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06-24 AMERICAN CRISIS: Why You Need to Understand the Proposed AI Moratorium: Answers to Key Questions

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Congress is considering a moratorium on state artificial intelligence (AI) regulation. This FAQ answers some basic questions about the proposal and will be updated occasionally to reflect breaking developments.

1. What is the proposed federal AI moratorium?

Contained within H.R. 1 (the “One Big Beautiful Bill Act”) is a provision seeking to prevent any state or its political subdivisions (e.g., cities or counties) from enforcing any law or regulation that specifically targets AI models, AI systems, or automated decision systems.[1] The prohibition would last for a 10-year period starting from the enactment date.

2. What is federal preemption, and how would it apply if the moratorium were enacted?

Rooted in the Constitution’s Supremacy Clause, federal preemption allows federal law to supersede state law when they conflict or when Congress intends to occupy a regulatory field exclusively. Because its language explicitly prohibits states from enforcing certain laws, the AI moratorium—if enacted—would be an act of express preemption. This means that validly enacted federal law would prevent states from making or enforcing their own AI-specific regulations for a 10-year period (unless an exception applies).

3. What is the stated or implied purpose of this 10-year moratorium?

While the draft language itself does not explicitly state its overarching purpose, proponents argue that such measures are intended to foster national uniformity in regulation. Preventing a “patchwork” of differing state laws would reduce compliance burdens for businesses operating across state lines and could potentially encourage innovation. More than 1,000 AI-related bills were introduced in the United States within the first five months of 2025—the vast majority of them state bills.

Read more here. 

lynnswarriors06-24 AMERICAN CRISIS: Why You Need to Understand the Proposed AI Moratorium: Answers to Key Questions