House Republicans Push for 10-Year Moratorium on State AI Laws

In this article, authors Holly Fechner, Matthew Shapanka, and August Gweon (Inside Global Tech/Covington) discuss a controversial proposal advanced by House Republicans that would impose a 10-year federal moratorium on the enforcement of state and local laws regulating artificial intelligence (AI) and automated decision-making systems. Passed by the House Energy and Commerce Committee along party lines, the moratorium is intended to curtail the growing patchwork of state AI regulations, which proponents argue could stifle innovation and complicate compliance for the AI industry. However, the moratorium would exempt laws that promote AI adoption or align with federal mandates, thereby preserving some pathways for regulatory action at the state level.

The authors explain that the moratorium reflects increasing concern among GOP lawmakers and industry leaders about the risks that inconsistent state laws pose to U.S. competitiveness, national security, and technological advancement in AI. While it limits restrictive local regulations, the moratorium permits laws that streamline AI deployment or impose broadly applicable requirements on comparable technologies. This legislative push mirrors ongoing debates about federal preemption in other areas of tech policy, such as consumer data privacy, signaling a growing willingness among Republicans to centralize AI governance at the federal level.

Despite clearing the House committee, the moratorium’s future remains uncertain due to procedural constraints in the Senate. Under the Byrd Rule, reconciliation bills must primarily address budgetary matters, and provisions with policy goals deemed “extraneous” may be struck. If the full House passes the reconciliation bill, Democratic senators could challenge the AI moratorium in the Senate. To override such a challenge, Senate Republicans would need at least seven Democratic votes—a high bar given the current 53-47 partisan split…

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