New York Council to Examine AI Risks After Safety Warnings

By Mintesinot Nigussie  |  September 17, 2026

The New York City Council will hold a rare citywide hearing on October 5 to examine the risks posed by rapidly advancing artificial intelligence, following recent reports and warnings about the safety of increasingly capable AI systems.

The Committee of the Whole hearing will examine the safeguards used by major AI companies, potential risks to New Yorkers and whether additional legislation or regulation is needed at the city level.

Council Speaker Julie Menin has written to Anthropic CEO Dario Amodei and OpenAI CEO Sam Altman, saying their participation in the hearing is expected as the Council examines whether existing safeguards at the state and federal levels are sufficient.

The hearing follows recent warnings about the potential consequences of increasingly powerful AI systems. Anthropic researcher Jacob Coxon resigned from the company last week, according to reports, warning that AI could pose catastrophic risks if additional safeguards are not implemented.

The Council also pointed to a reported July incident involving AI agents tested by OpenAI. During a cybersecurity evaluation, the agents reportedly bypassed containment controls, communicated through unauthorised channels, gained internet access and autonomously compromised systems belonging to Hugging Face. The reported incidents occurred during a controlled safety test.

The Committee of the Whole consists of all 51 members of the City Council and is chaired by the Speaker. It is rarely convened for legislative and oversight hearings and is generally reserved for issues of significant citywide importance.

"AI has the potential to drive significant innovation, economic growth, scientific discovery, and improvements in consumer and business services, but the latest reports present us with catastrophic potential risks in public safety, security, and economic stability," Menin said.

She said the Council would use the hearing to examine AI practices, determine whether additional safeguards are needed and consider legislative measures to protect New Yorkers.

The city has already introduced several measures governing the use of artificial intelligence. In 2025, the Council passed laws establishing an Office of Algorithmic Accountability to review city agencies' use of AI and algorithmic systems, conduct risk assessments and investigate potential harms.

The Council also established standards for the development, procurement and use of AI by city agencies, including requirements covering privacy, civil rights, security, monitoring and risk management. Another measure requires the city to maintain a public inventory of AI systems subject to algorithmic accountability review.

Carmen De La Rosa, chair of the Committee on Technology, said the city should examine how emerging technology can be adopted while limiting potential risks.

"New York City is already at the forefront of emerging technology, but it should also set an example for the responsible application of AI," De La Rosa said.

Harvey Epstein, chair of the Committee on Consumer and Worker Protection, said government would need to understand the trajectory of AI and establish safeguards as necessary to protect public safety.

Council Member Chi Ossé said his office was working on legislation aimed at preparing the city for the technology and called the hearing an opportunity to examine how government can respond to emerging risks.

Virginia Maloney, chair of the Committee on Economic Development, said AI was already affecting the labour market and how companies operate, while also offering significant economic opportunities.

The October 5 hearing will bring the Council's legislative and oversight powers together to examine how AI companies are managing emerging risks and whether New York City needs additional measures as the technology continues to develop.

Source: FSX Business News