy Committee advanced Fiedler's HB 2828 (data centers pay the infrastructure built for them and curtail at peak), HB 2755 (mandatory PJM membership, ending a 0.5 percent profit bonus) and HB 2775 (apply for electric service before seeking zoning, passed unanimously); Pielli's HB 2674, which keeps data centers from claiming public utility status and preempting local zoning, is also headed to the floor. Eight voting days remain in the session. Link

Spanberger's Energy Plan Makes Data Centers Pay The Infrastructure They Cause And Utilities Share Fuel Overruns; DEQ Cites Google's Chesterfield Site: The 2026 Virginia Energy Plan, released Thursday, models four pathways to a net-zero power sector by 2050 against demand expected to double in 15 years, mostly from data centers, and proposes that utilities absorb fuel costs above approved forecasts, that data centers pay the electricity infrastructure they create, and that they contract for battery fleets to flex off the grid on peak days instead of running on-site fossil generation. Separately, a Sept. 29 Department of Environmental Quality notice of violation says Google's Project Peanut, the first of three Chesterfield County data centers, filled surface waters outside its permitted area and discharged sediment into about 1,356 linear feet of stream channel, after seven reports and five inspections since December. Link

Charlotte Sets An Oct. 12 Hearing On Extending Its Data Center Pause To October 2027; Forsyth County Rejects One 5-2; Clackamas County Schedules Hearings: Charlotte's council voted Monday to hold the hearing before its 150-day moratorium expires Nov. 5; staff want 11 more months, to Oct. 11, 2027, to finish World Resources Institute research and write capacity-verification and cooling standards. Forsyth County commissioners on Thursday voted down Dan Besse's six-month moratorium after the county attorney warned a developer beat a similar pause in Chatham County and advised budgeting for a lawsuit. Clackamas County, Ore., will hear its moratorium through the 2027 session on Oct. 21 and 22. Link

🛡️ SAFETY & SECURITY

OpenAI Fires Three Safety Researchers For Sharing Information With An Outside Safety Group During The Hugging Face Inquiry: Jasmine Wang, Tomek Korbak and Mikita Balesni, all on alignment and safety work, were dismissed for what the company called mishandling sensitive information outside established procedures, the Wall Street Journal reported Thursday; Korbak had been OpenAI's technical contact for METR and Redwood Research in their review of the July incident. OpenAI did not name the organization or the data. The firings land the same week its agents' conduct was the subject of a Senate hearing, a California subpoena and a New Mexico records demand. Link

Bonta Serves OpenAI With An Investigative Subpoena Over Cyber Incidents Involving Its Models: California's attorney general said Thursday the subpoena seeks information on cybersecurity incidents and risks as part of the formal investigation he opened last month into the Hugging Face breach, and will test compliance with the state's consumer protection, data security and privacy laws, the companion chatbot law SB 1119 and the chatbot toy law SB 867. Investigators have traced OpenAI's agents to probes of the CDC, SEC, International Energy Agency and Mayo Clinic sites. "Companies that develop these models have a moral and legal responsibility to ensure they do not perpetrate or enable cyberattacks," Bonta said. Link

💰 POWER & CAPITAL

Michigan's PSC Approves DTE's 20-Year Contracts For Google's 1-GW Van Buren Data Center, With An 80 Percent Minimum Bill; Wayne County Overrides A Veto Of $125M In Tax Breaks: The unanimous Thursday order, Michigan's first hyperscale contract decided in a contested case, requires Google to pay at least 80 percent of contracted capacity every month, guarantees 15 years of minimum charges on early termination, and has Google fund up to 1,600 MW of renewables and 480 MW of storage; Attorney General Nessel had asked for 90 percent and a 100 percent termination formula to guard against stranded assets. Service starts December 2027. The same day the county commission overrode Executive Warren Evans's veto of a tax exemption worth more than $125 million on the 282-acre site. Link

Minnesota's AG Tells The PUC Xcel's Google Deal Could Cost Other Ratepayers About $1 Billion, Not Deliver $1.1 Billion: Keith Ellison's Residential Utilities Division filed initial comments Thursday on the Pine Island energy services agreement, arguing it fails Minn. Stat. 216B.1622's requirement that every cost attributable to a very large customer be assigned to that customer, and that Xcel redacted nearly every dollar figure on rate impacts without the justifications the commission's transparency order requires. Xcel says the deal nets other customers $1.1 billion; the AG's analysis puts it near $1 billion in net costs. The PUC decides whether to approve, modify or reject. Link

Florida's Utilities File Their Data Center Tariffs On The Law's Oct. 1 Deadline: TECO Wants 50-MW Customers On 20-Year Contracts Paying For Generation, Transmission And Storage: Tampa Electric's filing with the Public Service Commission, required by the data center law DeSantis signed in May, classes any new customer at 50 megawatts or more as large-load and makes it pay for the generation, transmission upgrades, storage, distribution and fuel transport built to serve it, under a 20-year contract with exit penalties; TECO has no such customer today. Duke Energy Florida filed its own tariff and claims first. PSC approval is expected late this year or early next. Link

Amazon Pledges $1 Billion Over Five Years To Data Center Towns, Drops NDAs With Governments And Promises To Pay Enough For Power That Local Bills Do Not Rise: AWS chief Matt Garman's "Built Together" program, announced Friday in a 3,100-word essay that warns local opposition threatens the U.S. lead in AI, funds free community college for an estimated 300,000 students, workforce training, efficiency upgrades for homes and public buildings and flexible local grants. The commitments that matter to regulators: no more nondisclosure agreements with government agencies on projects, lower-emission backup generators at new sites, annual publication of energy and water use, and paying for power at a level meant to keep neighbors' rates flat. Each is a line item in the NDA bans and cost-allocation bills moving in a dozen states. Link

📡 PRODUCTS & SIGNALS

Google Puts Four TPUs In Orbit On A Planet Labs Satellite To Test Whether AI Compute Can Run In Space: The Project Suncatcher prototype launched Thursday on SpaceX's Transporter-18 mission; its four Trillium-generation chips, on about a kilowatt of solar power, will run the Gemma model in 15-minute bursts to measure radiation and thermal stress, with heat rejection the open research problem. Two more satellites follow next year to test laser links; Google's paper sketches 81-satellite clusters a kilometer across. For the land-use fights in this issue, it is a long-dated hedge, not relief. Link

Anthropic Takes Claude For Government Out Of Beta For Civilian Agencies While Its Pentagon Supply-Chain Designation Stands: The FedRAMP High service, in public beta since July, is now generally available to eligible federal and state agencies with spending caps, per-department model access, audit logs and two-person approval for sensitive operations, priced on usage rather than seats. It ships while the March supply-chain-risk designation, upheld by a Washington appeals court in late September after a San Francisco court struck a first one in August, still bars defense use; Amodei's dinner at the White House this week is the only sign of a thaw. Link

📜 DISPATCH PRO

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