Overview

• The House approved the “Big Beautiful Bill” on May 22 by a single vote, embedding a 10-year moratorium on state AI regulations alongside a $500 million fund for federal AI modernization.
• Senators Marsha Blackburn and Josh Hawley have joined bipartisan objections from over two dozen state attorneys general who warn the ban could undermine consumer privacy and local innovation.
• A Senate parliamentarian is weighing whether the state-preemption provision violates the Byrd Rule’s restrictions on extraneous items in reconciliation bills.
• More than 45 states and Puerto Rico have introduced over 550 AI bills this year, with Utah, Maryland and Florida already enacting dedicated oversight laws.
• OpenAI, Google and Meta continue to urge a unified federal approach to avoid a patchwork of state rules they say would hamper technological growth.