The House Communications subcommittee voted to report HB 713 as amended, a bill from Delegate Thomas that defines developer and deployer liability for artificial intelligence, establishes a special treasury fund for enforcement, and narrows the definition of base AI models to those publicly available in the Commonwealth for commercial use.

The committee reported HB 713 as amended — dubbed the FAIR Act — which would require disclosure by base AI model developers, create a Fair AI Enforcement Fund for enforcement of AI misuse/bias/workforce disruption, and delay the bill’s effective date to July 1, 2027; the committee referred the amended bill to appropriations.

A batch of AI- and technology-related measures were moved by the House committee: HB 310 (agency workforce AI reporting) was reported and referred to Appropriations 13–7; HB 797 (independent verification organizations) and HB 1186 (Board of Education AI guidance) were reported and referred; several forensic and AI bills were carried to 2027 and HB 1170 was laid on the table 21–1.

Chairman Hayes presented a substitute to HB 7 97 directing the Virginia Information Technology Agency (VITA) to authorize a voluntary marketplace of licensed independent verification organizations (IVOs) to evaluate AI products. Supporters called the model market‑driven and voluntary; industry groups warned of duplication and state‑to‑state fragmentation. The substitute was reported and referred to appropriations (recorded vote 6–2).

Lawmakers voted to refer a substitute creating voluntary Independent Verification Organizations (IVOs) to audit AI systems to Finance. Sponsors said the licensing would provide a ‘good‑housekeeping’ seal for AI products; opponents warned of multistate fragmentation and burdens for small developers.