What's Happening?
The Audit Office of NSW has directed Revenue NSW to update its risk assessments and documentation for AI and automation tools used in fines and collections operations. The audit identified gaps in the agency's risk assessments and documentation, prompting a directive to ensure current assessments for all AI tools by October next year. The agency's use of AI has previously faced scrutiny, particularly regarding the issuance of garnishee orders without human oversight.
Why It's Important?
The directive underscores the importance of robust risk management and documentation practices in the use of AI and automation. As government agencies increasingly rely on technology, ensuring transparency and accountability in AI applications is crucial to maintaining public trust. The audit's findings highlight the need for agencies to align with ethical AI principles and ensure that automated systems do not adversely impact vulnerable individuals.
What's Next?
Revenue NSW is expected to enhance its risk management practices and align its AI tools with the NSW Artificial Intelligence Assurance Framework principles. This may involve revisiting existing systems and implementing new protocols to ensure compliance with ethical standards. The agency's response to the audit could serve as a model for other government bodies seeking to improve their AI governance.
