New York Opens AI Safety Registration Portal With $3M Penalty Ceiling
New York opened its RAISE Act registration portal Tuesday. Frontier labs above $500M in revenue must register by January 1, 2027 or face fines up to $3 million.
By Grace Kim
4 min read

What's News
- New York opened its AI safety registration portal Tuesday; frontier labs must register by January 1, 2027.
- The RAISE Act applies to developers with over $500 million in annual revenue, with penalties up to $1 million per violation and $3 million for subsequent ones.
- Companies must report critical safety incidents within 72 hours, compared with 15 days under California's SB 53.
- Hochul launched the New York Center for AI Responsibility and Research at SUNY Binghamton, backed by $55 million in donations and capital.
- Illinois's SB 315, effective at the start of 2027, adds independent safety compliance audits on top of similar requirements.
New York opened its AI safety registration portal on Tuesday, and frontier developers like OpenAI and Anthropic now face a hard deadline of January 1, 2027 to sign up — or risk fines that climb to $3 million per violation.
The portal implements the RAISE Act, New York's safety and transparency law, which takes effect at the start of the year. The law targets what the state calls large frontier AI developers: companies with more than $500 million in annual revenue. For OpenAI, Anthropic and any rival above that line, the obligations come in three parts.
- Publish safety frameworks on their websites.
- Report critical safety incidents within 72 hours.
- Issue public model transparency reports.
A newly formed state body, the Office of Digital Innovation, Governance, Integrity, and Trust (DIGIT), will implement the act and oversee the large frontier labs. The stakes are explicit: penalties can reach $1 million for a single violation and $3 million for subsequent ones. The state can also bring enforcement actions against companies that fail to register through the portal, though a spokesperson declined to provide specifics on what those actions would look like.
In plain terms: New York has just given itself a regulator, a deadline and a fine schedule aimed directly at the biggest AI labs.
What did Governor Hochul say?
Governor Kathy Hochul did not soften her framing at Tuesday's press briefing. "Tech moguls tell us that their vision for AI is inevitable," she said. "They tell us get on board or get left behind …That any collateral damage is worth it as long as we win the race to the AI cliff."
She extended the argument to the regulatory model itself. "We're building a national model for smart, sensible AI regulation, a model that puts communities above corporations and people above powerful technology," Hochul said.
The rhetoric matches the enforcement structure. New York isn't asking labs for voluntary commitments; it's attaching dollar figures and reporting windows to them.
What is the new AI research center?
On the same day the portal opened, Hochul launched the New York Center for AI Responsibility and Research, based at State University of New York's Binghamton University.
The center has a defined mandate. It will independently evaluate the safety, security and operation of advanced AI systems, and it will work with DIGIT to review the safety frameworks that companies publish under the RAISE Act.
The funding is already in place. Hochul first announced the center in January, backed by $55 million in donations and capital.
That means New York now has both the enforcement arm and the technical bench to scrutinize what the labs submit.
What other AI laws has New York passed?
The RAISE Act sits on top of an expanding stack of New York AI legislation.
Last year, the state began enforcing a law governing AI companion operators. It requires them to regularly tell users they're talking to a bot, and to make reasonable efforts to detect suicidal ideation and self-harm.
In October, Hochul signed a separate chatbot safety law aimed at minors. It restricts deceptive human-like interactions, emotionally manipulative or sycophantic responses, and encouragement of behaviors like suicide or disordered eating. That law takes effect June 1, 2027.
So within roughly 18 months of each other, New York will run three distinct AI safety regimes: companion disclosure, minor protection and frontier-model oversight.
How does New York compare with California and Illinois?
New York is not alone in regulating frontier models, but its details diverge in ways labs will notice.
California's SB 53, which took effect in January, mandates that frontier AI labs have in place and publish safety frameworks, enact whistleblower protections, and report critical safety incidents within 15 days. New York's incident window is far tighter at 72 hours, and New York adds public model transparency reports on top.
Illinois's SB 315, which goes into effect at the start of 2027, carries similar requirements to both — and goes further by including independent safety compliance audits.
In short: at least three states now impose some version of frontier-lab safety reporting, and each adds its own layer.
What happens next?
The immediate milestone is procedural: companies above the $500 million revenue threshold must register through the new portal before January 1, 2027. After that, DIGIT's oversight and the Binghamton center's independent reviews kick in, with fines up to $1 million for a first violation and $3 million after that.
For OpenAI, Anthropic and other frontier labs, the calculation has changed — the question is no longer whether to publish safety frameworks in New York, but how fast, and at what cost for getting it wrong.
Original: nysenate.gov
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Market editor covering people, launches and day-to-day practice in entrepreneurship, startups and venture funding at Business Bearings.
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