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Senate Republicans propose alternative to scale back AI provision in Trump bill
Senate Republicans propose alternative to scale back AI provision in Trump bill

Yahoo

time3 days ago

  • Business
  • Yahoo

Senate Republicans propose alternative to scale back AI provision in Trump bill

WASHINGTON - Senate Republicans modified language around a controversial artificial intelligence provision in President Donald Trump's sweeping tax and domestic policy bill after it prompted backlash from both Democrats and Republicans. AI has long been a subject of controversy due to national security and child safety risks posed by the technology, including the rise of deepfakes, misinformation and scams. The Trump administration's stance on AI has largely aligned with that of companies, arguing that regulation would stymie innovation. But the provision in the bill has been a point of contention among lawmakers as many contend that AI technology is still new and needs to be under state regulation. The provision in the House bill passed by the lower chamber on May 22 would have prohibited states from enforcing any law or regulation 'limiting, restricting, or otherwise regulating" AI models, AI systems or automated decision systems affecting trade, transportation or traffic for a ten year period. Republicans on the Senate Commerce, Science and Transportation Committee, however, released their draft text of Trump's bill on June 5 proposing to tie the ban to federal funding. States who comply with the decade-long AI regulation freeze can receive grant money from the Broadband Equity, Access, and Deployment program. The program is a $42.45 billion initiative to expand high-speed Internet access nationwide, according to the National Telecommunications and Information Administration. The Senate proposal says that grantees can use the funds to 'construct and deploy infrastructure' regarding AI systems. The Senate proposal is a large step away from the original provision, which lawmakers across the aisle raised concerns about. Conservative firebrand Georgia Republican Rep. Marjorie Taylor Greene said she wouldn't have voted for the House bill if she'd known about it. 'We have no idea what AI will be capable of in the next 10 years and giving it free rein and tying states hands is potentially dangerous,' she wrote in a tweet on June 3. California Democrat Rep. Ted Lieu, vice chair of the House Democratic Caucus, said at a presser on June 4: 'I agree with Marjorie Taylor Greene once every hundred years. This is that time.' Texas Rep. Greg Casar, chair of the Congressional Progressive Caucus, argued that 'writing big tech companies a blank check to exploit AI however they want - that's contrary to what the vast majority of American people want.' Though House Freedom Caucus member Texas Rep. Chip Roy voted in favor of the bill, he echoed similar sentiments, telling reporters that governors should be able to 'protect their own constituencies, particularly on a technology that is very new and fluid.' It still remains to be seen whether the proposal will be included in the final version of the Senate bill before it is voted on by lawmakers. Trump and GOP leaders have set a self-imposed deadline of July 4 to try to get the tax bill through both chambers of Congress and to the president's desk for signature into law. This article originally appeared on USA TODAY: Senate GOP propose alternative to AI provision in Trump bill

Senate parliamentarian allows GOP to keep ban on state AI rules
Senate parliamentarian allows GOP to keep ban on state AI rules

Yahoo

time6 days ago

  • Business
  • Yahoo

Senate parliamentarian allows GOP to keep ban on state AI rules

The Senate parliamentarian concluded the controversial push to ban state regulation of artificial intelligence for the next 10 years can remain in President Trump's sweeping tax and spending bill. The decision, announced by lawmakers over the weekend, followed weeks of speculation from both parties over whether the provision would overcome the procedural hurdle known as the Byrd Rule. The parliamentarian's decision will allow the provision to be voted on in the budget reconciliation process with a simple-majority vote. It comes after Sen. Ted Cruz (R-Texas), the chair of the Senate Committee on Commerce, Science and Transportation, altered the language of the House's version in hopes of complying with the Byrd Rule, which prohibits 'extraneous matters' from being included in reconciliation packages. Under their proposal, states would be prohibited from regulating AI if they want access to federal funding from the Broadband Equity, Access and Deployment (BEAD) program. The House's version called for a blanket 10-year moratorium on state laws regulating AI models and systems, regardless of funding. Still, some GOP members remained skeptical it would pass the Byrd Rule. Sen. John Cornyn (R-Texas) said last week it was 'doubtful' the provision survives. The provision has further divided Republicans, while Democrats are largely against it. While many Republicans are concerned with overbearing regulation of the emerging tech, a few GOP members argue it goes against the party's traditional support of states' rights. Republican Sens. Marsha Blackburn (Tenn.) and Ron Johnson (Wis.) told The Hill they are against the provision, while Sen. Josh Hawley (R-Mo.) said he is willing to introduce an amendment to eliminate the provision during the Senate's marathon vota-a-rama if it is not taken out earlier. The provision received pushback from some Republicans in the House as well. A group of hard-line conservatives argued in a letter earlier this month to Senate Republicans that Congress is still 'actively investigating' AI and 'does not fully understand the implications' of the technology. This was shortly after Rep. Marjorie Taylor Greene (R-Ga.) confirmed she would be a 'no' on the bill if it comes back to the House with the provision included. 'I am 100 percent opposed, and I will not vote for any bill that destroys federalism and takes away states' rights, ability to regulate and make laws when it regards humans and AI,' the Georgia Republican told reporters. Several Republican state leaders and lawmakers are also pushing back. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Bessent asks lawmakers to megabill's 'revenge tax,' citing progress in global talks
Bessent asks lawmakers to megabill's 'revenge tax,' citing progress in global talks

Politico

time6 days ago

  • Business
  • Politico

Bessent asks lawmakers to megabill's 'revenge tax,' citing progress in global talks

The Senate parliamentarian is asking the Senate Commerce Committee to rework its 10-year moratorium on enforcing state artificial intelligence laws, according to ranking member Maria Cantwell. The parliamentarian had asked Commerce Chair Ted Cruz (R-Texas) to rewrite the language in the GOP megabill to make clear it wouldn't impact $42 billion in broadband funding, Cantwell (D-Wash.) told POLITICO. 'That's what was a last night request from the parliamentarian,' Cantwell said. 'Yeah, that's what's going on.' Cruz's communications director Macarena Martinez said in a statement to POLITICO Thursday, 'Out of respect, we are not going to comment on private consultations with the Parliamentarian,' and added, 'The Democrats would be wise not to use this process to wishcast in public.' What's the problem? At issue is the scope of funding that will be conditioned on states complying with a 10-year pause on enforcing their AI laws. Cruz has said enforcing the moratorium would be required for states to tap into a new $500 million fund for building out AI infrastructure. The parliamentarian approved that language, a narrowed version of an earlier proposal to tie the moratorium to the $42 billion Broadband Equity, Access, and Deployment program. Democrats have argued that the latest moratorium would still affect all $42 billion. Talking points circulated by Cruz on Wednesday saying his bill 'forbids states collecting new BEAD money from strangling AI deployment with EU-style regulation' only added to the confusion, suggesting the provision could apply to the entire broadband program. Cruz's office told POLITICO Wednesday that the Congressional Budget Office 'has confirmed this applies only to the unobligated $500M.' The Senate parliamentarian is under fire after striking major pieces of Medicaid policy from being included in the megabill on Thursday. Majority Leader John Thune has said the GOP would not seek to override decisions from the Senate's rules referee. Republican doubts: The AI moratorium has divided Republicans. A group of GOP senators, including Sens. Marsha Blackburn of Tennessee, Josh Hawley of Missouri and others, sent a letter to Thune on Wednesday urging the removal of the moratorium language, according to a person familiar with the matter. 'States should not be punished for trying to protect their citizens from the harms of AI,' Blackburn said in a post on X on Thursday. Sen. Kevin Cramer (R-N.D.) said he is concerned about the scope of the provision and needs to 'get clarity' on if it would apply to the whole BEAD program. 'There's some communication challenge here about whether we're talking about a $500 million pot, or whether we're talking about the entire $40 billion — and the difference is significant. It matters,' Cramer told POLITICO. 'If I can't get assurances that it's not just the smaller pot, it'd be hard for me to get to yes.' The Article 3 Project, a prominent conservative advocacy group, said it would 'fully support these bold and fearless Republican Senators and their effort to protect America's children, creators, and foundational property rights.' Arkansas Gov. Sarah Huckabee Sanders, who served as White House press secretary in the first Trump administration, came out against the moratorium language in The Washington Post on Thursday. She warned it would lead to 'unintended consequences and threatens to undo all the great work states have done to protect our citizens from the misuse of artificial intelligence.' Tech support: The tech industry has lent broad support to the moratorium. The National Venture Capital Association praised it in a letter to Thune on Thursday. 'The current fragmented AI regulatory environment in the United States creates unnecessary challenges for startups, stifles innovation, and threatens our dominance in the industry,' wrote Bobby Franklin, the organization's president. Other major tech groups, including the Business Software Alliance, the Consumer Technology Association and NetChoice, have also strongly supported the language.

SALT members head to Treasury after rejecting SALT deal
SALT members head to Treasury after rejecting SALT deal

Politico

time6 days ago

  • Business
  • Politico

SALT members head to Treasury after rejecting SALT deal

The Senate parliamentarian is asking the Senate Commerce Committee to rework its 10-year moratorium on enforcing state artificial intelligence laws, according to ranking member Maria Cantwell. The parliamentarian had asked Commerce Chair Ted Cruz (R-Texas) to rewrite the language in the GOP megabill to make clear it wouldn't impact $42 billion in broadband funding, Cantwell (D-Wash.) told POLITICO. 'That's what was a last night request from the parliamentarian,' Cantwell said. 'Yeah, that's what's going on.' Cruz's communications director Macarena Martinez said in a statement to POLITICO Thursday, 'Out of respect, we are not going to comment on private consultations with the Parliamentarian,' and added, 'The Democrats would be wise not to use this process to wishcast in public.' What's the problem? At issue is the scope of funding that will be conditioned on states complying with a 10-year pause on enforcing their AI laws. Cruz has said enforcing the moratorium would be required for states to tap into a new $500 million fund for building out AI infrastructure. The parliamentarian approved that language, a narrowed version of an earlier proposal to tie the moratorium to the $42 billion Broadband Equity, Access, and Deployment program. Democrats have argued that the latest moratorium would still affect all $42 billion. Talking points circulated by Cruz on Wednesday saying his bill 'forbids states collecting new BEAD money from strangling AI deployment with EU-style regulation' only added to the confusion, suggesting the provision could apply to the entire broadband program. Cruz's office told POLITICO Wednesday that the Congressional Budget Office 'has confirmed this applies only to the unobligated $500M.' The Senate parliamentarian is under fire after striking major pieces of Medicaid policy from being included in the megabill on Thursday. Majority Leader John Thune has said the GOP would not seek to override decisions from the Senate's rules referee. Republican doubts: The AI moratorium has divided Republicans. A group of GOP senators, including Sens. Marsha Blackburn of Tennessee, Josh Hawley of Missouri and others, sent a letter to Thune on Wednesday urging the removal of the moratorium language, according to a person familiar with the matter. 'States should not be punished for trying to protect their citizens from the harms of AI,' Blackburn said in a post on X on Thursday. Sen. Kevin Cramer (R-N.D.) said he is concerned about the scope of the provision and needs to 'get clarity' on if it would apply to the whole BEAD program. 'There's some communication challenge here about whether we're talking about a $500 million pot, or whether we're talking about the entire $40 billion — and the difference is significant. It matters,' Cramer told POLITICO. 'If I can't get assurances that it's not just the smaller pot, it'd be hard for me to get to yes.' The Article 3 Project, a prominent conservative advocacy group, said it would 'fully support these bold and fearless Republican Senators and their effort to protect America's children, creators, and foundational property rights.' Arkansas Gov. Sarah Huckabee Sanders, who served as White House press secretary in the first Trump administration, came out against the moratorium language in The Washington Post on Thursday. She warned it would lead to 'unintended consequences and threatens to undo all the great work states have done to protect our citizens from the misuse of artificial intelligence.' Tech support: The tech industry has lent broad support to the moratorium. The National Venture Capital Association praised it in a letter to Thune on Thursday. 'The current fragmented AI regulatory environment in the United States creates unnecessary challenges for startups, stifles innovation, and threatens our dominance in the industry,' wrote Bobby Franklin, the organization's president. Other major tech groups, including the Business Software Alliance, the Consumer Technology Association and NetChoice, have also strongly supported the language.

Parliamentarian requests AI moratorium rewrite
Parliamentarian requests AI moratorium rewrite

Politico

time6 days ago

  • Business
  • Politico

Parliamentarian requests AI moratorium rewrite

The Senate parliamentarian is asking the Senate Commerce Committee to rework its 10-year moratorium on enforcing state artificial intelligence laws, according to ranking member Maria Cantwell. The parliamentarian had asked Commerce Chair Ted Cruz (R-Texas) to rewrite the language in the GOP megabill to make clear it wouldn't impact $42 billion in broadband funding, Cantwell (D-Wash.) told POLITICO. 'That's what was a last night request from the parliamentarian,' Cantwell said. 'Yeah, that's what's going on.' Cruz's communications director Macarena Martinez said in a statement to POLITICO Thursday, 'Out of respect, we are not going to comment on private consultations with the Parliamentarian,' and added, 'The Democrats would be wise not to use this process to wishcast in public.' What's the problem? At issue is the scope of funding that will be conditioned on states complying with a 10-year pause on enforcing their AI laws. Cruz has said enforcing the moratorium would be required for states to tap into a new $500 million fund for building out AI infrastructure. The parliamentarian approved that language, a narrowed version of an earlier proposal to tie the moratorium to the $42 billion Broadband Equity, Access, and Deployment program. Democrats have argued that the latest moratorium would still affect all $42 billion. Talking points circulated by Cruz on Wednesday saying his bill 'forbids states collecting new BEAD money from strangling AI deployment with EU-style regulation' only added to the confusion, suggesting the provision could apply to the entire broadband program. Cruz's office told POLITICO Wednesday that the Congressional Budget Office 'has confirmed this applies only to the unobligated $500M.' The Senate parliamentarian is under fire after striking major pieces of Medicaid policy from being included in the megabill on Thursday. Majority Leader John Thune has said the GOP would not seek to override decisions from the Senate's rules referee. Republican doubts: The AI moratorium has divided Republicans. A group of GOP senators, including Sens. Marsha Blackburn of Tennessee, Josh Hawley of Missouri and others, sent a letter to Thune on Wednesday urging the removal of the moratorium language, according to a person familiar with the matter. 'States should not be punished for trying to protect their citizens from the harms of AI,' Blackburn said in a post on X on Thursday. Sen. Kevin Cramer (R-N.D.) said he is concerned about the scope of the provision and needs to 'get clarity' on if it would apply to the whole BEAD program. 'There's some communication challenge here about whether we're talking about a $500 million pot, or whether we're talking about the entire $40 billion — and the difference is significant. It matters,' Cramer told POLITICO. 'If I can't get assurances that it's not just the smaller pot, it'd be hard for me to get to yes.' The Article 3 Project, a prominent conservative advocacy group, said it would 'fully support these bold and fearless Republican Senators and their effort to protect America's children, creators, and foundational property rights.' Arkansas Gov. Sarah Huckabee Sanders, who served as White House press secretary in the first Trump administration, came out against the moratorium language in The Washington Post on Thursday. She warned it would lead to 'unintended consequences and threatens to undo all the great work states have done to protect our citizens from the misuse of artificial intelligence.' Tech support: The tech industry has lent broad support to the moratorium. The National Venture Capital Association praised it in a letter to Thune on Thursday. 'The current fragmented AI regulatory environment in the United States creates unnecessary challenges for startups, stifles innovation, and threatens our dominance in the industry,' wrote Bobby Franklin, the organization's president. Other major tech groups, including the Business Software Alliance, the Consumer Technology Association and NetChoice, have also strongly supported the language.

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