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Senate Votes 99-1 to Restore State Authority Over AI Regulation

Overturning the moratorium preserves diverse state AI laws after sustained pushback by governors, safety advocates, state attorneys general

Sen. Ted Cruz, R-Texas, stands in an elevator as Republicans begin a final push to advance President Donald Trump's tax breaks and spending cuts package, at the Capitol in Washington, Monday, June 30, 2025. (AP Photo/Mark Schiefelbein)
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Documents tracking Senate votes are seen at the U.S. Capitol as Republican lawmakers struggle to pass U.S. President Donald Trump's sweeping spending and tax bill, on Capitol Hill in Washington, D.C., U.S., July 1, 2025. REUTERS/Nathan Howard

Overview

  • Senators Marsha Blackburn and Maria Cantwell secured the amendment during an overnight vote-a-rama, with only Senator Thom Tillis opposing the measure
  • Blackburn had reached a deal with Senator Ted Cruz to reduce the ban from ten to five years with carve-outs for child online safety and artists’ likeness rights before withdrawing support
  • Under the original proposal, states enforcing their own AI rules would have been barred from accessing a $500 million AI infrastructure fund
  • Existing state laws on issues such as deepfakes, algorithmic bias and intellectual property protections will remain in force without federal preemption
  • The moratorium’s defeat leaves Congress without a unified AI framework, maintaining a patchwork of state regulations