{"id":247720,"date":"2025-05-19T18:15:53","date_gmt":"2025-05-19T18:15:53","guid":{"rendered":"https:\/\/peraltafinancing.com\/business\/legal\/big-news-in-ai-policy-proposed-10-year-moratorium-on-state-ai-regulation\/"},"modified":"2025-05-19T18:15:53","modified_gmt":"2025-05-19T18:15:53","slug":"big-news-in-ai-policy-proposed-10-year-moratorium-on-state-ai-regulation","status":"publish","type":"post","link":"https:\/\/fivemor.com\/?p=247720","title":{"rendered":"Big News in AI Policy: Proposed 10-Year Moratorium on State AI Regulation"},"content":{"rendered":"<p> <br \/>\n<\/p>\n<div>\n<div data-lxb_af_featured_image_insert_after=\"true\">\n<figure class=\"lxb_af-featured_image-get lxb_af-grid-width-3_of_5 lxb_af-landscape lxb_af-featured_image-get-no_caption lxb_af-grid-align-right lxb_af-featured_image-get-big_enough\" style=\"max-width: ;\">\n\t\t\t\t<span class=\"lxb_af-featured_image-get-wrap\"><img loading=\"lazy\" class=\"lxb_af-featured_image-get-img\" decoding=\"async\" src=\"https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-scaled.jpeg\" srcset=\"https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-scaled.jpeg 2560w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-320x179.jpeg 320w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-656x368.jpeg 656w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-240x135.jpeg 240w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-768x430.jpeg 768w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-1536x861.jpeg 1536w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-2048x1148.jpeg 2048w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-40x22.jpeg 40w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-80x45.jpeg 80w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-160x90.jpeg 160w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-2200x1234.jpeg 2200w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-1100x617.jpeg 1100w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-550x309.jpeg 550w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-367x206.jpeg 367w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-734x411.jpeg 734w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-275x154.jpeg 275w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-825x462.jpeg 825w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-220x123.jpeg 220w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-440x247.jpeg 440w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-660x370.jpeg 660w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-880x493.jpeg 880w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-184x103.jpeg 184w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-917x514.jpeg 917w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-138x77.jpeg 138w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-413x231.jpeg 413w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-688x386.jpeg 688w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-963x540.jpeg 963w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-123x69.jpeg 123w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-110x62.jpeg 110w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-330x185.jpeg 330w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-300x168.jpeg 300w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-600x336.jpeg 600w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-207x116.jpeg 207w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-344x193.jpeg 344w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-55x31.jpeg 55w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-71x40.jpeg 71w, https:\/\/www.healthcarelawinsights.com\/wp-content\/uploads\/sites\/645\/2024\/07\/AdobeStock_729672265-96x54.jpeg 96w\" sizes=\"auto, ( max-width: 770px ) calc( 100vw - 30px ), 660px\" alt=\"\" width=\"2560\" height=\"1435\"\/><\/span><\/p>\n<\/figure><\/div>\n<p>Artificial intelligence (AI) continues to dominate headlines\u2014not just for its technological leaps, but also for the policies shaping its future. In a major development, a new <a href=\"https:\/\/hbfiles.blob.core.windows.net\/webfiles\/HMKP-119-IF00-20250513-SD003.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Republican-backed tax bill, released by the House Energy and Commerce Committee on May 11, 2025<\/a>, seeks to preempt states from regulating AI models for the next decade. If passed, this bill would prevent state laws governing AI systems, allowing only limited exceptions for measures that simply facilitate or streamline AI development and deployment. Laws attempting to regulate artificial intelligence models, artificial intelligence systems, or automated decisions systems would be disallowed during the 10 year period.<\/p>\n<p>This proposed federal approach aligns with the current administration\u2019s emphasis on AI innovation over regulation, reflecting a belief that a unified, national policy will spur American competitiveness in this rapidly evolving field.<\/p>\n<p><span id=\"more-6529\"\/><\/p>\n<p><strong>A Patchwork of State Activity<\/strong><\/p>\n<p>The push for a federal moratorium comes as states have been increasingly active in the AI policy arena. <a href=\"https:\/\/thehill.com\/policy\/technology\/5295706-republican-bill-blocks-states-ai-regulations\/\" target=\"_blank\" rel=\"noreferrer noopener\">Nearly 700 AI-related bills were considered across the country last year, and 113 were enacted into law<\/a>. Comprehensive state legislation passed in Colorado and Utah both have an impact on healthcare as does California\u2019s Artificial Intelligence in Healthcare Services Bill AB3030, which requires that any AI-generated communications involving patient clinical information in California healthcare facilities include a disclaimer about the use of generative AI and instructions for contacting a human healthcare provider. As AI technologies become more powerful and pervasive, state lawmakers have been eager to step in\u2014sometimes out of concern for consumer protection, sometimes to ensure ethical development, and sometimes simply to keep pace with technological change.<\/p>\n<p><strong>Would a 10-Year Prohibition Foster Innovation?<\/strong><\/p>\n<p>Supporters of the proposed moratorium argue that a decade-long prohibition on state-level AI regulation would create a stable environment for innovation. Here are some of the potential advantages:<\/p>\n<ul class=\"wp-block-list\">\n<li><strong>Reduced Compliance Costs:<\/strong>\u00a0Companies wouldn\u2019t have to navigate 50 different regulatory regimes, lowering the barrier to entry for startups and reducing legal uncertainty.<\/li>\n<li><strong>Global Competitiveness:<\/strong>\u00a0By prioritizing innovation, the U.S. could maintain its leadership in AI, especially as countries like China and the EU ramp up their own efforts.<\/li>\n<\/ul>\n<p>However, there are also significant disadvantages to consider:<\/p>\n<ul class=\"wp-block-list\">\n<li><strong>Stifling Local Solutions:<\/strong>\u00a0States often serve as \u201claboratories of democracy,\u201d experimenting with new approaches that can inform national policy. A moratorium could prevent states from responding to unique local needs or emerging risks.<\/li>\n<li><strong>Potential for Regulatory Gaps:<\/strong>\u00a0With AI evolving rapidly, a 10-year freeze could leave critical issues\u2014such as privacy, discrimination, and safety\u2014unaddressed at the state level.<\/li>\n<li><strong>Public Trust:<\/strong>\u00a0Without robust safeguards, the public may lose confidence in AI systems, potentially slowing adoption and innovation in the long run.<\/li>\n<\/ul>\n<p><strong>State-Level Innovation: A Testing Ground for AI Policy<\/strong><\/p>\n<p>Historically, states have played a vital role in protecting consumers and setting standards as new technologies emerge. From data privacy to environmental protection, state-level action has often paved the way for broader reforms. In the context of AI, states are well-positioned to:<\/p>\n<ul class=\"wp-block-list\">\n<li><strong>Respond Quickly:<\/strong>\u00a0State legislatures can often act faster than Congress, addressing new risks as they arise.<\/li>\n<li><strong>Tailor Solutions:<\/strong>\u00a0States can craft policies that reflect local values and concerns, whether that\u2019s disclosing AI\u2019s use in healthcare or ensuring transparency in government use of AI.<\/li>\n<li><strong>Pilot New Approaches:<\/strong>\u00a0By experimenting with different regulatory models, states can provide valuable insights into what works\u2014and what doesn\u2019t\u2014before national standards are set.<\/li>\n<\/ul>\n<p>That said, the rapid pace of AI development and its cross-border impacts do pose challenges for state-level regulation. There\u2019s a real risk of fragmentation, with companies facing conflicting requirements that stifle growth and innovation.<\/p>\n<p><strong>What\u2019s Next?<\/strong><\/p>\n<p>The debate over AI regulation is far from settled. As Congress considers this sweeping moratorium, policymakers will need to weigh the benefits of a unified national approach against the risks of stifling local innovation and oversight.<\/p>\n<p>We are following AI developments closely, especially as they impact healthcare. If you have questions relating to potential federal preemption as to AI regulation or AI trends in healthcare or the life sciences, contact\u00a0<a href=\"https:\/\/www.huschblackwell.com\/professionals\/kimberly-chew\">Kimberly Chew<\/a>,\u00a0<a href=\"https:\/\/www.huschblackwell.com\/professionals\/kathleen-snyder\">Kathleen Snyder<\/a>, or your Husch Blackwell attorney.\u00a0<\/p>\n<\/p><\/div>\n\n","protected":false},"excerpt":{"rendered":"<p>Artificial intelligence (AI) continues to dominate headlines\u2014not just for its technological leaps, but also for the policies shaping its future. In a major development, a new Republican-backed tax bill, released by the House Energy and Commerce Committee on May 11, 2025, seeks to preempt states from regulating AI models for the next decade. If passed, [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":247721,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[97],"tags":[31585,1022,78188,1820,11572,17297,17012,5296],"dealstore":[],"offerexpiration":[],"class_list":["post-247720","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-legal","tag-10year","tag-big","tag-moratorium","tag-news","tag-policy","tag-proposed","tag-regulation","tag-state"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.4 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Big News in AI Policy: Proposed 10-Year Moratorium on State AI Regulation - Som2ny Network<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/fivemor.com\/?p=247720\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Big News in AI Policy: Proposed 10-Year Moratorium on State AI Regulation - Som2ny Network\" \/>\n<meta property=\"og:description\" content=\"Artificial intelligence (AI) continues to dominate headlines\u2014not just for its technological leaps, but also for the policies shaping its future. 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In a major development, a new Republican-backed tax bill, released by the House Energy and Commerce Committee on May 11, 2025, seeks to preempt states from regulating AI models for the next decade. 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