On 11 May 2025, the House Republicans on the U.S. House Energy and Commerce Committee announced the budget reconciliation bill that includes the Artificial Intelligence (AI) and Information Technology Modernisation initiative. The bill applies to developers and providers of AI models, systems, and automated decision systems, and proposes a 10-year federal moratorium on the enforcement of state and local laws regulating such technologies. Exceptions are made for laws that facilitate AI deployment, streamline administrative procedures, or impose neutral, cost-based requirements comparable to those applied to non-AI systems. The bill also allocates USD 500 million to the Department of Commerce to modernise federal IT infrastructure using commercial AI and automation tools to improve efficiency, replace legacy systems, and enhance cybersecurity. If enacted, the moratorium would take immediate effect and remain in place until 2035.
Original source