The new system, called Direct File, is a free online tool. Taxpayers in the selected states who have very simple W-2s and claim a standard deduction may be eligible to use it this tax season to file their federal income taxes. The program will also offer a Spanish version, which will be available starting at 1 p.m. Eastern Time on Tuesday.

“This is a milestone,” said IRS Commissioner Daniel Werfel during a Tuesday press conference to announce the expanded availability of the program. Tax season officially began January 29 and the filing deadline is April 15.

“Direct File marks the first time you can electronically file a tax return directly with the IRS,” Werfel said. “And you can’t beat the price — its free.”

The Treasury Department estimates that one-third of all federal income tax returns filed could be prepared using Direct File and that 19 million taxpayers may be eligible to use the tool this tax season. So far, roughly 20,000 people have participated in the pilot program, according to the IRS, and expect participation to grow to 100,000 filers in the coming weeks.

Certain taxpayers in Florida, New Hampshire, Nevada, South Dakota, Tennessee, Texas, Washington, Wyoming, Arizona, Massachusetts, California and New York can participate. Direct File can only be used to file federal income taxes, taxpayers from states that require filing state taxes will need to do so separately.

“Direct File will offer millions of Americans a free and simple way to file their taxes, with no expensive and unnecessary filing fees and no upselling, putting hundreds of dollars back in the pocket of working families each year, consistent with President Biden’s pledge to lower costs,” said National Economic Advisor Lael Brainard.

Werfel said a component of the program that enhances filers’ usability is the live chat feature that allows taxpayers to interact with the IRS while they complete their taxes.

The Direct File pilot is part of the agency’s effort to build out a new government service that could replace some taxpayers’ use of commercial tax preparation software, such as TurboTax. It’s meant to be simple and provides a step-by-step walkthrough of easy-to-answer questions.

Derrick Plummer, a spokesman for Intuit, said in an email that Direct File “is not free tax preparation but a thinly veiled scheme that will cost billions of taxpayer dollars to pay for something already completely free of charge today.”

“This scheme will cost billions of taxpayer dollars and will be unnecessarily used to pay for something already completely free of charge today,” Plummer said.

Several organizations offer free online tax preparation assistance to taxpayers under certain income limits and fillable forms are available online on the IRS website, but the forms are complicated and taxpayers still have to calculate their tax liability.

When asked whether the Direct File program will likely be built out and available in the 2025 filing season, Werfel said: “I don’t want to prematurely reach a conclusion,” he said, but positive reports from users “have been encouraging.”

___

Hussein reported from Washington, D.C.

___

The Associated Press receives support from Charles Schwab Foundation for educational and explanatory reporting to improve financial literacy. The independent foundation is separate from Charles Schwab and Co. Inc. The AP is solely responsible for its journalism.

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The Senate met into Wednesday night to pass the bill with an 87-11 tally and send it to President Joe Biden for his signature one day after it passed the House on an overwhelming bipartisan vote. It provides a funding patch into next year, when the House and Senate will be forced to confront — and somehow overcome — their considerable differences over what funding levels should be.

In the meantime, the bill removes the threat of a government shutdown days before funding would have expired.

“This year, there will be no government shutdown,” Senate Majority Leader Chuck Schumer said at a news conference after the bill’s passage.

The spending package keeps government funding at current levels for roughly two more months while a long-term package is negotiated. It splits the deadlines for passing full-year appropriations bills into two dates: Jan. 19 for some federal agencies and Feb. 2 for others, creating two deadlines where there will be a risk of a partial government shutdown.

“Everybody is really kind of ready to vote and fight another day,” Republican Whip John Thune, the No. 2 Republican, said earlier Wednesday.

The two-step approach was not favored by many in the Senate, though all but one Democrat and 10 Republicans supported it because it ensured the government would not shut down for now. Sen. Patty Murray, the Washington Democrat who chairs the Senate Appropriations Committee, voted for the bill but said it would eventually “double the shutdown risk.”

The spending bill also does not include the White House’s nearly $106 billion request for wartime aid for Israel and Ukraine, as well as humanitarian funding for Palestinians and other supplemental requests. Lawmakers are likely to turn their attention more fully to that request after the Thanksgiving holiday in hopes of negotiating a deal.

House Speaker Mike Johnson, who crafted the plan, has vowed that he will not support any further stopgap funding measures, known as continuing resolutions. He portrayed the temporary funding bill as setting the ground for a spending “fight” with the Senate next year.

The new speaker, who told reporters this week that he counted himself among the “arch-conservatives” of the House, is pushing for deeper spending cuts. He wanted to avoid lawmakers being forced to consider a massive government funding package before the December holidays — a tactic that incenses conservatives in particular.

But Johnson is also facing pushback from other hardline conservatives who wanted to leverage the prospect of a government shutdown to extract steep cuts and policy demands.

Many of those conservatives were among a group of 19 Republicans who defied Johnson Wednesday to prevent floor consideration of an appropriations bill to fund several government agencies.

GOP leaders called off the week’s work after the vote, sending lawmakers home early for Thanksgiving. It capped a period of intense bickering among lawmakers.

“This place is a pressure cooker,” Johnson said Tuesday, noting that the House had been in Washington for 10 weeks straight.

The House GOP’s inability to present a united front on funding legislation could undercut the Louisiana congressman’s ability to negotiate spending bills with the Senate.

Republicans are demanding that Congress work out government funding through 12 separate bills, as the budgetary process requires, but House leadership has so far been forced to pull two of those bills from the floor, seen another rejected on a procedural vote and struggled to win support for others.

When it returns in two weeks, Congress is expected to focus on the Biden administration’s requests for Ukraine and Israel funding. Republican senators have demanded that Congress pass immigration and border legislation alongside additional Ukraine aid, but a bipartisan Senate group working on a possible compromise has struggled to find consensus.

Senate Republican Leader Mitch McConnell in a floor speech pledged that Republicans would continue to push for policy changes on the U.S. border with Mexico, saying it is “impossible to ignore the crisis at our southern border that’s erupted on Washington Democrats’ watch.”

One idea floating among Republicans is directly tying Ukraine funding levels with decreases in the number of illegal border crossings. It showed how even longtime supporters of Ukraine’s defense against Russia are willing to hold up the funding to force Congress to tackle an issue that has flummoxed generations of lawmakers: U.S. border policy.

Most Senate Republicans support the Ukraine funding, said Sen. Kevin Cramer, R-N.D., but he added, “It is secondary to securing our own border.”

But the U.S. is already trimming some of the wartime aid packages it is sending Ukraine as funds run low, National Security Council spokesperson John Kirby said from San Francisco, where he accompanied President Joe Biden for a summit of Asia-Pacific leaders.

He said the pot of money available for Ukraine is “withering away, and with it will be a deleterious effect on Ukraine’s ability to continue to defend itself.”

Sen. Michael Bennet, D-Colo., said in a statement that he voted against Wednesday’s funding package because it did not include aid for Ukraine.

Schumer said the Senate would try to move forward on both the funding and border legislation in the coming weeks, but warned it would require a compromise and implored the House speaker, Johnson, to once again work with Democrats.

“I hope the new speaker continues to choose the bipartisan approach,” Schumer said.

___

Associated Press writers Mary Clare Jalonick, Darlene Superville and Farnoush Amiri contributed to this report.

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The package drops aid to Ukraine, a White House priority opposed by a growing number of GOP lawmakers, but increases federal disaster assistance by $16 billion, meeting Biden’s full request. The bill funds government until Nov. 17.

After chaotic days of turmoil in the House, Speaker Kevin McCarthy abruptly abandoned demands for steep spending cuts from his right flank and instead relied on Democrats to pass the bill, at risk to his own job. The Senate followed with final passage closing a whirlwind day at the Capitol.

“This is good news for the American people,” Biden said in a statement.

He also said the United States “cannot under any circumstances allow American support for Ukraine to be interrupted” and expected McCarthy “will keep his commitment to the people of Ukraine and secure passage of the support needed to help Ukraine at this critical moment.”

It’s been a sudden head-spinning turn of events in Congress ahead of the midnight funding deadline after grueling days in the House pushed the government to the brink of a disruptive federal shutdown.

The outcome ends, for now, the threat of a shutdown, but the reprieve may be short-lived. Congress will again need to fund the government in coming weeks risking a crisis as views are hardening, particularly among the right-flank lawmakers whose demands were ultimately swept aside this time in favor of a more bipartisan approach.

“We’re going to do our job,” McCarthy, R-Calif., said before the House vote. “We’re going to be adults in the room. And we’re going to keep government open.”

If no deal was in place before Sunday, federal workers would have faced furloughs, more than 2 million active-duty and reserve military troops would have had to work without pay and programs and services that Americans rely on from coast to coast would have begun to face shutdown disruptions.

“It has been a day full of twists and turns, but the American people can breathe a sigh of relief: There will be no government shutdown,” said Senate Majority Leader Chuck Schumer, D-N.Y.

The package funds government at current 2023 levels until mid-November, and also extends other provisions, including for the Federal Aviation Administration. The package was approved by the House 335-91, with most Republicans and almost all Democrats supporting. Senate passage came by an 88-9 vote.

But the loss of Ukraine aid was devastating for lawmakers of both parties vowing to support President Volodymyr Zelenskyy after his recent Washington visit. The Senate bill included $6 billion for Ukraine, and both chambers came to a standstill Saturday as lawmakers assessed their options.

“The American people deserve better,” said House Democratic leader Hakeem Jeffries of New York, warning in a lengthy floor speech that “extreme” Republicans were risking a shutdown.

For the House package to be approved, McCarthy was forced to rely on Democrats because the speaker’s hard-right flank has said it will oppose any short-term funding measure, denying him the votes needed from his slim majority. It’s a move that is sure to intensify calls for his ouster.

After leaving the conservative holdouts behind, McCarthy is almost certain to be facing a motion to try to remove him from office, though it is not at all certain there would be enough votes to topple the speaker. Most Republicans voted for the package Saturday while 90 opposed.

“If somebody wants to remove me because I want to be the adult in the room, go ahead and try,” McCarthy said of the threat to oust him. “But I think this country is too important.”

The White House was tracking the developments on Capitol Hill and aides were briefing the president, who was spending the weekend in Washington.

Senate Republican leader Mitch McConnell, who has championed Ukraine aid despite resistance from his own ranks, is expected to keep pursuing U.S. support for Kyiv in the fight against Russia.

“I have agreed to keep fighting for more economic and security aid for Ukraine,” McConnell, R-Ky., said before the vote.

Late at night, the Senate stalled when Sen. Michael Bennet, D-Colo., held up the vote, seeking assurances Ukraine funds would be reconsidered.

“I know important moments are like this, for the United States, to lead the rest of the world,” Bennet said, noting his mother was born in Poland in 1938 and survived the Holocaust. “We can’t fail.”

The House’s quick pivot comes after the collapse Friday of McCarthy’s earlier plan to pass a Republican-only bill with steep spending cuts up to 30% to most government agencies and strict border provisions that the White House and Democrats rejected as too extreme. A faction of 21 hard-right Republican holdouts opposed it.

“Our options are slipping away every minute,” said one senior Republican, Rep. Mario Diaz-Balart of Florida.

The federal government had been heading straight into a shutdown that posed grave uncertainty for federal workers in states all across America and the people who depend on them — from troops to border control agents to office workers, scientists and others.

Families that rely on Head Start for children, food benefits and countless other programs large and small were confronting potential interruptions or outright closures. At the airports, Transportation Security Administration officers and air traffic controllers had been expected to work without pay, but travelers could have faced delays in updating their U.S. passports or other travel documents.

The White House has brushed aside McCarthy’s overtures to meet with Biden after the speaker walked away from the debt deal they brokered earlier this year that set budget levels.

Catering to his hard-right flank, McCarthy had made multiple concessions including returning to the spending limits the conservatives demanded back in January as part of the deal-making to help him become the House speaker.

But it was not enough as the conservatives insisted the House follow regular rules, and debate and approve each of the 12 separate spending bills needed to fund the government agencies, typically a months-long process. In the Senate, all the no votes against the package came from Republicans.

McCarthy’s chief Republican critic, Rep. Matt Gaetz of Florida, has warned he will file a motion calling a vote to oust the speaker.

Some of the Republican holdouts, including Gaetz, are allies of former President Donald Trump, who is Biden’s chief rival in the 2024 race. Trump has been encouraging the Republicans to fight hard for their priorities and even to “shut it down.”

At an early closed-door meeting at the Capitol, several House Republicans, particularly those facing tough reelections next year, urged their colleagues to find a way to prevent a shutdown.

“All of us have a responsibility to lead and to govern,” said Republican Rep. Mike Lawler of New York.

The lone House Democrat to vote against the package, Rep. Mike Quigley of Illinois, the co-chair of the Congressional Ukraine Caucus, said, “Protecting Ukraine is in our national interest.”

___

Associated Press writers Colleen Long and Mary Clare Jalonick contributed to this report.

The post Government shutdown averted with little time to spare as Biden signs funding before midnight first appeared on Federal News Network.

The White House will tell federal agencies on Friday to prepare for a shutdown, according to an official with the Office of Management and Budget who insisted on anonymity to discuss the upcoming instructions. That’s standard seven days out from a federal disruption.

The Republican McCarthy has repeatedly tried to appease his hard-right flank by agreeing to the steep spending cuts they are demanding to keep government open. But cheered on by Donald Trump, the Republican front-runner for president in 2024, the conservatives have all but seized control in dramatic fashion.

In a crushing defeat Thursday, a handful of Republican hardliners blocked a typically popular defense bill from advancing — the second time this week it was set back, an unheard-of loss for a House speaker.

Even a stopgap bill to keep government funding past the Sept. 30 deadline, called a continuing resolution or CR, is a non-starter for some on the right flank who have essentially seized control of the House.

“This is a whole new concept of individuals who just want to burn the whole place down,” McCarthy said after Thursday’s vote, acknowledging he was frustrated. “It doesn’t work.”

The open revolt was further evidence that McCarthy’s strategy of repeatedly giving in to the conservatives is seemingly only emboldening them, allowing them to run roughshod over their own House majority. Their conservative bills have almost no chances in the Senate.

Trump urged the conservatives to hold the line against the higher funding levels McCarthy had agreed to with President Joe Biden earlier this year and to end the federal criminal indictments against him.

“This is also the last chance to defund these political prosecutions against me and other Patriots,” Trump wrote on social media.

“They failed on the debt limit, but they must not fail now. Use the power of the purse and defend the Country!” the former president wrote.

The White House and Democrats, along with some Republicans, warn that a shutdown would be devastating for people who rely on their government for everyday services and would undermine America’s standing in the world.

“We need the extreme MAGA Republicans to get their act together,” said House Democratic leader Hakeem Jeffries of New York, referring to Trump’s “Make America Great Again” slogan.

“End the civil war,” Jeffries urged the Republicans. “Get your act together.”

But one of Trump’s top allies, Rep. Matt Gaetz, R-Fla., who is leading the hard-right flank, said the House Republicans now have almost no choices left but to spend the time it takes to pass each of the 12 spending bills needed to fund the government — typically a laborious process — even if it means going into a shutdown.

Or they can join with Democrats to pass a CR, which is sure to put McCarthy’s job at risk.

What Gaetz said he, and several others, would not do is vote for a continuing resolution that fails to slash spending.

“I’m giving a eulogy for the CR right now,” Gaetz told reporters after a late afternoon meeting at the Capitol.

“I represent Florida’s first congressional district, where during the shutdown tens of thousands of people will go without a paycheck, and so I know the impact of a shutdown,” Gaetz said. “So it may get worse before it gets better, and I have little to offer but blood, sweat, toil and tears, but that may be what it takes.”

A government closure is increasingly likely as time runs out for Congress to act.

McCarthy’s bid to move ahead with a traditionally popular defense funding bill as a first step toward keeping the government running was shattered, on a vote of 212-216. Five Republicans refused to vote with the increasingly endangered speaker. A sixth Republican voted no on procedural grounds so the bill could be reconsidered.

Moving forward with the defense bill was supposed to be a way for McCarthy to build goodwill among the GOP House majority as he tries to pass a temporary measure just to keep government running for another month. It, too, had catered to other hard-right priorities, such as slashing spending by 8% from many services and bolstering security at the U.S.-Mexico border.

Many on the right flank opposed the deal McCarthy struck with Biden this year over the spending levels and are trying to dismantle it now. They want to see progress on the individual appropriations bills that would fund the various federal departments at the lower levels these lawmakers are demanding.

The morning test vote shattered a McCarthy strategy that had emerged just the night before. Republicans had appeared on track, in a tight roll call, to advancing the measure Thursday. Then the Democrats who had not yet voted began rushing into the chamber.

New York Rep. Alexandria Ocasio-Cortez and fellow Democrats yelled out to hold open the vote. She was a “no.” A few others came in behind her and tipped the tally toward defeat.

The Democrats oppose the military bill on many fronts, including Republican provisions that would gut diversity programs at the Pentagon.

As passage appeared doomed, attention turned to the five Republican holdouts to switch their votes.

GOP leaders spent more than an hour on the floor trying to recruit one of them, Rep. Dan Bishop. R-N.C., to vote “yes.”

“Every time there’s the slightest relief of the pressure, the movement goes away from completing the work,” Bishop said.

When asked what it would take to gain his vote, Bishop said, “I think a schedule of appropriations bills over Kevin McCarthy signature would be meaningful to you to me.”

Others were dug in, including some who had supported advancing the defense bill just two days ago when it first failed.

Rep. Marjorie Taylor Greene, R-Ga., a chief opponent of more aid for Ukraine in the war against Russia, said she voted against the defense bill this time because her party’s leadership refused to separate out the war money. Her stand came as Ukraine’s president, Volodymyr Zelenskyy, was at the Capitol during a high-profile visit to Washington.

McCarthy had pledged to keep lawmakers in session this weekend for as long as it took to finish their work. But they were sent home, told they could be called back on ample notice.

Many Republicans were starting to speak up more forcefully against their hard-right colleagues.

New York Rep. Mike Lawler, who represents a swing district, said he would not “be party to a shutdown.”

“There needs to be a realization that you’re not going to get everything you want,” he said. “Just throwing a temper tantrum and stomping your feet — frankly, not only is it wrong — it’s just pathetic.”

___

Associated Press writers Farnoush Amiri, Kevin Freking, Josh Boak and Jill Colvin contributed to this report.

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The White House said Biden nominated Michael G. Whitaker, a former deputy administrator at the FAA. He is currently the chief operating officer of a Hyundai affiliate working to develop an air taxi aircraft.

Whitaker’s nomination had been expected for months, and Biden’s announcement was praised by several industry and labor groups.

The FAA, which regulates airline safety and manages the nation’s airspace, has been run by back-to-back acting administrators since March 2022.

The agency faces a number of challenges including a shortage of air traffic controllers, aging technology, and alarm over close calls between planes at major airports. In addition, Congress is deliberating over legislation that will direct the agency’s operations for the next five years.

Whitaker worked as a lawyer for TWA, which was absorbed by American Airlines, spent 15 years at United Airlines, where he became a senior vice president and oversaw international and regulatory affairs, then moved to InterGlobe, a travel company in India.

He was deputy FAA administrator — a job that does not require Senate approval — from 2013 to 2016. He is currently the chief commercial officer for Supernal, a Hyundai subsidiary that is working on an electric-powered air taxi — which would need FAA certification to fly in the United States.

The White House said Whitaker holds a private-pilot license.

Last year, Biden nominated Denver International Airport CEO Phillip Washington, but he withdrew in March after his nomination stalled in the Senate Commerce Committee. Republicans and independent Kyrsten Sinema argued that Washington lacked adequate aviation experience — his background is mostly in city transit systems, having held the Denver airport job only since mid-2021.

Sen. Ted Cruz of Texas, who led the GOP opposition to Biden’s first pick, gave a noncommittal statement about the second choice.

“We must carefully evaluate Mike Whitaker’s qualifications, experience, and temperament to determine whether he is the right person to lead the agency at this critical juncture,” Cruz said.

The FAA has lacked a Senate-confirmed leader since early last year, when Stephen Dickson, who was chosen by President Donald Trump, quit midway through his five-year term.

Since then, the agency has been run by two successive acting administrators. The first, Billy Nolen, who left FAA in June to join another air taxi company, Archer Aviation, praised Whitaker’s nomination in a recent interview. “I can’t think of a better choice,” he said. “He will do an amazing job.”

Earl Lawrence, a former senior official at the FAA who now works for Xwing, which is developing pilotless planes to carry cargo, said Whitaker’s appointment would be a win for companies making drones and autonomous aircraft — in part because of Whitaker’s time at Supernal.

“He knows how to support the airlines because he worked at the airlines, and he has worked with the drone folks,” Lawrence said. He will “create the environment that it’s OK to move forward” with new technologies.

A range of industry groups praised Whitaker as somebody they can work with — which could raise questions about FAA independence from the companies it regulates.

Nicholas Calio, president of the trade group Airlines for America, said Whitaker has extensive experience including on modernizing the air traffic system. He said Whitaker appreciates “the collaborative partnership between industry and government” to keep air travel safe.

Sara Nelson, president of the Association of Flight Attendants, urged the Senate to confirm Biden’s pick quickly. “Whitaker has the experience to step into the role and immediately lead us forward,” she said.

___

This story has been corrected to note that FAA has been run by two successive acting administrators, not three.

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An official with the Office of Management and Budget said lawmakers would very likely need to pass a temporary spending measure in September to prevent a potential partial shutdown. The official was not authorized to discuss the administration’s plans and spoke to The Associated Press on condition of anonymity.

Without such congressional approval, parts of the federal government could shut down when the new budget year begins Oct. 1. That would jeopardize federal programs on which millions of U.S. households and businesses rely. The shutdown is a risk because of disagreements on the annual spending bills to be passed by the Republican-led House and and Democratic-majority Senate. Neither side wants a shutdown despite their differences.

House Republicans are insisting on sharp cuts to many programs, reopening a tense debate about government finances from earlier this year when the White House and Congress reached a compromise in June to extend the government’s legal borrowing authority through January 2025.

White House press secretary Karine Jean-Pierre outlined the administration’s two-front push on government funding at Thursday’s briefing. On August 10, the administration sent Congress a request for supplemental funding that would include money for disaster relief, aid to Ukraine and programs to address fentanyl addiction. The supplemental is separate from Thursday’s request for a short-term funding plan to keep the government open.

As part of the request for short-term funding, the White House Office of Management and Budget is seeking additional adjustments to avoid possible disruptions to food aid for women, infants and children. Without the adjustments, states could put recipients on wait lists and cause them to go hungry, Jean-Pierre said.

“This is something that Congress can do — they can prevent a government shutdown,” Jean-Pierre said. “They need to prevent a government shutdown.”

House Speaker Kevin McCarthy, R-Calif., told Fox News on Sunday that he “would actually like” to have a short-term funding measure because a shutdown “hurts the American public.” He suggested an extension would allow the House to pass its own spending plans and improve its leverage in talks with the Senate.

The Washington Post first reported on Thursday that the White House said Congress should pass a short-term funding measure.

The post White House asks Congress to pass short-term funding bill to keep government operating first appeared on Federal News Network.

Since 2019, Iran has seized a series of ships in the strait, the narrow mouth of the Persian Gulf, as part of its efforts to pressure the West over negotiations regarding its collapsed nuclear deal with world powers. Putting U.S. troops on commercial ships could further deter Iran from seizing vessels — or escalate tensions further.

The contemplated move also would represent an extraordinary commitment in the Mideast by U.S. forces as the Pentagon tries to focus on Russia and China. America didn’t even take the step during the so-called “Tanker War,” which culminated with the U.S. Navy and Iran fighting a one-day naval battle in 1988 that was the Navy’s largest since World War II.

While officials offered few details of the plan, it comes as thousands of Marines and sailors on both the amphibious assault ship USS Bataan and the USS Carter Hall, a landing ship, are on their way to the Persian Gulf. Those Marines and sailors could provide the backbone for any armed guard mission in the strait, through which 20% of the world’s crude oil passes.

Iran’s mission to the United Nations did not respond to a request for comment from AP about the U.S. proposal. Hours later, however, Iran’s state-run IRNA news agency acknowledged the proposal, citing this AP report.

Five U.S. officials, who spoke on condition of anonymity to discuss the proposal, acknowledged its broad details. The officials stressed no final decision had been made and that discussions continue between U.S. military officials and America’s Gulf Arab allies in the region.

Officials said the Marines and Navy sailors would provide the security only at the request of the ships involved. One official described the process as complex, saying any deployment likely also would require approval of the country under which the ship is flagged and the country under which the owner is registered. So far, that has yet to happen and it might not for some time, the official said.

At the Pentagon, Brig. Gen. Pat Ryder was asked about the plans and would only say that he has no announcements to make on the matter. More broadly, however, he noted that additional ships, aircraft and Marines have been deployed to the Gulf region, making it easier to respond more quickly to any Iranian provocations.

That effort by U.S. and partners, he said, is aimed at ensuring “the Strait of Hormuz remains open, there’s freedom of navigation, and that we’re deterring any type of malign activity.”

And White House National Security Council spokesman John Kirby, speaking to reporters, underscored the importance of the strait and U.S. concerns about Iranian harassment of vessels there.

“The Strait of Hormuz is a vital seaway that has a huge impact on seaborne trade around the world,” Kirby said. “It’s a critical chokepoint in the maritime world. And we have seen threats by Iran to affect that chokepoint.”

Earlier Thursday, Vice Adm. Brad Cooper, the head of the Navy’s Mideast-based 5th Fleet, met with the head of the Gulf Cooperation Council. The six-nation bloc includes Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates.

While a statement from the GCC about the meeting did not hint at the proposal, it did say that Cooper and officials discussed “strengthening GCC-U.S. cooperation and working with international and regional partners.”

The Bataan and Carter Hall left Norfolk, Virginia, on July 10 on a mission the Pentagon described as being “in response to recent attempts by Iran to threaten the free flow of commerce in the Strait of Hormuz and its surrounding waters.” The ships made a port visit earlier this week at Souda Bay, Greece, drawing closer to the Mideast, according to photographs released by the Navy.

Already, the U.S. has sent A-10 Thunderbolt II warplanes, F-16 and F-35 fighters, as well as the destroyer USS Thomas Hudner, and other warships to the region over Iran’s actions at sea.

The deployment has captured Iran’s attention, with its chief diplomat telling neighboring nations that the region doesn’t need “foreigners” providing security. On Wednesday, Iran’s paramilitary Revolutionary Guard launched a surprise military drill on disputed islands in the Persian Gulf, with swarms of small fast boats, paratroopers and missile units taking part.

The renewed hostilities come as Iran now enriches uranium closer than ever to weapons-grade levels after the collapse of its 2015 nuclear deal. International inspectors also believe it has enough enriched uranium for “several” nuclear bombs if it chose to build them. Iran maintains its program is for peaceful purposes, and U.S. intelligence agencies assess Tehran is not pursuing an atomic bomb.

The U.S. also has pursued ships across the world believed to be carrying sanctioned Iranian oil. Oil industry worries over another seizure by Iran likely has left a ship allegedly carrying Iranian oil stranded off Texas as no company has yet to unload it.

___

Baldor reported from Washington. Associated Press writers Tara Copp and Aamer Madhani in Washington contributed to this report.

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The new rules, passed by a 3-2 vote along party lines, also require publicly traded companies to annually disclose information on their cybersecurity risk management and executive expertise in the field. The idea is to protect investors.

Breach disclosures can be delayed if the U.S. Attorney General determines they would “pose a substantial risk to national security or public safety” and notifies the SEC in writing. Only under extraordinary circumstances could that delay be extended beyond 60 days.

“Whether a company loses a factory in a fire — or millions of files in a cybersecurity incident — it may be material to investors,” SEC Chair Gary Gensler said in a statement, noting the current inconsistency in disclosures.

The rules will put “more transparency into an otherwise opaque but growing risk” and may spur improvements in cyber defenses — though potentially posing a bigger challenge for smaller companies with limited resources, Lesley Ritter, senior VP at Moody’s Investors Service, said in a statement.

Technically, the clock doesn’t start ticking on the four-day window for reporting until companies have determined a breach is material.

One of the dissenting Republican commissioners, Hester Peirce, complained that the new requirements overstep the SEC’s authority and “seem designed to better meet the needs of would-be hackers” – who could benefit from detailed info on how companies manage cyberrisk.

As well, Peirce said in a statement, the temptation for the SEC to “micromanage” company operations will only grow.

A leading figure in cybersecurity, Tenable CEO Amit Yoran, heartily welcomed the new rule.

“For a long time, the largest and most powerful U.S. companies have treated cybersecurity as a nice-to-have, not a must have. Now, it’s abundantly clear that corporate leaders must elevate cybersecurity within their organizations,” he said in a statement.

The rules were first proposed in March 2022, when the SEC determined that breaches of corporate networks posed an escalating risk as their digitization of operations and remote work increased — and the cost to investors from cybersecurity incidents rose.

While some critical infrastructure operators and all health care providers must by law report breaches, no federal breach disclosure law exists.

In a new report published by IBM, researchers found organizations now pay an average of $4.5 million to deal with breaches — a 15% increase over the past three years. The Ponemon Institute researchers also found that impacted businesses typically pass the costs on to consumers, who may themselves also be victims with personal information stolen in a breach.

The rule’s passage also comes amid slow-moving, often cryptic disclosures — some through SEC filings — from a major data breach affecting hundreds of organizations caused by the so-called supply chain hack by Russian cybercriminals of a widely used file transfer program, MOVEit. The breach has impacted multiple universities, major pensions funds, U.S. government agencies, more than 9 million motorists in Oregon and Louisiana and companies including the BBC, British Airways, Ernst & Young and PricewaterhouseCoopers.

Many victims of the MOVEit breach were quick to point out that they were failed by a third-party application. The new SEC rule encompasses third-party apps and notes how companies have increasingly relied on outside cloud services for data management and storage.

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If confirmed, O’Malley would run one of the biggest social programs in the nation and grapple with the surrounding uncertainty over its funding. Roughly 70 million people — including retirees, disabled people and children — receive Social Security benefits.

“Governor O’Malley is a lifelong public servant who has spent his career making government more accessible and transparent, while keeping the American people at the heart of his work,” Biden said in a statement. “As Governor, he made government work more effectively across his administration and enhanced the way millions of people accessed critical services.”

O’Malley served as Maryland’s governor from 2007 to 2015 and was Baltimore mayor for two terms. He also ran as a Democratic presidential candidate in 2016 but has ruled out running in the future.

The annual Social Security and Medicare trustees report released in March says the program’s trust fund will be unable to pay full benefits in about 10 years.

If the fund is depleted, the government will be able to pay only 80% of scheduled benefits, the report said.

There are few options available to keep the program healthy: raise taxes, raise eligibility age, cut costs or rely more on general revenues to cover the gap in funding, which could mean higher budget deficits or potential cuts to other programs.

All of the options are politically controversial.

Currently, full Social Security benefits are available at 67, an age minimum that’s increased by two years since the program was first created roughly 90 years ago.

Everett Kelley, president of the American Federation of Government Employees workers union, applauded O’Malley’s nomination, and said he “is a strong advocate for working people and labor rights, and he has the skills and experience necessary to tackle the various challenges facing SSA like the recruitment and retention of its dedicated workforce.”

Nancy Altman, president of Social Security Works, said her organization “applauds the nomination of Governor O’Malley, a longtime Social Security champion.”

“Like President Biden, O’Malley supports expanding Social Security’s modest benefits, not cutting them.”

Last October, the agency announced that Social Security recipients would get an 8.7% boost in their benefits in 2023, a historic increase prompted by record-high inflation.

Social Security is financed by payroll taxes collected from workers and their employers. The maximum amount of earnings subject to Social Security payroll taxes for 2023 is $160,200, up from $147,000 in 2022.

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The measure seeks to improve air travel, which has been plagued by delays and cancellations during its busiest times, and would reauthorize FAA programs for the next five years. It passed on a mostly bipartisan vote of 351-69.

The Senate is working on its version of the bill ahead of the Oct. 1 deadline for action. The two chambers will have to reconcile differences or else approve a short-term extension of existing FAA programs by then.

The House approval came after a string of votes on contentious issues. Lawmakers voted 243-139 to remove a provision that would have allowed more flight simulator hours to be credited toward the 1,500-hour in-flight requirement to become an airline pilot.

Smaller airlines lobbied for the change, saying it would ease a pilot shortage that is already causing a loss of service to smaller communities. But opponents including pilot unions said the change would undermine safety.

A provision raising the mandatory retirement age for airline pilots from 65 to 67 survived despite opposition from pilot groups.

The House rejected an effort to increase the number of long-haul flights at Reagan Washington National Airport. Delta Air Lines pushed for the increase, joined by lawmakers from cities hoping to get nonstop service to the airport near downtown Washington. Flights to and from the airport are generally limited to 1,250 miles.

Opponents said the airport is already too congested and that adding more flights would lead to more delays. United Airlines, with a major operation at farther-out Dulles Airport, lobbied against the increase in flights at National.

The Senate is behind schedule on its version of the aviation measure, which would authorize more than $100 billion in spending. A committee vote was blocked last month by the disagreement over pilot training.

Many provisions in the House version of the legislation will affect airline consumers, including one that would roll back a Transportation Department regulation from 2011 requiring airlines to show the total price of a ticket upfront in advertising. Airlines could instead provide a link to the all-in price of a ticket.

Consumer advocates oppose the rollback, and the White House took their side Monday, saying full-fare advertising is needed to help consumers do comparison shopping for tickets.

Consumer groups hope that the Senate bill will include more of the provisions they want. They are underwhelmed by the House bill, which emerged as a compromise between Transportation Committee Chairman Sam Graves, a Missouri Republican, and Rick Larsen, a Washington Democrat.

Graves said the bill “improves the safety of our system, our airport infrastructure, and the quality of service for passengers.”

Scores of business groups and airlines applauded the House approval of the FAA legislation.

“This bill makes important progress that will enable the FAA to hire and train more controllers, to improve air traffic control technology and to strengthen the pipeline of trained workers, including pilots and aviation maintenance technicians,” American Airlines said in a statement after the vote.

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Koenig reported from Dallas.

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Officials likened the new U.S. Cyber Trust Mark initiative — to be overseen by the Federal Communications Commission, with industry participation voluntary — to the Energy Star program, which rates appliances’ energy efficiency.

“It will allow Americans to confidently identify which internet- and Bluetooth-connected devices are cybersecure,” deputy national security adviser Anne Neuberger told reporters in a pre-announcement briefing.

Amazon, Best Buy, Google, LG Electronics USA, Logitech and Samsung are among industry participants.

Devices including baby monitors, home security cameras, fitness trackers, TVs, refrigerators and smart climate control systems that meet the U.S. government’s cybersecurity requirements will bear the “Cyber Trust” label, a shield logo, as early as next year, officials said.

FCC Chairwoman Jessica Rosenworcel said the mark will give consumers “peace of mind” and benefit manufacturers, whose products would need to adhere to criteria set by the National Institute of Standards and Technology to qualify.

The FCC was launching a rule-making process to set the standards and seek public comment. Besides carrying logos, participating devices would have QR codes that could be scanned for updated security information.

In a statement, the Consumer Technology Association said consumers could expect to see certification-ready products at the industry’s annual January show, CES 2024, once the FCC adopts final rules. A senior Biden administration official said it was expected that products that qualify for the logo would undergo an annual re-certification.

The director of technology policy at Consumer Reports, Justin Brookman, welcomed the White House proposal but cautioned in a statement that “a long road remains” to its effective adoption.

“Our hope is that this label will ignite a healthy sense of competition in the marketplace, compelling manufacturers to safeguard both the security and privacy of consumers who use connected devices and to commit to supporting those devices for the lifetime of those products.”

The Cyber Trust initiative was first announced in October following a meeting between White House and tech industry representatives.

The proliferation of so-called smart devices has coincided with growing cybercrime in which one insecure device can often give a cyberintruder a dangerous foothold on a home network.

An April report from the cybersecurity firm Bitdefender and networking equipment company NetGear, based on their monitoring of smart homes, found that the most vulnerable devices in 2022 were, far and away, smart TVs, followed by smart plugs, routers and digital video recorders.

Providers of numerous smart home devices often don’t update and patch software fast enough to thwart newly emerging malware threats. The Cyber Mark standards are expected to make clear which devices patch vulnerable software in a timely fashion and secure their communications to preserve privacy, officials said. Also important will be informing consumers which devices are equipped to detect intrusions.

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The surgical, targeted espionage accessed the email of a small number of individuals at an unspecified number of U.S. agencies and was discovered in mid-June by the State Department, U.S. officials said. They said none of the breached systems were classified, nor was any of the stolen data.

The hacked officials included Commerce Secretary Gina Raimondo, The Washington Post reported, citing anonymous U.S. officials. Export controls imposed by her agency have stung multiple Chinese companies.

One person familiar with the investigation said U.S. military and intelligence agencies were not among the agencies impacted in the monthlong spying campaign, which also affected unnamed foreign governments.

The officials spoke on condition they not be further identified.

In a technical advisory Wednesday and a call with reporters, the U.S. Cybersecurity and Infrastructure Security Agency and the FBI said Microsoft determined the hackers gained access by impersonating authorized users.

Officials did not specify the nature of the stolen data. But one U.S. official said the intrusion was “directly targeted” at diplomats and others who deal with the China portfolio at the State Department and other agencies. The official added that it was not yet clear if there had been any significant compromise of information.

The Blinken trip went ahead as planned, although with customary information security procedures in place, which required his delegation to use “burner” phones and computers in China.

The hack was disclosed late Tuesday by Microsoft in a blog post. It said it was alerted to the breach, which it blamed on a state-backed, espionage-focused Chinese hacking group “known to target government agencies in Western Europe,” on June 16. Microsoft said the group, which it calls Storm-0558, had gained access to email accounts affecting about 25 organizations, including government agencies, since mid-May as well as to consumer accounts of individuals likely associated with those agencies.

Neither Microsoft nor U.S. officials would identify the agencies or governments impacted. A senior CISA official told reporters in a press call that the number of affected organizations in the United States is in the single digits.

While the official declined to say whether U.S. officials are displeased with Microsoft over the breach, U.S. National Security Council spokesman Adam Hodge noted that it was “government safeguards” that detected the intrusion and added, “We continue to hold the procurement providers of the U.S. Government to a high security threshold.”

In fact, those safeguards consist of a data-logging feature for which Microsoft charges a premium. The CISA official noted that some of the victims lacked the data-logging feature and, unable to detect the breach, learned of it from Microsoft.

But of greater concern to cybersecurity experts is that The Storm-0558 hackers broke in using forged authentication tokens — which are used to verify the identity of a user. Microsoft’s executive vice president for security, Charlie Bell, said on the company’s website that the hackers had done that by acquiring a “consumer signing key.”

Cybersecurity researcher Jake Williams, a former National Security Agency offensive hacker, said it remains unclear how the hackers accomplished that. Microsoft did not immediately respond to emailed questions, including whether it was breached by the hackers to obtain the signing key.

Williams was concerned the hackers could have forged tokens for wide use to hack any number of non-enterprise Microsoft users. “I can’t imagine China didn’t also use this access to target dissidents on personal subscriptions, too.”

The head of intelligence for the cybersecurity firm Crowdstrike, Adam Meyers, said in a statement that the incident highlights the systemic risk of relying on a single technology provider in Microsoft. He said “having one monolithic vendor that is responsible for all of your technology, products, services and security – can end in disaster.”

A Chinese foreign ministry spokesman, Wang Wenbin, called the U.S. accusation of hacking “disinformation” aimed at diverting attention from U.S. cyberespionage against China.

“No matter which agency issued this information, it will never change the fact that the United States is the world’s largest hacker empire conducting the most cyber theft,” Wang said in a routine briefing.

U.S. intelligence agencies also use hacking as a critical espionage tool and it is not a violation of international law.

Last month, Google-owned cybersecurity firm Mandiant said suspected state-backed Chinese hackers broke into the networks of hundreds of public and private sector organizations globally exploiting a vulnerability in a popular email security tool.

Earlier this year, Microsoft said state-backed Chinese hackers were targeting U.S. critical infrastructure and could be laying the technical groundwork to disrupt critical communications between the U.S. and Asia during future crises.

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Associated Press writers Aamer Madhani in Washington and Zen Soo in Hong Kong contributed to this report. Bajak reported from Boston.

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The numbers issued Tuesday by the U.S. Small Business Administration inspector general are much greater than the office’s previous projections and underscore how vulnerable the Paycheck Protection and COVID-19 Economic Injury Disaster Loan programs were to fraudsters, particularly during the early stages of the coronavirus pandemic.

The inspector general’s report said “at least 17 percent of all COVID-EIDL and PPP funds were disbursed to potentially fraudulent actors.” The fraud estimate for the COVID-19 Economic Injury Disaster Loan program is more than $136 billion, which represents 33 percent of the total money spent on that program, according to the report. The Paycheck Protection fraud estimate is $64 billion, the inspector general said.

In comments attached to the report, a senior SBA official disputed the new numbers. Bailey DeVries, SBA’s acting associate administrator for capital access, said the inspector general’s “approach contains serious flaws that significantly overestimate fraud and unintentionally mislead the public to believe that the work we did together had no significant impact in protecting against fraud.”

The SBA inspector general had previously estimated fraud in the COVID-19 disaster loan program at $86 billion and the Paycheck Protection program at $20 billion.

The Associated Press reported June 13 that scammers and swindlers potentially swiped about $280 billion in COVID-19 emergency aid; an additional $123 billion was wasted or misspent. The bulk of the potential losses are from the two SBA programs and another to provide unemployment benefits to workers suddenly unemployed by the economic upheaval caused by the pandemic. The three initiatives were begun during the Trump administration and inherited by President Joe Biden. Combined, the loss estimated by AP represents 10% of the $4.2 trillion the U.S. government has so far disbursed in COVID relief aid.

The federal government has now reported $276 billion in potential fraud, a figure that aligns with the AP’s analysis.

Gene Sperling, a senior White House official overseeing pandemic relief spending, said in a interview Tuesday that 86% of the fraud, or potential fraud, in the emergency loan programs happened during the first nine months of the pandemic when President Donald Trump was in office.

“$200 billion is a very big number, but this, again, should be remembered as potential fraud,” Sperling said. “We think the amount of likely or actual fraud is significantly less, significantly under $100 billion, perhaps around $40 billion.”

But he added, “whichever it is, it’s unacceptably high.”

The SBA inspector general, Hannibal “Mike” Ware, said in a statement Tuesday that the report “utilizes investigative casework, prior (inspector general) reporting, and cutting-edge data analysis to identify multiple fraud schemes used to potentially steal over $200 billion from American taxpayers and exploit programs meant to help those in need.”

Ware, in an interview with The Associated Press earlier this month, said these latest fraud figures won’t be the last ones issued by his office.

“We will continue to assess fraud until we’re finished with the investigations on these things,” Ware said. That could be a long while. His office has a backlog of more than 90,000 actionable leads into pandemic relief fraud, which amounts to nearly a century’s worth of work.

SBA issued its own report Tuesday detailing anti-fraud measures it has adopted. The agency’s administrator, Isabella Casillas Guzman, said in an emailed statement that the report outlines “the effective measures added to fight fraud and hold bad actors responsible.”

SBA previously told The Associated Press the federal government has not developed an accepted system for assessing fraud in federal programs. Previous analyses, the agency said, have pointed to “potential fraud” or “fraud indicators” in a manner that conveys those numbers as a true fraud estimate when they are not. For the COVID-19 Economic Injury Disaster Loan program, the agency said it’s “working estimate” found $28 billion in likely fraud.

Fraud in pandemic unemployment assistance programs stands at $76 billion, according to congressional testimony from the Labor Department’s inspector general, Larry Turner. That’s a conservative estimate. An additional $115 billion mistakenly went to people who should not have received the benefits, according to his testimony.

The Biden administration put in place stricter rules to stem pandemic fraud, including use of a “Do Not Pay” database. Biden also recently proposed a $1.6 billion plan to boost law enforcement efforts to go after pandemic relief fraudsters.

Bob Westbrooks, a former executive director of the federal Pandemic Response Accountability Committee, said in an interview the $200 billion number is “unacceptable, unprecedented and unfathomable.” Westbrooks published a book last week, “Left Holding the Bag: A Watchdog’s Account of How Washington Fumbled its COVID Test.”

“The swift distribution of funds and program integrity are not mutually exclusive,” Westbrooks said Tuesday. “The government can walk and chew gum at the same time. They should have put basic fraud controls in place to verify people’s identity and to make sure targeted relief was getting into the right hands.”

The fraudulent payouts have consequences, said John Griffin, a finance professor at the University of Texas at Austin’s McCombs School of Business,.

Griffin and colleagues said i n a new paper that pandemic relief fraud inflated house prices.

The study found that people who fraudulently obtained Paycheck Protection loans were more likely to buy a house than people who got legitimate loans, and housing prices increased 5.7 percentage points on average in ZIP codes with high amounts of fraud during the pandemic, even after controlling for other factors that affect home prices such as land supply, prior house price growth and the ability to telework. For a $400,000 house, that would add $22,800.

The study also found increases in consumer spending in ZIP codes where people received high amounts of fraudulent funds, which may have fueled inflation more broadly, Griffin said Tuesday.

“If you paid too much for your house because fraudsters pumped up the house prices in your ZIP code and then your house price ends up going down, you could be the victim of an unintended consequence of fraud,” he said in an interview. “It’s another reason why we should care about fraud.”

—

McDermott reported from Providence, Rhode Island.

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The New York Democrat said he is working on what he calls “exceedingly ambitious” bipartisan legislation to maximize the technology’s benefits and mitigate significant risks.

While Schumer did not lay out details of such legislation, he offered some key goals: protect U.S. elections from AI-generated misinformation or interference, shield U.S. workers and intellectual property, prevent exploitation by AI algorithms and create new guardrails to ward off bad actors.

AI legislation also should promote American innovation, Schumer said in a speech at the Center for Strategic and International Studies, a Washington think tank.

“If applied correctly, AI promises to transform life on Earth for the better,” Schumer said. “It will reshape how we fight disease, tackle hunger, manage our lives, enrich our minds and ensure peace. But there are real dangers that present themselves as well: job displacement, misinformation, a new age of weaponry and the risk of being unable to manage this new technology altogether.”

Schumer’s declaration of urgency comes weeks after scientists and tech industry leaders, including high-level executives at Microsoft and Google, issued a warning about the perils that artificial intelligence could pose to humankind.

“Mitigating the risk of extinction from AI should be a global priority alongside other societal-scale risks such as pandemics and nuclear war,” their statement said.

Worries about artificial intelligence systems outsmarting humans and running wild have intensified in recent months with the rise of a new generation of highly capable AI chatbots such as ChatGPT. It has sent countries around the world scrambling to come up with regulations for the developing technology, with the European Union blazing the trail with its AI Act expected to be approved later this year.

On Tuesday, President Joe Biden convened a group of technology leaders in San Francisco to debate what he called the “risks and enormous promises” of artificial intelligence. In May, the administration brought together tech CEOs at the White House to discuss these issues, with the Democratic president telling them, “What you’re doing has enormous potential and enormous danger.”

“We’ll see more technological change in the next 10 years that we saw in the last 50 years,” Biden said.

White House chief of staff Jeff Zients’ office is developing a set of actions the federal government can take over the coming weeks regarding AI, according to the White House.

Schumer’s hands-on involvement in crafting AI legislation is unusual, as Senate leaders usually leave the task to individual senators or committees. But he has taken a personal interest in regulating the development of artificial intelligence, arguing that it is urgent as companies have already introduced human-like chatbots and other products that could alter life as we know it. He is working with another Democrat, Sen. Martin Heinrich of New Mexico, and Republican Sens. Mike Rounds of South Dakota and Todd Young of Indiana to speak with experts, educate colleagues and write the legislation.

It’s an unexpected role for Schumer, in particular, who famously carries a low-tech flip phone, and for the Senate as a whole, where the pace of legislation is often glacial.

Senators average around retirement age and aren’t known for their mastery of high-tech. They’ve been mocked in recent years for basic questions at hearings — asking Facebook founder Mark Zuckerberg simple questions about how his platform works at a 2018 hearing on Russian interference, for example — and for a bipartisan reluctance to regulate the technology industry at all.

Schumer, along with several Republican colleagues, say the federal government can no longer afford to be laissez-faire with tech companies.

“If the government doesn’t step in, who will fill its place?” Schumer asked. “Individuals and the private sector can’t do the work of protecting our country. Even if many developers have good intentions, there will always be rogue actors, unscrupulous companies, and foreign adversaries that seek to harm us. And companies may not be willing to insert guardrails on their own, certainly if their competitors are not required to insert them as well.”

Attempting to regulate AI, Schumer said, “is unlike anything Congress has dealt with before.”

It is unclear if Schumer will be able to accomplish his goals. The effort is in its earliest stages, with the bipartisan working group just starting a series of briefings for all 100 senators to get them up to speed. In the House, legislation to regulate or oversee artificial intelligence has been more scattershot, and Republican leaders have not laid out any ambitious goals.

Schumer acknowledged that there are more questions than answers about the technology.

“It’s not like labor or healthcare or defense where Congress has a long history we can work off of,” Schumer said. “In fact, experts admit nobody is even sure which questions policymakers should be asking. In many ways, we’re starting from scratch.”

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The Biden administration is seeking to figure out how to regulate the emergent field of AI, looking for ways to nurture its potential for economic growth and national security and protect against its potential dangers.

“We’ll see more technological change in the next 10 years that we saw in the last 50 years,” Biden said as the meeting with eight technology experts from academia and advocacy groups kicked off.

“AI is already driving that change,” Biden said.

The sudden emergence of AI chatbot ChatGPT and other tools has jumpstarted investment in the sector. AI tools are able to craft human-like text, music, images and computer code. This form of automation could increase the productivity of workers, but experts warn of numerous risks.

The technology could be used to replace workers, causing layoffs. It’s already being deployed in false images and videos, becoming a vehicle of disinformation that could undermine democratic elections. Governments, as well as the European Union, have said they are determined to regulate and put brakes on AI before it is too late.

Biden said social media has already shown the harm technology can do “without the right safeguards in place.”

In May, Biden’s administration brought together tech CEOs at the White House to discuss these issues, with the Democratic president telling them, “What you’re doing has enormous potential and enormous danger.”

White House chief of staff Jeff Zients’ office is developing a set of actions the federal government can take over the coming weeks regarding AI, according to the White House. Top officials are meeting two to three times each week on this issue, in addition to the daily work of federal agencies. The administration wants commitments from private companies to address the possible risks from AI.

Biden met Tuesday at the Fairmont hotel in San Francisco with Tristan Harris, executive director of the Center for Human Technology; Jim Steyer, the CEO of Common Sense Media; and Joy Buolamwin, founder of the Algorithmic Justice League, among others. California Gov. Gavin Newsom was also in attendance.

Biden is also in the San Francisco area to raise money for this 2024 reelection campaign. At his first fundraiser of the night, Biden spoke about what he saw as freedoms under siege, particularly for the LGBTQ community and with the overturning of abortion protections by the U.S. Supreme Court. And as president, it’s his job to help safeguard the right to choose.

“I think the American people need to have the confidence that we’re going to do what we say we’re going to do,” he said.

Climate change has also been a priority in Biden’s speeches at the fundraisers. On Tuesday, he told a group that he expects that John Kerry, the special envoy for climate, will soon return to China for talks on reducing carbon emissions.

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Associated Press writer Barbara Ortutay in San Francisco contributed to this report.

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