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File #: 12655   
Type: Consent Status: Passed
File created: 8/8/2025 Department: Innovation and Technology
On agenda: 8/19/2025 Final action: 8/19/2025
Subject: Termination of Non-Financial Agreements with OpenAI, LLC for Generative Artificial Intelligence Tools
Attachments: 1. Item #31 Executed BAI
REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION

August 19, 2025

FROM
LYNN FYHRLUND, Chief Information Officer, Innovation and Technology Department

SUBJECT
Title
Termination of Non-Financial Agreements with OpenAI, LLC for Generative Artificial Intelligence Tools
End

RECOMMENDATION(S)
Recommendation
Acknowledge termination of the following non-financial agreements with OpenAI, LLC for generative artificial intelligence tools:
1. OpenAI Business Terms Agreement No. 24-420
2. OpenAI Service Terms Agreement No. 24-421
3. Data Processing Addendum Agreement No. 24-422
(Presenter: Lynn Fyhrlund, Chief Information Officer, 388-5501)
Body

COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Improve County Government Operations.

FINANCIAL IMPACT
Approval of this item will not result in the use of Discretionary General Funding (Net County Cost) as there is no cost or financial impact associated with the termination of the non-financial agreements with OpenAI, LLC (OpenAI).

BACKGROUND INFORMATION
Generative Artificial Intelligence (Generative AI) is a type of artificial intelligence technology with the ability to provide various types of content, including text, imagery, audio, and synthetic data. On November 30, 2022, OpenAI released Chat Generative Pre-trained Transformer (ChatGPT) to the public, accessible through a computing device (e.g., smartphone, laptop) via an app or web browser.

On May 21, 2024 (Item No. 40), the Board of Supervisors (Board) approved Agreement Nos. 24-420, 24-421, and 24-422 (collectively Agreements) for generative artificial intelligence tools, which enabled County departments to leverage Generative AI tools and its capabilities to foster innovation, accelerate business processes, and lead to greater efficiency in delivering services to the public. These agreements became effective upon electronic acceptance and continue until terminated by either party.

As of May 31, ...

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