NebraskaAI regulation

Regulation Status

• Nebraska regulates AI through targeted statutes rather than a comprehensive AI act. Its baseline consumer-privacy framework, the Nebraska Data Privacy Act (LB 1074), gives consumers the right to opt out of profiling based on solely automated processing of personal data to evaluate, analyze, or predict personal aspects in furtherance of decisions that produce legal or similarly significant effects, and requires data protection assessments for such processing in certain circumstances, with civil penalties up to $7,500 per violation.
• Nebraska amended its child sexual abuse material laws through LB 383 to include computer-generated obscene images depicting a child, a person who would appear to a reasonable person to be a child, or a person depicted with physical features of a child, subject to existing criminal and civil penalties.
• Nebraska’s Conversational Artificial Intelligence Safety Act (LB 525) regulates public-facing AI systems that primarily simulate human conversation through textual, visual, or aural communications. It requires disclosure where users could be misled into believing they are interacting with a human, suicide and self-harm response protocols, restrictions on claims of professional mental or behavioral health care, and additional safeguards for minors.
• LB 525’s minor-user safeguards include recurring AI-interaction disclosures at least every three hours, restrictions on unpredictable-interval rewards intended to increase engagement, measures addressing sexually explicit or objectifying content, measures to prevent the service from appearing human, and privacy and account-management tools. Enforcement penalties are at least $1,000 per violation and no more than $500,000 per operator.
• Executive and agency developments: Executive Order 26-17: Data-center incentives and resource review: Directs state administration of economic-development incentives for resource-intensive projects, including data centers. Stops approval of data-center applications under the ImagiNE Nebraska Act and requires coordinated review and a task force addressing natural-resource protection. It does not impose a general ban on data-center construction.