S. 3312 would require developers and deployers of specific types of artificial intelligence (AI) systems to report to the Department of Commerce; comply with AI test, evaluation, validation, and verification (TEVV) standards to be issued by that agency; and conduct AI risk management assessments. The bill also would require federal agencies, including the Departments of Commerce, Energy, and Homeland Security, to develop and periodically update plans to conduct oversight of those AI systems. Deployers of AI systems that violate the bill’s requirements would be subject to civil monetary penalties, which are recorded as revenues. CBO estimates that enacting S. 3312 would have no effect on direct spending and would increase revenues by an insignificant amount. CBO has not estimated the bill’s effects on spending subject to appropriation. S. 3312 would impose private-sector mandates, as defined by the Unfunded Mandates Reform Act (UMRA). The bill would require critical-impact AI organizations to certify compliance with the new TEVV standards. Because those standards have not been released, CBO cannot determine whether the cost to comply with the mandate would exceed the private-sector threshold established in UMRA ($200 million in 2024, adjusted annually for inflation). The bill also would require online platforms to disclose the use of AI-generated content. Entities that develop or employ certain AI systems would be required to report to the Department of Commerce on usage and on risk management policies. CBO expects that the marginal cost to comply with the mandates would be small. This bill contains no intergovernmental mandates as defined in UMRA.