United States of America: Committee on Commerce, Science, and Transportation released updated text with USD 500 million AI Funding and moratorium on the enforcement of state and local laws regulating

On 25 June 2025, the Committee on Commerce, Science, and Transportation published the updated text of the Budget Reconciliation Bill, introducing USD 500 million in funding for artificial intelligence (AI) and a 10-year pause on state-level AI regulation. The updated text amended the Broadband Equity, Access, and Deployment Program to include AI infrastructure and introduced definitions for “artificial intelligence,” “artificial intelligence model,” and “artificial intelligence system.” It earmarked USD 500 million for the programme, including USD 25 million for negotiating master services agreements to support the cost-effective procurement and deployment of AI models, systems, and automated decision systems. The text also introduced a temporary 10-year moratorium on state and local measures restricting the use of AI technologies in interstate commerce. Only laws that support AI deployment or comply with federal requirements are exempt. Subgrantees would be required to comply with the federally negotiated master services agreements to ensure consistency and cost efficiency in AI-related contracts.