Overview of the Proposed Provision

In a significant development, U.S. House Republicans, led by Rep. Brett Guthrie (R-Ky.), have incorporated a provision into the budget reconciliation bill that could drastically alter state-level regulation of artificial intelligence (AI). As described by various experts, this addition may represent one of the most extreme stances taken by Republicans regarding AI governance.

Details of the Provision

The proposed language states, “No state or political subdivision thereof may enforce any law or regulation regulating artificial intelligence models, artificial intelligence systems, or automated decision systems during the 10-year period beginning on the date of the enactment of this act.” This clause aims to prohibit state governments from implementing laws designed to protect citizens from potentially harmful AI technologies.

Implications for State Regulations

Critics are raising alarms about the implications of this provision, noting that it could hinder states from enacting regulations that have emerged in response to growing concerns about AI. States like New York and California have pioneered laws mandating bias audits for AI in hiring and requiring transparency in healthcare AI usage. Guthrie’s proposal could render such regulations unenforceable.

Response from Experts and Advocates

Dave Troy, publisher of America 2.0, emphasized that with Congress largely influenced by big tech interests, state governments are increasingly viewed as the last line of defense for AI regulation. He expressed concern over the potential removal of state authority to ensure AI accountability, particularly regarding issues like deepfake technology and algorithmic bias.

“Now that state laws are finally starting to hold AI companies accountable for deepfake child pornography, election disinformation, AI companions targeting minors, and algorithmic abuse, Congress wants to slam the brakes?” said Troy.

Political Reactions

Rep. Jan Schakowsky (D-Ill.) criticized the provision as a “giant gift to Big Tech,” arguing that it would allow AI companies to sidestep important consumer protections and exacerbate issues like misinformation and exploitative profiling.

The Tech Oversight Project has called for Democratic lawmakers to oppose what they refer to as the “AI poison-pill spending bill,” framing the provision as a dangerous concession to corporate interests.

The Broader Context of AI Regulation

With lawmakers in nearly 45 states considering over 550 bills related to AI in the upcoming 2025 legislative session, the proposed federal ban raises significant questions about the balance between innovation and public safety. At least eight states are focused on regulating high-risk AI systems, while many are exploring measures to prevent discrimination through automated processes.

“Congress must ask itself: Will it stand with Big Tech lobbyists, or with the people it was elected to represent?” remarked JB Branch, a representative from Public Citizen.