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Home»AI Legislation»Trump’s “big beautiful bill” could ban AI regulations
AI Legislation

Trump’s “big beautiful bill” could ban AI regulations

versatileaiBy versatileaiMay 27, 2025No Comments5 Mins Read
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House of Representatives passes President Donald Trump’s “big and beautiful bill”

The House has passed President Donald Trump’s “big, beautiful bill.” He is now moving to the Senate.

President Donald Trump’s huge bill package, dubbed “Big Beautiful Bill,” includes proposals that can make a significant use of the burgeoning movement to regulate artificial intelligence at the state level.

The ban comes in part of a bill that allocates $500 million over the next decade to modernize government systems with the help of AI and automation technology. The ban not only prevents new state-driven regulations for AI, but also blocks dozens of states from enforcing existing AI regulations and monitoring structures.

The more than 1,000 pages of law advanced by Republicans died in the House on May 22 with just one vote and sent it to the Senate. Republicans hope to complete the tax and policy bill by the end of July to avoid debt defaults, but it’s still far from becoming law as the GOP navigates a small majority among the parties that rely on some key elements of the bill. There are concerns centered around Medicaid, tax cuts and government spending, but the proposed AI ban by several well-known Republican lawmakers also shows that it is a point of friction.

Trump’s bill: Tax policy bill will clean up the House. Next, the Senate gave his opinion

Regulations on artificial intelligence are often likened to a kind of wild west as governments compete across the nation and around the world to keep up with rapidly evolving technology. AI itself has proven to be an attractive tool for public and private organizations. As such, the adoption of technology far outweighs the ability of many governments to implement laws and frameworks to prevent misuse. As it stands, there is no centralized federal oversight of AI, and states seek to regulate technology through an uneven patchwork of law.

Under President Joe Biden’s administration, the White House introduced a now-repeated blueprint for the AI ​​Bill of Rights, taking clues from similarly appointed documents in the European Union. We have directed state agencies to assess current use and potential impacts of AI, assess the potential risks of AI fuels, and encourage training state employees on this subject. There is a new Trump-led AI framework in place, prioritizing accelerating AI innovation. The Trump administration’s stance on regulation has so far been roughly in line with most businesses and tech industries who argue that regulations hinder innovation.

Trump and AI: President signs executive orders to boost AI from kindergarten to high school

Many regulations target AI fraud, deepfakes, AI-assisted disinformation, and focus on other possible harms from technology. While there are many opportunities for AI to create positive change, policies and advocacy groups like California’s Technology and Democracy Initiative (Quote) warn of the same possibility for negative impacts and require regulation in some areas.

“Many commentators believe that AI will be used immediately by state and non-state actors to develop dangerous weapons, increase surveillance and extend existing biases and discrimination in a variety of areas, from lending to employment, employment, and police,” said in a January 2024 report.

Signatories of the letter include the Georgetown Law Center for Privacy and Technology, the Southern Poverty Law Center, the Actors Equity Association, the Innocence Project, and the National Coalition of Health Workers.

Republicans primarily expressed support for the provisions in the House Subcommittee on Wednesday, May 21, but prominent Missouri Republican Sen. Josh Hawley and Tennessee Marsha Blackburn recently pushed back the ban.

“We certainly know that Tennessee needs these protections,” Blackburn said at a May 21 hearing on a bill to protect Americans from AI impersonation. “And we can’t call a moratorium until the federal government gives us something that takes the lead.”

Holy also pushed back the ban proposed in a May 13 interview with Business Insider. “As a federalist issue, we would want to be able to test the different regimes that states think will work for their nation,” Holy said. “And I think in general, AI needs wise surveillance to protect people’s freedom.”

The discussion of regulations is often one of innovations, with technology industry leaders and companies saying it could limit technology and reduce the US competitiveness. Others who support the ban, such as Sean Heather, senior vice president of the U.S. Chamber of Commerce, say the state is moving too fast in regulating AI.

“We should stop international patchwork and domestic patchwork with AI regulations,” Heather said at a House Subcommittee hearing on May 21. “We shouldn’t be in a hurry to regulate. We need to get it right. So, to be able to support moratoriums, it’s important to take the time to discuss it at the federal level.”

At least 45 states, Puerto Rico, the Virgin Islands and Washington, DC introduced AI bills at their 2024 legislative meeting, according to the state legislative meeting.

Of these, more than 30 states and territories have passed AI laws, with Utah, Maryland and Florida passing regulatory and AI surveillance laws. Seven states and Puerto Rico have introduced 16 AI regulatory bills pending legislative approval last year, and more than 12 new regulatory proposals introduced in 2025 in state houses across the country.

Kathryn Palmer is a national trending news reporter for USA Today. You can contact her at kapalmer@usatoday.com and x @kathrynplmr.

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