Senate Republicans adjust restrictions on state AI regulations in an attempt to maintain contentious provision
In an unexpected twist, Senate Republicans have tweaked their tax bill to preserve a new policy that could halt state regulations on artificial intelligence for a decade. This shift is a departure from the House-passed version that imposed an outright ban on current and future AI regulations by states for a decade[3][4].
Legislative text released on Thursday night reveals that Senate Republicans propose denying federal funds for broadband projects to states that impose AI regulations. This move is a strategic approach to deter states from implementing AI regulations, although they can still choose to do so if they're prepared to forego federal funding for broadband infrastructure[3][4].
In a statement announcing the changes, Sen. Ted Cruz, chair of the Senate Commerce Committee, praised the revision, stating it fulfills the mandate given to President Trump and Congressional Republicans by the voters - to unleash America's economic potential while safeguarding it from potential threats[5].
Yet, this proposed ban has sparked concern amongst state lawmakers, both Democrats and Republicans, and has alarmed some digital safety advocates. They worry about the rapid advancement of AI and the implications of under-regulation. Leading AI executives, such as Sam Altman from OpenAI, argue that a "patchwork" of state AI regulations could impede innovation[3][4].
Not all House Republicans are comfortable with this provision. Rep. Marjorie Taylor Greene, R-Ga., criticized the AI regulatory moratorium in the House bill after initially voting for it, stating, "We should be reducing federal power and preserving state power. Not the other way around"[5].
The gambit by Senate Republicans is an attempt to adhere to the special process used for passing the tax bill with a simple majority vote. To comply with these rules, provisions must primarily deal with the federal budget and not government policy. The Republicans argue that by tying federal appropriations, such as funding for broadband internet infrastructure, to specific conditions, they're meeting the Senate's standard for using a majority vote[6].
Cruz plans to argue next week before the Senate parliamentarian that the revised ban complies with the rules. Despite parliamentarian rulings not being binding, senators of both parties have historically abided by these findings[6].
So far, Congress has been unable to reach a compromise on the regulation of AI, with both parties' concerns diverging significantly. The GOP legislation also includes substantial changes to how the federal government auction commercial spectrum ranges, an issue that has divided lawmakers regarding balancing national security and providing telecommunications firms with more frequencies for commercial wireless use[6].
Senators are targeting a vote on the tax package, which includes extending the 2017 rate cuts and other breaks originating from President Donald Trump's first term, as well as new tax breaks and deep cuts to social programs, later this month[2].
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- The Senate Republicans' policy change on technology regulation, specifically AI, is aimed at safeguarding technological advancement while avoiding state-level restrictions, as demonstrated in their tax bill proposal that denies federal funds for broadband projects to states imposing AI regulations [3][4][5].
- This policy shift in terms of policy-and-legislation and technology, which could stall state regulations on AI for a decade, is a subject of concern among state lawmakers and digital safety advocates who fear under-regulation's implications [3][4].
- The ongoing dispute over AI regulations between the Senate, Congress, and various political entities is a significant issue in the realm of general-news, politics, and policy-and-legislation, with both parties expressing diverging opinions on the matter [2][3][6].
