Senate Hands AI Regulation Back to States, Defying Prior Trump Plan

The U.S. Senate has overwhelmingly voted to restore states’ authority to regulate artificial intelligence, by striking a 10-year federal moratorium from President Trump’s comprehensive tax and spending bill. The 99-1 vote marks a significant policy reversal, moving away from a federally imposed restriction on state AI oversight.
Republican Senator Marsha Blackburn was instrumental in introducing the successful amendment during a protracted “vote-a-rama” session. This crucial legislative action highlights a bipartisan consensus that states should not be preempted from addressing the burgeoning field of AI, particularly in areas concerning public safety and individual rights.
Initially, the Senate’s of the bill would have only indirectly influenced state AI regulation by linking it to eligibility for a new $500 million fund for AI infrastructure. The complete removal of the ban, however, is a more definitive statement, granting states the explicit power to legislate on AI without federal impediment. This opens the door for a diverse range of state-level AI initiatives.
While leading AI firms like Google and OpenAI have expressed support for a unified federal regulatory approach to minimize innovation hurdles, Senator Blackburn emphasized the urgent need for state action. She underscored that “The current language is not acceptable to those who need these protections the most,” and that states must act in the absence of federal protective legislation.