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Trump’s ‘Big Beautiful Bill’ Faces Senate Scrutiny Over State AI Moratorium

Senate Majority Leader John Thune has indicated few amendments are likely as lawmakers weigh the moratorium’s potential to undercut consumer safeguards in state-led AI experiments.

AI Law Could Spark a Constitutional Crisis
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Overview

  • The House approved the $4.9 trillion tax and spending package on May 22 by a 215-214 vote, with two Republicans joining all Democrats in opposition.
  • A provision imposes a 10-year moratorium on state and local AI regulations, blocking existing and future rules except those designed to streamline AI deployment.
  • Senators Josh Hawley of Missouri and Marsha Blackburn of Tennessee argue the ban undermines federalism by preventing states from piloting tailored AI oversight frameworks.
  • Legal experts such as Professor Margaret Hu caution that courts could invalidate the moratorium under the Constitution’s Supremacy Clause in the absence of a comprehensive federal AI law.
  • With the package now before the Senate, Majority Leader John Thune has suggested that significant changes to the House text are unlikely before final consideration.