12-05-2025
House GOP proposes 10-year ban on state AI regulations
A Republican tax bill released late Sunday seeks to block states from regulating artificial intelligence (AI) models for the next 10 years.
The bill text from the House Energy and Commerce Committee would bar states from enforcing laws or regulations governing AI models, AI systems or automated decision systems.
It provides some exemptions for laws and regulations that aim to 'remove legal impediments' or 'facilitate the deployment or operation' of AI systems, as well as those that seek to 'streamline licensing, permitting, routing, zoning, procurement, or reporting procedures.'
It would also permit state laws that do not 'impose any substantive design, performance, data-handling, documentation, civil liability, taxation, fee, or other requirement' on AI systems.
The bill, which comes as Republicans gear up to advance President Trump's legislative agenda this week, aligns with the administration's emphasis on AI innovation instead of regulation.
Shortly after taking office, Trump rescinded former President Biden's executive order establishing guardrails around AI and fielded input on his own forthcoming 'AI Action Plan.'
Vice President Vance also slammed 'excessive regulation' of AI during his first international trip in the administration in February.
'We believe that excessive regulation of the AI sector could kill a transformative industry just as it's taking off,' Vance said at the AI Action Summit in Paris. 'And I'd like to see that deregulatory flavor making a lot of the conversations this conference.'
Meanwhile, as AI regulation at the federal level remains in limbo, states have sought to develop laws around the rapidly developing technology.
State legislatures considered nearly 700 AI bills last year, 113 of which were ultimately enacted into law, according to the Business Software Alliance.
California launched a controversial effort last year to regulate extreme risks from AI that faced pushback from federal lawmakers.
State S.B. 1047, which sought to require powerful AI models to undergo safety testing before they could be released and hold developers liable for severe harms, was ultimately vetoed by California Gov. Gavin Newsom (D).
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