BILL ANALYSIS C.S.H.B. 4437 By: Capriglione Delivery of Government Efficiency Committee Report (Substituted) BACKGROUND AND PURPOSE The bill author has informed the committee that the incorporation of the Internet and technology in society has created an environment in which obtaining information relating to the background and origins of digital content is important for understanding the content and its creation. The bill author has additionally informed the committee that these issues have only increased with the ability of artificial intelligence to create or alter content and that these issues demonstrate the criticality of being able to verify where content originated, how it is used, and whether it has been altered or misrepresented. C.S.H.B. 4437 seeks to address these issues by providing for the creation of a content provenance system through which certain information regarding content created by the Department of Information Resources is identified and provided in a publicly accessible online tool. CRIMINAL JUSTICE IMPACT It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS C.S.H.B. 4437 amends the Government Code to require the Department of Information Resources (DIR) to implement and maintain a content provenance system to do the following: embed into each piece of content created and owned by DIR and posted on a state website the content's content provenance; and include a hash for each piece of content created and owned by DIR and posted by DIR on a state website and record the hash in a cryptographic hash database. The bill requires the content provenance system to be tamper-evident and readily verifiable by the general public through accessible online tools or interfaces and authorizes DIR to provide technical assistance to another state agency to assist the agency in implementing a content provenance system for the agency's content. C.S.H.B. 4437 defines the following terms for purposes of the bill's provisions: "content" as any visual, audio, or audiovisual digital content; "content provenance" as information, in a format that is compliant with guidelines or specifications adopted by an established standards-setting body, including the following: o the content's origin and modification history; o whether the content is wholly or partly synthetic content; and o if the content is synthetic, the name of the generative artificial intelligence (AI) provider whose generative AI tool generated the synthetic content; "cryptographic hash database" as a secure repository for storing digital signatures or hashes generated from content that may be used to verify that the content has not been altered; "hash" as a cryptographic representation of an original piece of content; and "state website" as any state website maintained by DIR that is primarily used to disseminate information to the public. C.S.H.B. 4437 requires DIR to implement the required content provenance system not later than September 1, 2026, and establishes that the bill applies only to content that is created and owned by DIR on or after the date DIR implements the required content provenance system. EFFECTIVE DATE September 1, 2025. COMPARISON OF INTRODUCED AND SUBSTITUTE While C.S.H.B. 4437 may differ from the introduced in minor or nonsubstantive ways, the following summarizes the substantial differences between the introduced and committee substitute versions of the bill. The substitute replaces references that appeared in the introduced to a "digital watermarking system" with references to a "content provenance system." Both the introduced and the substitute require DIR to implement and maintain the applicable system for certain purposes but differ as follows with respect to those purposes: the introduced required the system to embed into each image posted on a state website the image's data provenance, whereas the substitute requires the system to embed into each piece of content created and owned by DIR and posted on a state website the content's content provenance; and the introduced required the system to generate a hash for each image posted by DIR on a state website, whereas the substitute requires the system to include a hash for each piece of content created and owned by DIR and posted by DIR on a state website. Whereas the introduced authorized DIR to provide technical assistance to another state agency to assist the agency in implementing a digital watermarking system or another data provenance measure for the agency's digital media, the substitute authorizes DIR to provide technical assistance to another state agency to assist the agency in implementing a content provenance system for the agency's content. Both the introduced and the substitute define certain terms for purposes of the digital watermarking system or content provenance system, as applicable, but differ as follows with respect to those definitions: the substitute includes a definition absent from the introduced for the term "content"; the substitute omits the introduced version's definition of "data provenance" as information regarding the origin or history of, and changes to, digital content, for the purpose of ensuring that the digital content's authenticity may be verified and instead defines "content provenance" as information, in a specified format, including the following: o the content's origin and modification history; o whether the content is wholly or partly synthetic content; and o if the content is synthetic, the name of the generative AI provider whose generative AI tool generated the synthetic content; the substitute replaces references that appeared in the introduced to "images" with references to "content" in the bill's definition of "cryptographic hash database"; the substitute omits a provision that appeared in the introduced defining "digital watermarking" as a process of embedding information, either imperceptible or visible, into a digital image to certify the image's authenticity and integrity; and whereas the introduced defined "hash" as a cryptographic representation of an original image or video, the substitute defines that term as such a representation of an original piece of content. The substitute includes a provision absent from the introduced providing for the bill's applicability. The substitute omits provisions that appeared in the introduced that did the following with respect to a hashmark sharing database: required DIR to develop and maintain such a database for hashes related to child sexual abuse material; required the database to be accessible to state agencies, private sector entities, and federal, state, and local law enforcement agencies for the purpose of training AI systems or content moderation systems or taking other action to prevent dissemination of child sexual abuse material on any platform; authorized DIR to collaborate with the Department of Public Safety and any federal, state, or local agency or organization to develop and maintain the database; defined "artificial intelligence," "child sexual abuse material," "hash," and "hashmark sharing database" for purposes of the hashmark sharing database; and required DIR to implement the database not later than September 1, 2026.
BILL ANALYSIS
# BILL ANALYSIS
C.S.H.B. 4437
By: Capriglione
Delivery of Government Efficiency
Committee Report (Substituted)
C.S.H.B. 4437
By: Capriglione
Delivery of Government Efficiency
Committee Report (Substituted)
BACKGROUND AND PURPOSE The bill author has informed the committee that the incorporation of the Internet and technology in society has created an environment in which obtaining information relating to the background and origins of digital content is important for understanding the content and its creation. The bill author has additionally informed the committee that these issues have only increased with the ability of artificial intelligence to create or alter content and that these issues demonstrate the criticality of being able to verify where content originated, how it is used, and whether it has been altered or misrepresented. C.S.H.B. 4437 seeks to address these issues by providing for the creation of a content provenance system through which certain information regarding content created by the Department of Information Resources is identified and provided in a publicly accessible online tool.
CRIMINAL JUSTICE IMPACT It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.
RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS C.S.H.B. 4437 amends the Government Code to require the Department of Information Resources (DIR) to implement and maintain a content provenance system to do the following: embed into each piece of content created and owned by DIR and posted on a state website the content's content provenance; and include a hash for each piece of content created and owned by DIR and posted by DIR on a state website and record the hash in a cryptographic hash database. The bill requires the content provenance system to be tamper-evident and readily verifiable by the general public through accessible online tools or interfaces and authorizes DIR to provide technical assistance to another state agency to assist the agency in implementing a content provenance system for the agency's content. C.S.H.B. 4437 defines the following terms for purposes of the bill's provisions: "content" as any visual, audio, or audiovisual digital content; "content provenance" as information, in a format that is compliant with guidelines or specifications adopted by an established standards-setting body, including the following: o the content's origin and modification history; o whether the content is wholly or partly synthetic content; and o if the content is synthetic, the name of the generative artificial intelligence (AI) provider whose generative AI tool generated the synthetic content; "cryptographic hash database" as a secure repository for storing digital signatures or hashes generated from content that may be used to verify that the content has not been altered; "hash" as a cryptographic representation of an original piece of content; and "state website" as any state website maintained by DIR that is primarily used to disseminate information to the public. C.S.H.B. 4437 requires DIR to implement the required content provenance system not later than September 1, 2026, and establishes that the bill applies only to content that is created and owned by DIR on or after the date DIR implements the required content provenance system.
EFFECTIVE DATE September 1, 2025.
COMPARISON OF INTRODUCED AND SUBSTITUTE While C.S.H.B. 4437 may differ from the introduced in minor or nonsubstantive ways, the following summarizes the substantial differences between the introduced and committee substitute versions of the bill. The substitute replaces references that appeared in the introduced to a "digital watermarking system" with references to a "content provenance system." Both the introduced and the substitute require DIR to implement and maintain the applicable system for certain purposes but differ as follows with respect to those purposes: the introduced required the system to embed into each image posted on a state website the image's data provenance, whereas the substitute requires the system to embed into each piece of content created and owned by DIR and posted on a state website the content's content provenance; and the introduced required the system to generate a hash for each image posted by DIR on a state website, whereas the substitute requires the system to include a hash for each piece of content created and owned by DIR and posted by DIR on a state website. Whereas the introduced authorized DIR to provide technical assistance to another state agency to assist the agency in implementing a digital watermarking system or another data provenance measure for the agency's digital media, the substitute authorizes DIR to provide technical assistance to another state agency to assist the agency in implementing a content provenance system for the agency's content. Both the introduced and the substitute define certain terms for purposes of the digital watermarking system or content provenance system, as applicable, but differ as follows with respect to those definitions: the substitute includes a definition absent from the introduced for the term "content"; the substitute omits the introduced version's definition of "data provenance" as information regarding the origin or history of, and changes to, digital content, for the purpose of ensuring that the digital content's authenticity may be verified and instead defines "content provenance" as information, in a specified format, including the following: o the content's origin and modification history; o whether the content is wholly or partly synthetic content; and o if the content is synthetic, the name of the generative AI provider whose generative AI tool generated the synthetic content; the substitute replaces references that appeared in the introduced to "images" with references to "content" in the bill's definition of "cryptographic hash database"; the substitute omits a provision that appeared in the introduced defining "digital watermarking" as a process of embedding information, either imperceptible or visible, into a digital image to certify the image's authenticity and integrity; and whereas the introduced defined "hash" as a cryptographic representation of an original image or video, the substitute defines that term as such a representation of an original piece of content. The substitute includes a provision absent from the introduced providing for the bill's applicability. The substitute omits provisions that appeared in the introduced that did the following with respect to a hashmark sharing database: required DIR to develop and maintain such a database for hashes related to child sexual abuse material; required the database to be accessible to state agencies, private sector entities, and federal, state, and local law enforcement agencies for the purpose of training AI systems or content moderation systems or taking other action to prevent dissemination of child sexual abuse material on any platform; authorized DIR to collaborate with the Department of Public Safety and any federal, state, or local agency or organization to develop and maintain the database; defined "artificial intelligence," "child sexual abuse material," "hash," and "hashmark sharing database" for purposes of the hashmark sharing database; and required DIR to implement the database not later than September 1, 2026.
BACKGROUND AND PURPOSE
The bill author has informed the committee that the incorporation of the Internet and technology in society has created an environment in which obtaining information relating to the background and origins of digital content is important for understanding the content and its creation. The bill author has additionally informed the committee that these issues have only increased with the ability of artificial intelligence to create or alter content and that these issues demonstrate the criticality of being able to verify where content originated, how it is used, and whether it has been altered or misrepresented. C.S.H.B. 4437 seeks to address these issues by providing for the creation of a content provenance system through which certain information regarding content created by the Department of Information Resources is identified and provided in a publicly accessible online tool.
CRIMINAL JUSTICE IMPACT
It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.
RULEMAKING AUTHORITY
It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS
C.S.H.B. 4437 amends the Government Code to require the Department of Information Resources (DIR) to implement and maintain a content provenance system to do the following:
embed into each piece of content created and owned by DIR and posted on a state website the content's content provenance; and
include a hash for each piece of content created and owned by DIR and posted by DIR on a state website and record the hash in a cryptographic hash database.
The bill requires the content provenance system to be tamper-evident and readily verifiable by the general public through accessible online tools or interfaces and authorizes DIR to provide technical assistance to another state agency to assist the agency in implementing a content provenance system for the agency's content.
C.S.H.B. 4437 defines the following terms for purposes of the bill's provisions:
"content" as any visual, audio, or audiovisual digital content;
"content provenance" as information, in a format that is compliant with guidelines or specifications adopted by an established standards-setting body, including the following:
o the content's origin and modification history;
o whether the content is wholly or partly synthetic content; and
o if the content is synthetic, the name of the generative artificial intelligence (AI) provider whose generative AI tool generated the synthetic content;
"cryptographic hash database" as a secure repository for storing digital signatures or hashes generated from content that may be used to verify that the content has not been altered;
"hash" as a cryptographic representation of an original piece of content; and
"state website" as any state website maintained by DIR that is primarily used to disseminate information to the public.
C.S.H.B. 4437 requires DIR to implement the required content provenance system not later than September 1, 2026, and establishes that the bill applies only to content that is created and owned by DIR on or after the date DIR implements the required content provenance system.
EFFECTIVE DATE
September 1, 2025.
COMPARISON OF INTRODUCED AND SUBSTITUTE
While C.S.H.B. 4437 may differ from the introduced in minor or nonsubstantive ways, the following summarizes the substantial differences between the introduced and committee substitute versions of the bill.
The substitute replaces references that appeared in the introduced to a "digital watermarking system" with references to a "content provenance system." Both the introduced and the substitute require DIR to implement and maintain the applicable system for certain purposes but differ as follows with respect to those purposes:
the introduced required the system to embed into each image posted on a state website the image's data provenance, whereas the substitute requires the system to embed into each piece of content created and owned by DIR and posted on a state website the content's content provenance; and
the introduced required the system to generate a hash for each image posted by DIR on a state website, whereas the substitute requires the system to include a hash for each piece of content created and owned by DIR and posted by DIR on a state website.
Whereas the introduced authorized DIR to provide technical assistance to another state agency to assist the agency in implementing a digital watermarking system or another data provenance measure for the agency's digital media, the substitute authorizes DIR to provide technical assistance to another state agency to assist the agency in implementing a content provenance system for the agency's content.
Both the introduced and the substitute define certain terms for purposes of the digital watermarking system or content provenance system, as applicable, but differ as follows with respect to those definitions:
the substitute includes a definition absent from the introduced for the term "content";
the substitute omits the introduced version's definition of "data provenance" as information regarding the origin or history of, and changes to, digital content, for the purpose of ensuring that the digital content's authenticity may be verified and instead defines "content provenance" as information, in a specified format, including the following:
o the content's origin and modification history;
o whether the content is wholly or partly synthetic content; and
o if the content is synthetic, the name of the generative AI provider whose generative AI tool generated the synthetic content;
the substitute replaces references that appeared in the introduced to "images" with references to "content" in the bill's definition of "cryptographic hash database";
the substitute omits a provision that appeared in the introduced defining "digital watermarking" as a process of embedding information, either imperceptible or visible, into a digital image to certify the image's authenticity and integrity; and
whereas the introduced defined "hash" as a cryptographic representation of an original image or video, the substitute defines that term as such a representation of an original piece of content.
The substitute includes a provision absent from the introduced providing for the bill's applicability.
The substitute omits provisions that appeared in the introduced that did the following with respect to a hashmark sharing database:
required DIR to develop and maintain such a database for hashes related to child sexual abuse material;
required the database to be accessible to state agencies, private sector entities, and federal, state, and local law enforcement agencies for the purpose of training AI systems or content moderation systems or taking other action to prevent dissemination of child sexual abuse material on any platform;
authorized DIR to collaborate with the Department of Public Safety and any federal, state, or local agency or organization to develop and maintain the database;
defined "artificial intelligence," "child sexual abuse material," "hash," and "hashmark sharing database" for purposes of the hashmark sharing database; and
required DIR to implement the database not later than September 1, 2026.