Consumer Reports backs Senate vote upholding states’ role over AI regulation

Washington, DC – The U.S. Senate voted 99-1 earlier this morning to remove the 10-year moratorium on state regulation of artificial intelligence in budget reconciliation bill H.R. 1. The vote allows states with existing AI laws to continue enforcement and enables others to adopt new protections in the future.

“We are pleased with the bipartisan vote to reject the 10-year moratorium on states regulating AI. Congress should not prohibit states from protecting their residents when it comes to AI—especially without offering any alternative protections” said Grace Gedye, policy analyst for AI issues at Consumer Reports. “States have led the way on bringing transparency to flawed AI decision systems and protecting consumers. Future legislation from Congress should not undermine state efforts; it should complement existing laws and learn from the laboratories of democracy.”

Amid ongoing gridlock in Congress, states have taken the lead on tech policy—especially in the areas of AI and consumer privacy. Last year, Colorado made history by enacting Senate Bill 205, becoming the first state in the country to establish baseline accountability and transparency for the use of AI in high-stakes decisions affecting consumers and workers, such as decisions about access to housing, lending, medical care, insurance, employment, and more. California passed a law, SB 942, that would help consumers discover which content is generated by AI. Tennessee passed the ELVIS Act, protecting performing artists from the unauthorized use of their voice and likeness. Nineteen states have also passed comprehensive privacy laws, most of which include protections around the use of automated decisionmaking systems.

Consumer Reports has strongly opposed the moratorium since its proposed inclusion in H.R. 1 in May. Consumer Reports also launched a petition urging the U.S. Senate to strike down the measure. In response, nearly 80,000 individuals sent emails calling on lawmakers to reject the 10-year moratorium.

Contact: Cyrus Rassool, cyrus.rassool@consumer.org