Georgia CommonsHouse · Engrossed · 2025-2026 Regular Session
HB 147: Georgia Technology Authority; annual inventory of artificial intelligence usage by state agencies; provide
Last action March 18, 2026 · Senate Committee Favorably Reported By Substitute
A Georgia House bill would bar state and local governments from signing software contracts that restrict which computers they can run the software on, and would require the Georgia Technology Authority to inventory and report on artificial intelligence used by state agencies each year.
The summaries below were written by an AI model (claude-sonnet-5) from the text of the bill and are not part of it. Quote the text, not the summary. The stored text is the Comm Sub version, the latest the General Assembly's website lists.
In plain language
This bill makes two separate changes to Georgia law. First, it adds a new rule to the state purchasing code (O.C.G.A. § 50-5-86) saying that when a governmental entity, which includes state agencies, counties, cities, school systems, and other political subdivisions, buys a license for software meant to run on ordinary desktop or server computers, the contract cannot limit which hardware the entity chooses to install or run that software on. Second, it fills in a previously reserved section of the Georgia Technology Authority's chapter of law (O.C.G.A. § 50-25-7.9) to address artificial intelligence. By December 31, 2026, and every year after, the authority must inventory all AI systems that state agencies use to inform decisions, noting the system's name, vendor, capabilities, and whether it went through an impact assessment. By December 31, 2027, the authority must also create policies covering how agencies develop, buy, and use AI systems. The authority must send an annual report on the inventory to the Governor, Lieutenant Governor, and legislature. The law would take effect as soon as the Governor signs it, and the software contract rule would apply to contracts entered into or renewed after that date.
What the bill does
- Prohibits governmental entities from signing software licensing contracts that restrict which desktop or server hardware they can install or run the software on.
- Defines 'governmental entity' broadly to include state agencies, counties, cities, school systems, and other political subdivisions for purposes of this restriction.
- Requires the Georgia Technology Authority to conduct an annual inventory, starting by December 31, 2026, of AI systems used by state agencies to inform decisions.
- Requires the inventory to record each AI system's name, vendor, general capabilities, and whether it underwent an impact assessment before being put into use.
- Requires the authority to develop AI policies and procedures for state agencies by December 31, 2027, and to send agencies' cooperation obligations into law.
- Requires an annual public report on the AI inventory to be sent electronically to the Governor, Lieutenant Governor, and the General Assembly.
Who it affects
State agencies, counties, municipalities, school systems, and other political subdivisions that buy software licenses or use AI systems; the Department of Administrative Services and the Georgia Technology Authority, which administer these rules; and software vendors that contract with Georgia governmental entities.
Why it matters
Governments would gain more flexibility to run purchased software on the hardware of their choosing rather than being locked into a vendor's preferred equipment. The AI inventory and reporting requirement would create the first public, statewide record of which AI tools Georgia agencies use to make decisions and whether those tools were assessed for risk.
Key provisions
- Section 1 adds new Code Section 50-5-86 barring software licensing contracts from restricting the hardware a governmental entity can use, and defines 'governmental entity' broadly.
- Section 2 fills in Code Section 50-25-7.9 (previously reserved) with a definition of 'artificial intelligence' as a machine-based system that makes predictions, recommendations, or decisions from human-defined objectives.
- Section 2 requires the Georgia Technology Authority to complete its first AI inventory by December 31, 2026 and annually thereafter, covering system name, vendor, capabilities, and impact assessment status.
- Section 2 requires the authority to establish AI development and procurement policies for agencies by December 31, 2027.
- Section 2 requires an annual electronic report on the AI inventory to the Governor, Lieutenant Governor, and General Assembly, and requires agencies to cooperate with the authority.
- Section 3 makes the Act effective upon the Governor's signature and applies the software contract rule to contracts and renewals entered into on or after that date.
- Section 4 repeals conflicting laws.
From the bill
“A contract procured by a governmental entity for the licensing of software applications designed to run on generally available desktop or server hardware shall not limit such governmental entity's ability to install or run such software applications on the desktop or server hardware of such governmental entity's choosing.”
“Not later than December 31, 2026, and annually thereafter, conduct an inventory of all systems that employ artificial intelligence which are used to inform or materially support a conclusion, decision, or judgment made by any agency.”
“The authority shall prepare an annual report on the inventory of artificial intelligence in use by agencies, as provided for in paragraph (1) of subsection (b) of this Code section.”
Discussed in meetings (5)
The House and Senate meetings that took this bill up, from their machine transcripts. Each account was written by Georgia Commons with AI and is not part of the record; the video is what was said.
Senate Science and Technology Committee, March 17, 2026
From 0:19:26 · Watch on the General Assembly's Vimeo channel
Summary by Georgia Commons: The chair explained that the substitute would narrow the AI inventory from all agency AI systems to those informing or materially supporting agency conclusions, decisions or judgments. Responding to a member’s questions about what changed, the chair said the aim was to capture primary decision-support systems rather than everyday tools embedded in desktop applications or searches. The sponsor supported the change, saying it preserved the original intent of understanding AI’s effects on residents. A Georgia Technology Authority representative said agencies already must report proposed AI uses and obtain approval before implementation under policies established in 2023. The representative said the narrower inventory would simplify reporting on consequential tools, while remaining neutral on the software licensing provisions. A Coalition for Fair Software Licensing witness said those provisions would prevent contracts from restricting where agencies run purchased software, allowing separate choices of software and cloud providers. The witness argued that vendor restrictions increase costs, limit competition and weaken cybersecurity resilience, and said six states had passed similar legislation. The chair supported allowing vendors to compete without restrictive agreements. No amendments were offered. The committee approved the substitute by voice vote, with no opposition heard.
Senate Rules Committee, March 20, 2026
From 0:27:30 · Watch on the General Assembly's Vimeo channel
Summary by Georgia Commons: The sponsor said the bill would restrict Georgia government entities from signing software contracts that limit where software can be installed or run, describing those terms as hardware lock-in clauses. The sponsor also said it would require audits of artificial intelligence systems used in state government decision-making. No substantive questions or calendar decision followed.
Senate Rules Committee, March 23, 2026
From 0:09:24 · Watch on the General Assembly's Vimeo channel
Summary by Georgia Commons: The chair initially identified HB 147 as an artificial intelligence inventory measure. Later, the senator presenting it said it would inventory AI systems supporting key state government decisions. The senator also said a software purchasing provision would prevent large systems from blocking the use of other software, addressing anti-competitive practices. No substantive questions or vote followed.
Senate Rules Committee, March 30, 2026
From 2:35:34 · Watch on the General Assembly's Vimeo channel
Summary by Georgia Commons: A member nominated HB 147 for the final calendar slot, saying it would examine artificial intelligence use by state agencies. The member argued that the issue would affect all 11.2 million Georgia residents, and the chair later described the measure as tracking agency AI use. It received support in the informal vote but was not selected for the final calendar.
Status timeline
- Senate Committee Favorably Reported By Substitute (Senate)
- Senate Recommitted (Senate)
- Senate Read Second Time (Senate)
- Senate Committee Favorably Reported By Substitute (Senate)
- Senate Withdrawn & Recommitted (Senate)
- Senate Read and Referred (Senate)
- House Passed/Adopted (House)
- House Third Readers (House)
Show full history (12 actions)
- House Committee Favorably Reported (House)
- House Second Readers (House)
- House First Readers (House)
- House Hopper (House)
Sponsors
- Brad Thomas (R, HD-21)
- Todd Jones (R, HD-25)
- Clint Crowe (R, HD-118)
- Joseph Gullett (R, HD-19)
- Rob Clifton (R, HD-131)
- Don Parsons (R, HD-44)
- Ed Setzler (R, SD-37)
Votes
- House voteFebruary 20, 2025
172 yea, 0 nay (3 not voting, 5 excused)
Topics
- artificial intelligence
- state government technology
- software contracts
- government transparency
- IT procurement