Technology (Emerging Technology)

This Michigan bill establishes the Cryptocurrency Exchange Kiosk Regulation Act to oversee physical terminals where users can swap government currency for digital assets. It directly affects businesses operating these kiosks by mandating that they be located in secure, staffed areas and restricting daily transactions to a maximum of $500 per user. The legislation also requires new users to wait at least 24 hours before completing a transaction, mandates clear warnings about fraud risks and transaction irreversibility, and requires operators to provide detailed receipts and maintain transaction records. To enforce these rules, the state attorney general is empowered to investigate violations and impose civil fines of up to $10,000 for single infractions or $25,000 for repeated offenses. Finally, the bill will only take effect if a companion bill, HB 6223, is also enacted into law.

This bill establishes an artificial intelligence governing board and creates a pilot program for state departments and agencies to test generative AI tools. The governor-appointed board will include experts in technology, ethics, and the private sector to develop ethical guidelines and advise on the program's implementation. Starting in January 2027, the pilot program allows approved state employees to use AI tools while prohibiting activities that violate privacy laws, discriminate, or compromise data security. The department of technology, management, and budget will manage the program, including auditing AI usage and providing training to ensure compliance with state and federal standards.

This bill would allow certain Michigan state civil service employees to request that their wages be paid in cryptocurrency starting in 2027. It directly affects salaried members of the classified state civil service who work for the state. Under the proposed law, employees could choose to receive payment in U.S. currency, via direct deposit, or through one of at least six digital currency options, which must include Bitcoin. The state would be prohibited from using any digital currency controlled by a national government or central bank. Employees would receive their wages in the payment method they select, with currency payments requiring in-person pickup at the Department of Treasury in Lansing.

HB 5323 authorizes Michigan state agencies to install technology that detects or blocks unauthorized drones near state-owned buildings and critical infrastructure like power plants or water facilities. The bill allows for two key mechanisms: (1) devices to detect drones flying overhead, and (2) systems to prevent drones from entering restricted airspace. It also requires coordination with the state transportation department to include these locations in a statewide geofencing database. The law explicitly states it does not override federal drone regulations.

HB 5327 amends Michigan's drone law to prohibit specific drone uses that violate privacy or safety. It bans operating drones to harass people (as defined by existing harassment laws), capture private images in violation of privacy expectations, follow or photograph individuals (especially for sex offenders under registration requirements), or disturb quiet enjoyment of private homes. The bill directly affects all drone operators, with additional restrictions for sex offenders. Key mechanisms include expanding existing drone restrictions to cover harassment, privacy invasions, and proximity to restraining orders. The law takes effect 90 days after enactment.

HB 4511 prohibits Michigan state and local governments from banning digital asset holdings, requiring permits for them, imposing extra taxes based solely on digital asset use, or restricting blockchain-related activities like node operations, asset transfers, or staking. It also bans state agencies from advocating for U.S. central bank digital currency and shields individuals validating transactions or operating nodes from civil liability. The bill directly affects Michigan residents, businesses, and blockchain service providers using digital assets like cryptocurrency or stablecoins. Key provisions define "digital assets" broadly and require state actions to align with blockchain protocols without unnecessary restrictions.

SB 525 limits when Michigan state agencies can use drones (unmanned aircraft systems) to inspect facilities they regulate, requiring facility owners' consent or specific circumstances. Exceptions include obtaining written consent from owners (with conditions about FAA compliance), using a warrant, addressing imminent safety threats, inspecting infrastructure like roads or telecom towers, or during declared emergencies. Agencies must mark state-owned drones and share collected data (videos, photos) with facility owners upon request. The law explicitly excludes law enforcement drone use during investigations.