 | Fiscal Note5th Sub. H.B. 438 (Salmon) 2026 General Session Artificial Intelligence Amendments by Fiefia, Doug (Cullimore, Kirk A.) |  |
| Ongoing | One-time | Total | |
|---|---|---|---|
| Net GF/ITF/USF (rev.-exp.) | $(146,200) | $(41,600) | $(187,800) |
| Revenues | FY2026 | FY2027 | FY2028 |
| Dedicated Credits Revenue | $0 | $62,700 | $62,700 |
| Commerce Service Account | $0 | $146,200 | $146,200 |
| Commerce Service Account, One-time | $0 | $41,600 | $0 |
| General Fund | $0 | $(146,200) | $(146,200) |
| General Fund, One-time | $0 | $(41,600) | $0 |
| Consumer Protection Education & Training Fund | $0 | $5,000 | $5,000 |
| Total Revenues | $0 | $67,700 | $67,700 |
Enactment of this legislation could increase dedicated credits revenue to the Attorney General's Internal Service Fund by $62,700, ongoing beginning in FY 2027, paid by the Department of Commerce for enforcement of the bill's provisions. Enactment could also reduce revenue to the General Fund by $41,600 one-time in FY 2026 and $146,200 ongoing beginning in FY 2027, due to increased spending from the Commerce Service Account, as shown below. Spending from the Commerce Service Account reduces the year-end transfer to the General Fund. Enactment could increase revenue to the Consumer Protection Education and Training Fund by $5,000, ongoing beginning in FY 2027, as a result of fines.
| Expenditures | FY2026 | FY2027 | FY2028 |
| Dedicated Credits Revenue | $0 | $62,700 | $62,700 |
| Commerce Service Account | $0 | $146,200 | $146,200 |
| Commerce Service Account, One-time | $0 | $67,600 | $0 |
| Consumer Protection Education & Training Fund | $0 | $5,000 | $5,000 |
| Total Expenditures | $0 | $281,500 | $213,900 |
Enactment of this legislation could cost the Department of Commerce $67,600 one-time in FY 2027 from the Commerce Service Account, $83,500 ongoing beginning in FY 2027 from the Commerce Service Account, and $5,000 ongoing beginning in FY 2027 from the Consumer Protection Education and Training Fund, to investigate potential violations of the bill's provisions. Enactment could also cost the Department of Commerce $62,700 from the Commerce Service Account to pay Attorney General Internal Service Fund costs for enforcement of the bill's provisions, and could cost the Attorney General's Office $62,700 from Dedicated Credits collected from the Department of Commerce.
| FY2026 | FY2027 | FY2028 | |
| Net All Funds (rev-exp) | $0 | $(213,800) | $(146,200) |
Enactment of this legislation likely will not result in direct, measurable costs for local governments.
Businesses that violate the bill's provisions could pay additional fines of up to $2,500 per instance per day or $50,000 per violation of an administrative or court order. Assuming two fines of $2,500 each year, this bill could cost businesses $5,000 ongoing beginning in FY 2027.
Enactment of this legislation could result in a large increase in the regulatory burden for Utah residents or businesses.
This bill creates a new program or significantly expands an existing program.
For a list of questions lawmakers might ask to improve accountability for the proposed
program, please see:
https://budget.utah.gov/newprogram