Discounted regulatory cost analysis

Three groups of estimates are tabulated below. The first group of estimates come directly from California's study of the cost of risk assessment (RA) and automated decision making technology (ADMT) provisions. Each year after the first is estimated as either 15% or 30% of the first year costs, giving low and high estimates. All of those costs are tallied and discounted by 2% to give the discounted regulatory cost in the final column. The second grouping assumes all businesses will be compliant, leading to a higher initial cost and higher ongoing costs. The third grouping assumes market rate labor costs.