AI Laws in Chicago, Illinois
AI Laws USA tracks 40 AI rules that apply to people and businesses in Chicago, Illinois: 10+ federal rules, 24 Illinois state-level rules, and 6 local Chicago ordinances. Coverage is strongest on automated decision-making, government use of AI, consumer protection, and AI disclosure and transparency. 22 of these rules are already in effect. Each entry below links to its official source.
Chicago local AI rules (and Cook County)
6 local AI rules specific to Chicago, Illinois or Cook County.
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In effect Strength: moderate
Chicago data center executive order (2026)
Chicago, IL · Effective August 11, 2026 · City of Chicago — Mayoral Executive Order on Data Center Regulatory Review (Aug. 2026)
Chicago Mayor Brandon Johnson signed an executive order in August 2026 creating enhanced regulatory review for data centers, and called on the City Council to enact a temporary moratorium on new data centers and material expansions of existing ones while a comprehensive framework is developed. The order works through permitting rather than zoning. It requires enhanced evaluation of air pollution control permits to reduce emissions from diesel backup generators, new data-center-specific rules for noise from cooling equipment, generators and other mechanical systems, and a cross-departmental review process for Planned Developments involving data centers that assesses electricity demand, water use, generator noise and pollution, air emissions, cumulative environmental burdens and neighborhood effects. The planning and development commissioner must weigh environmental effects, air pollution, and water and energy use when reviewing proposals. Two things are worth noting about the framing. First, Chicago approached data centers primarily as an air quality and cumulative-burden problem — diesel generators and noise — where most cities have led with water or ratepayer costs. Second, the mayor cannot impose a moratorium himself; the order asks the Council to do it, so the moratorium component is a request rather than a rule. Separately, the Council's Committee on Environment amended a municipal code provision that had specifically excluded data centers from reporting their water and electricity usage, and Alderman Maria Hadden introduced an ordinance to require that reporting. The order followed a city working group's final report in July 2026.
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Proposed / pending
Chicago 12-month data center moratorium ordinance (proposed 2026)
Chicago, IL · City of Chicago, Data Center Moratorium Ordinance (introduced Sept. 23, 2026)
On September 23, 2026, Chicago Mayor Brandon Johnson and Aldermen Maria Hadden, Leni Manaa-Hoppenworth and Lamont J. Robinson introduced the Data Center Moratorium Ordinance, which would pause new data centers and material expansions of existing ones for 12 months while the city's Data Centers Task Force (created by the mayor's August 2026 executive order) writes permanent rules on air, water, energy use and residents' health. At the same meeting a procedural move by opposing aldermen sent it to the Rules Committee instead of its intended committee, which the Chicago Tribune said will likely stall it. Ald. Bill Conway introduced a competing ordinance that would treat data centers as planned developments subject to public review; it was also sent to Rules. The moratorium has not been voted on.
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In effect Strength: limited
Chicago Public Schools AI Guidebook
Chicago, IL · Effective August 1, 2024 · Chicago Public Schools AI Guidebook — Guidance for Generative AI Use (2024-08-01)
Quarterly-updated CPS guidance permits district-approved tools with teacher permission; bars PII/PHI/confidential data entry. Warns against AI-detection software due to false-positive risk for English learners.
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Proposed / pending
Chicago City AI Ordinance (stalled)
Chicago, IL · Chicago, Ill., Ordinance O2024-0008864 (pending in committee)
A pending Chicago ordinance would set citywide guidelines for how city government adopts AI tools in areas like traffic analysis, public safety, and waste management, create a pilot program, and require semi-annual public reports on the city's AI use. It has sat in committee since April 2024 without a vote.
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Enacted (not yet in effect) Strength: limited
Chicago data center energy/water benchmarking disclosure (SO2026-0027165)
Chicago, IL · Enacted September 23, 2026 · Chicago, IL, SO2026-0027165 (passed Sept. 23, 2026), amending Mun. Code ss.18-14-101.3, 18-14-101.4, 18-14-102.3
Chicago's energy benchmarking law requires large buildings to report energy use, but buildings dominated by data centers were left out and their scores kept private. This ordinance, passed September 23, 2026, makes any large covered building with a data center subject to benchmarking, defines 'data center', and removes the rule that let the city withhold the energy scores of buildings where data centers take up more than 10% of floor space, so those scores can be made public. It also strengthens the city's ability to publish buildings' water-usage data supplied by the Department of Water Management, with narrower grounds for owners to keep it private. It does not set limits on energy or water use.
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Proposed / pending
Chicago AI police report ban (proposed, O2026-0024089)
Chicago, IL · Chicago, IL, O2026-0024089 (introduced Mar. 18, 2026; proposed Mun. Code s.2-84-530)
A proposed Chicago ordinance from Ald. Matt Martin would ban the use of artificial intelligence to write police reports or other law enforcement records, by adding a new section to the city code chapter on the Police Department. It was introduced March 18, 2026 and sent to the Committee on Police and Fire, where it has not had a hearing or vote.
Illinois-level AI rules most relevant to Chicago
24 Illinois state rules apply to residents and businesses in Chicago. Showing the 8 most relevant to Chicago's local picture; 16 more are on the Illinois jurisdiction page.
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In effect Strength: limited
Policy on the Acceptable and Responsible Use of Artificial I
Illinois · Effective April 1, 2025 · Policy on the Acceptable and Responsible Use of Artificial Intelligence
The Illinois DoIT policy governs how state agencies under the Governor's jurisdiction may develop, deploy, and use AI systems, requiring each utilizing agency to designate an AI point of contact and inventory deployed AI systems within 30 days.
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Enacted (not yet in effect) Strength: moderate
AI Safety Measures Act (frontier model audits)
Illinois · Effective January 1, 2027 · IL SB315 (104th General Assembly, 2025-2026)
Illinois is the first state to require independent third-party safety audits of the largest 'frontier' AI developers (companies like OpenAI, Anthropic, and Google DeepMind). Covered developers — those with >$500M annual gross revenue whose models meet defined compute thresholds — must publish and annually update a frontier AI safety framework addressing catastrophic risks (defined as incidents threatening 50+ deaths, serious injuries, or $1B+ in damages), file transparency reports before deploying new or substantially modified models, report critical safety incidents within 72 hours (24 hours for imminent harm), and protect whistleblowers. Enforced by the Illinois Emergency Management Agency and Office of Homeland Security with the Attorney General; civil penalties; no private right of action. Law takes effect January 1, 2027; audit requirements operative January 1, 2028.
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In effect Strength: limited
IL EO 2026-07 AI Cabinet (2026)
Illinois · Effective September 22, 2026 · Ill. Exec. Order No. 2026-07 (Sept. 22, 2026)
Governor Pritzker created an unpaid AI Cabinet of outside experts and senior officials from seven state agencies to study AI risks to Illinois residents and critical infrastructure, plan for AI incidents, and recommend policies. It is told to look at whether the state should tie data center tax incentives and permits to AI safety standards, how to address data centers' burden on the power grid and ratepayers, AI safety terms in state contracts, and whether current law lets people hold AI companies accountable for harm. It is advisory only and ends by December 31, 2027.
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In effect Strength: moderate
Illinois data center tax-incentive pause (DCEO, July 2026)
Illinois · Effective July 1, 2026 · Office of Gov. JB Pritzker, 'Gov. Pritzker Pauses New Data Center Tax Incentives' (June 5, 2026); Data Center Investment Program pause effective July 1, 2026
Illinois Gov. JB Pritzker told the state Department of Commerce and Economic Opportunity to stop processing new agreements under the Data Center Investment Program, the state's data center tax-incentive program, starting July 1, 2026. Agreements signed before July 1 will be honored. He also set out a seven-point framework he wants lawmakers to pass, covering data centers paying their own grid costs, clean energy, water permits, air quality and community transparency. The pause does not ban data centers; the regulations require legislation, which did not pass in the spring session.
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In effect Strength: stronger
HB 3773 (AI Employment Discrimination)
Illinois · Effective January 1, 2026 · P.A. 103-0804, amending 775 ILCS 5; P.A. 104-0425 (SB 2487, 2026 civil penalty amendment)
Illinois employers may not use AI in ways that discriminate against protected classes in recruitment, hiring, promotion, discipline, discharge, or other employment terms, and may not use zip codes as a proxy for protected characteristics. Employers must notify workers and applicants when AI is used in employment decisions.
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In effect Strength: limited
IL Bar AI Standing Committee
IL · Effective January 1, 2025 · Ill. Sup. Ct. Policy on AI (eff. Jan. 1, 2025)
Illinois Supreme Court adopted a Policy on Artificial Intelligence (effective January 1, 2025) authorizing AI use by attorneys, judges, and court staff provided it complies with legal and ethical standards. The policy explicitly states that disclosure of AI use should not be required in a pleading, and does not impose mandatory CLE requirements; instead it supports ongoing education on AI and holds all users accountable for thoroughly reviewing AI-generated content before submission.
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In effect Strength: limited
Attorney General Raoul Urges Tech Companies to Stop the Spre
Illinois · Effective August 26, 2025 · Attorney General Raoul Urges Tech Companies to Stop the Spread of Deepfake Nonconsensual Intimate Imagery
The Illinois Attorney General joined a bipartisan coalition of attorneys general pressing search engines and payment platforms to curb AI-generated deepfake nonconsensual intimate imagery, referencing Illinois's AI-generated CSAM and NCII law.
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In effect Strength: moderate
IL AI Video Interview Act (2019, first-in-nation)
IL · Effective January 1, 2020 · 820 ILCS 42/1 et seq. (P.A. 101-0260, 2019; P.A. 102-0407, 2021)
Signed by Governor Pritzker on August 9, 2019, the Illinois AI Video Interview Act was the first U.S. state law specifically regulating AI in hiring. It requires employer notice, applicant consent, and explanation of how AI works before using AI to analyze a video interview. 2022 amendment (P.A. 102-0407) added demographic data collection. Still in effect 2026 at 820 ILCS 42/1 et seq.
Federal AI rules that apply in Chicago, Illinois
These federal rules apply everywhere in the United States, including Chicago, Illinois. Showing the 10 strongest and most recent.
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In effect Strength: stronger
TVA data center capacity commitment charge (2026)
Tennessee Valley Authority · Effective October 1, 2026 · Tenn. Valley Auth. Bd. of Dirs. — Data Center Capacity Commitment Charge (approved Aug. 20, 2026; eff. Oct. 1, 2026)
The Tennessee Valley Authority's Board of Directors approved a separate, higher wholesale rate for data centers on August 20, 2026, effective October 1. New or expanding data center loads above 5 megawatts now fall under a Capacity Commitment Charge attached to TVA's data center rate schedules, designed to recover the incremental capacity costs those customers impose on the system. The headline figures are substantial: upfront capacity commitment charges of roughly $1.5 million per megawatt, payable over three to five years, and an all-in average billing increase for data center customers of about 10%, phased in across three consecutive fiscal years. The stated purpose is to keep residential rates low while still serving growing data center demand. TVA matters here out of proportion to a single utility. It is a federal corporate agency supplying power across seven states, so this is not a state rate case but a regional cost-allocation decision reaching a large share of the Southeast — and TVA is among the first large US utilities to adopt a tariff aimed specifically at AI-driven load. Where most 2026 measures in this dataset restrict where data centers may be built, this one changes what they pay to run.
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In effect Strength: stronger
Bartz v. Anthropic
N.D. Cal. · Effective September 5, 2025 · Bartz v. Anthropic PBC, No. 3:24-cv-05417 (N.D. Cal.)
Authors Andrea Bartz, Charles Graeber, and Kirk Wallace Johnson sued Anthropic over its use of pirated-book datasets to train Claude. In June 2025 Judge William Alsup ruled that training on lawfully purchased books was fair use. The piracy claims (LibGen ingestion) proceeded toward settlement; in September 2025 Anthropic agreed to a $1.5 billion class settlement covering ~500,000 works. Judge Alsup granted preliminary approval September 25, 2025 and final approval July 20, 2026. The appeal period runs through August 19, 2026; class members will not receive payments until at least end of 2026.
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In effect Strength: stronger
COPPA + 2025 Rule (childrens data)
United States · Effective June 23, 2025 · 15 U.S.C. §§ 6501–6506; 16 C.F.R. Part 312
COPPA requires online services aimed at children under 13 to get verifiable parental consent before collecting kids' personal data. The 2025 rule update — fully in effect since April 22, 2026 — adds biometric identifiers (like face templates and voiceprints, which matter for AI tools), requires separate parental consent before sharing children's data for targeted advertising, and tightens data retention limits.
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In effect Strength: stronger
TAKE IT DOWN Act
United States · Effective May 19, 2025 · Pub. L. No. 119-12 (S. 146)
Makes it a federal crime to knowingly publish intimate images of someone without consent, including AI-generated deepfakes. Social media and similar platforms must give victims a way to request removal and must take the content (and known copies) down within 48 hours. The platform removal requirement became enforceable May 19, 2026, and the FTC has already begun enforcement.
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Blocked / in litigation
NetChoice v. Yost (Ohio)
S.D. Ohio · Effective April 16, 2025 · NetChoice, LLC v. Yost, No. 2:24-cv-00047 (S.D. Ohio Apr. 16, 2025)
Ohio's Social Media Parental Notification Act — requiring parental consent for minors' social-media use, including algorithmic feeds — was preliminarily enjoined on February 12, 2024, then permanently enjoined on April 16, 2025 when the district court granted summary judgment for NetChoice. The state appealed to the Sixth Circuit, which vacated the district court's injunction in 2026.
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In effect Strength: stronger
Thaler v. Perlmutter (Copyright)
D.C. Cir. · Effective March 18, 2025 · Thaler v. Perlmutter, 130 F.4th 1039 (D.C. Cir. 2025)
The companion copyright case: Stephen Thaler sought to register a copyright with 'Creativity Machine' (his AI) as the author. The D.C. Circuit affirmed in March 2025 that the Copyright Act's human-authorship requirement is dispositive as a matter of statutory law. AI cannot be a copyright author under U.S. law.
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In effect Strength: stronger
Louis v. SafeRent
D. Mass. · Effective November 20, 2024 · Louis v. SafeRent Solutions, LLC, No. 1:22-cv-10800 (D. Mass.)
SafeRent agreed in November 2024 to a $2.275M settlement and a five-year ban on using its 'SafeRent Score' for housing-voucher applicants, after a class action alleged its AI tenant-screening tool systematically denied housing to Black and Hispanic Section 8 voucher holders. The first major AI tenant-screening Fair Housing Act settlement.
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In effect Strength: stronger
FTC Impersonation Rule (AI)
United States · Effective April 1, 2024 · 16 C.F.R. Part 461; 89 Fed. Reg. 15017
The FTC's Impersonation Rule lets the agency directly sue scammers who pretend to be a government agency or a real business — including those who use AI-cloned voices or generated images to do so. Civil penalties can reach $53,088 per violation. The FTC also issued a supplemental notice in February 2024 proposing to extend the rule to all individual impersonation.
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In effect Strength: stronger
FTC v. Rite Aid
FTC · Effective February 26, 2024 · FTC v. Rite Aid Corp., No. 2:23-cv-05023 (E.D. Pa. Dec. 19, 2023)
The FTC banned Rite Aid from using facial-recognition technology in its stores for five years after finding the pharmacy chain's FRT system falsely tagged customers — disproportionately women and people of color — as shoplifters, leading to wrongful detentions and humiliations.
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In effect Strength: stronger
TCPA (AI voice calls)
United States · Effective February 8, 2024 · 47 U.S.C. § 227; FCC 24-17
Robocalls using AI-cloned or AI-generated voices are treated like other 'artificial voice' calls: callers need your prior express consent, must identify themselves, and must offer opt-outs for telemarketing. You can personally sue violators for $500 to $1,500 per illegal call.
Frequently asked questions about AI laws in Chicago, Illinois
Are there AI laws in Chicago, Illinois?
What federal AI rules apply in Chicago?
Does Illinois have an AI privacy law?
Are deepfakes illegal in Illinois?
Can my employer use AI to screen me for jobs in Chicago?
How do I report an AI law violation in Chicago?
Are facial recognition cameras allowed in Chicago?
Is Chicago regulated by Illinois's consumer privacy act?
Compliance guides for Illinois businesses
Plain-English guides to the Illinois AI and data laws companies most often need to comply with:
Illinois biometric privacy law (BIPA) · Illinois AI Video Interview Act
Have we missed an AI rule in Chicago?
This page is generated from our open civic dataset. If you know of a Chicago ordinance, county rule, or local enforcement action we should add, email feedback@ailawsusa.com or submit a correction. Every entry must include a verifiable source.