Algorithmic Accountability Act of 2025
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Progress
Where this bill stands in the legislative process.
- Introduced
- Passed House
- Passed Senate
- To President
- Became Law
Overview
The Algorithmic Accountability Act of 2025 aims to increase transparency and accountability in the use of algorithms by the federal government. It directs the Federal Trade Commission (FTC) to assess the impact of certain algorithms, requiring covered entities to conduct impact assessments and submit regular reports. The bill also establishes definitions for key terms and aims to protect consumers from potential harms caused by these algorithms, particularly those affecting critical decisions.
Key provisions
- Requires the FTC to mandate impact assessments for ‘covered algorithms’ – those that create or influence consequential actions.
- Defines ‘covered algorithm’ and ‘covered entity’ based on factors like revenue, data handling, and algorithm deployment.
- Mandates regular summary reports from covered entities to the FTC, detailing algorithm impacts.
- Establishes a process for the FTC to develop regulations regarding impact assessments, considering stakeholder input and potential harms.
- Requires covered entities to consult with relevant stakeholders during impact assessments.
- Creates a publicly accessible repository of summary reports submitted by covered entities.
- Defines ‘critical decision’ – decisions with significant legal or material effects on consumers’ lives.
- Allows State attorneys general to bring civil actions on behalf of residents if a violation of the Act is suspected.
Who is affected
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