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Senate Parliamentarian Greenlights 10-Year Ban on State AI Rules in Trump’s Budget Bill

With parliamentarian approval under the Byrd Rule, the moratorium remains in place pending floor amendments on state authority and broadband funding

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Overview

  • The provision bars states from enforcing existing or future AI regulations for a decade in order to access a $500 million AI infrastructure fund
  • Senate parliamentarian Elizabeth MacDonough ruled that the moratorium complies with reconciliation rules by limiting its conditions to the new $500 million allocation
  • Republican senators Marsha Blackburn, Josh Hawley and Ron Johnson have vowed to offer floor amendments aimed at stripping or modifying the moratorium
  • Democrats, state leaders and groups like Common Sense Media warn the measure could undermine consumer safeguards and threaten up to $42 billion in Broadband Equity, Access, and Deployment grants
  • The moratorium’s fate will be determined during the Senate debate, where amendments and a final reconciliation vote are expected ahead of the bill reaching the president