Senate proposes alternative to AI moratorium in Trump’s ‘big, beautiful bill’
- The U.S. House passed a large budget bill in May 2025 containing a ten-year freeze on state and local AI regulations included in President Trump's agenda.
- The provision emerged amid ongoing state legislation on AI and taxes, although some House Republicans, including Marjorie Taylor Greene, said they were unaware of the AI clause.
- Georgia lawmakers, led by Technology Committee Chair Todd Jones, condemned the provision as harmful, citing existing state laws on AI regulatory guardrails and the risks of federal overreach.
- More than 250 bipartisan state legislators signed a letter on June 3 urging Congress to oppose the AI moratorium, warning it would prevent important protections and increase dependence on federal control.
- The Senate removed the outright moratorium but linked $500 million in AI infrastructure funding to pausing regulations, and debate continues over the provision's eligibility and impact on states' rights.
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AI regulation moratorium dropped in Senate budget package
A controversial artificial intelligence regulation ban that was included in the House-passed “big, beautiful” budget reconciliation package was left out of the Senate Commerce Committee’s title of the reconciliation bill. The panel released its text on Thursday, which omitted a moratorium on the enforcement of state and local AI regulations and legislation for 10 years. The text instead conditions jurisdictions’ ability to receive funding from a…
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