Overview

• The House Budget Committee has approved a reconciliation bill that includes a provision banning state and local AI regulations for 10 years.
• Over 140 organizations, including civil rights and labor groups, have signed a letter opposing the measure, citing risks of algorithmic discrimination, deepfakes, and lack of accountability for AI harms.
• President Trump is set to sign the bipartisan Take It Down Act, targeting non-consensual AI-generated intimate images, highlighting contrasting federal approaches to AI oversight.
• Critics argue the moratorium would invalidate existing state laws addressing AI transparency, bias, and consumer protections, such as those in Colorado, New Jersey, and Ohio.
• The proposal underscores a broader debate on whether AI regulation should prioritize centralized federal control or state-driven innovation to balance technological leadership with public safety.