- Utah is developing AI regulations to address concerns.
- The state emphasizes transparency and safety, with penalties for non-compliance in AI use.
- Utah's AI initiatives include a pilot program for AI in medical prescriptions, ensuring human oversight.
Editor's note: This is the second of three stories in a series that examines Utah's approach to artificial intelligence and its ongoing governance.
SALT LAKE CITY — If you want to understand why Utah — traditionally a state that shies away from overregulation — is suddenly the national architect of artificial intelligence policy, you have to look at the lawsuits sitting on Margaret Woolley Busse's desk.
As executive director of the Utah Department of Commerce, Busse has been on a four-year "social media journey," leading the charge against tech giants like TikTok, Meta and Snap. But for Busse, those legal battles aren't just about the past; they are a cautionary tale for the future.
"We haven't really solved the social media problem, and now we have this," Busse says, referring to the explosion of generative AI. "We are seeing the same business models — collecting data, using it to monetize — that made social media bad. We decided we weren't going to let that happen again."
The 'political crisis' of trust
Busse described AI as facing a "political crisis." While Silicon Valley is focused on velocity, the public is increasingly anxious. Recent tragedies involving AI "companions" and teen self-harm have shifted the needle; for many families, the excitement of a smarter world has been replaced by the fear of an extractive one.
"Anxiety has actually overcome excitement in terms of how Americans view AI," Busse noted. "If we don't have trust in the technology, there's going to be a massive backlash. We have to do it in a way that builds trust."
Legislative 'teeth'
Utah's AI strategy operates on two distinct tracks. The state's Pro-Human AI Initiative is advancing research-led protections for Utahns through HB276 (Deepfakes) and HB438 (AI Companions).
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Parallel to these efforts, lawmakers are considering the independent HB286 (Artificial Intelligence Transparency Act). Spearheaded by Rep. Doug Fiefia, R-Herriman, this bill focuses on global "frontier" models, requiring them to publish child protection plans and provide whistleblower protections, with civil penalties of up to $3 million for non-compliance.
Innovation under watch
Unlike the broad mandates of HB286, companies in the state's Learning Lab operate under specific Regulatory Mitigation Agreements (RMAs). These tailored contracts allow the Office of AI Policy to grant temporary relief to innovators like Doctronic, the first state-approved program allowing AI to participate in medical decision-making for prescription renewals.
The Doctronic pilot is a prime example of Utah's 'third way' — it isn't about legalities or red tape, but about creating a supervised environment where innovation can thrive safely. The state maintains the power to revoke an RMA immediately if safety benchmarks are missed, ensuring that regulatory flexibility is earned through constant transparency.
While the idea of a "bot" signing off on heart medication might cause a double-take, Busse argues it's actually safer than the status quo. "This would probably be more thorough than what (physicians) do ... it asks questions a doctor often doesn't," she explained.
The guardrails, however, are absolute: The AI cannot handle controlled substances such as opioids, and it operates under a strict "phased review." A human doctor must manually validate every single prescription for the first 250 patients in the pilot before the system moves to the next level of autonomy. It is automation designed to support the doctor, not replace the doctor.
The human-enhancing future
Busse's ultimate goal for AI is to be a "human-enhancing" technology — tools that solve cancer rather than "parking us on a couch," she said. This includes a push into the classroom to ensure technology serves as a "human-in-the-loop" tutor for students and an aide for teachers, rather than a replacement for mentorship.
As Utah leads the national conversation, Busse's message to the industry is clear: In the Beehive State, quality and safety aren't hurdles to innovation — they are the only way to ensure innovation survives the public's growing skepticism.
The final installment of this three-part series will examine the Lehi-based SchoolAI system of using AI in the classroom.
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Correction: Margaret Busse was misquoted in a previous version; additional clarification was added to distinguish between executive and legislative functions related to AI.












