Asger Risom
A draft order circulating inside Washington suggests the White House may soon try to override state-level rules on AI — setting up a direct confrontation between the federal government and lawmakers across the country.
A brewing clash over who gets to police artificial intelligence in the United States is moving toward a new and more aggressive phase. A draft order circulating inside Washington suggests the White House may soon try to override state-level rules on AI — setting up a direct confrontation between the federal government and lawmakers across the country.
The proposal shows how far the administration is considering going to streamline regulations for the tech industry.
Federal pushback
According to Reuters, the draft order would instruct federal agencies to actively challenge state AI laws and could tie certain federal funds to whether states adopt their own guardrails. Supporters say the aim is to prevent a fragmented patchwork of regulations that AI companies argue hampers innovation and complicates national competitiveness.
A White House official told Reuters that nothing is final until an order is formally issued, emphasizing that any current discussion remains speculative.
Under the draft, Attorney General Pam Bondi would oversee a newly formed “AI Litigation Task Force,” charged with targeting state measures the administration views as conflicting with federal authority or improperly restricting interstate commerce. The Commerce Department would also be asked to review state statutes and outline conditions under which states might risk losing access to some broadband development money.
State resistance
The move would revive a fight that flared earlier this year in Congress. The Senate overwhelmingly rejected — by a 99–1 vote — an attempt to block states from regulating AI after proposals tied eligibility for the $42 billion Broadband Equity, Access and Deployment program to state-level AI policies.
Lawmakers in both parties pushed back, arguing that states must retain authority to combat fraud, deepfakes and child exploitation imagery. They warned that sweeping preemption would leave residents vulnerable to fast-moving AI-driven threats.
The debate resurfaced this week after the president supported a renewed effort by Republicans to attach similar restrictions to the National Defense Authorization Act. Lawmakers including Democratic Senator Adam Schiff and Republican Senator Josh Hawley came out against adding the measure.
Targeting state laws
The draft reportedly calls out certain state measures by name. It labels California’s new AI disclosure requirement “complex and burdensome” and argues that a Colorado rule designed to curb algorithmic discrimination could pressure developers to bake diversity and inclusion goals directly into model behavior.
Beyond Bondi’s role, the draft directs White House legislative chief James Braid and AI adviser David Sacks to propose federal legislation that could override state AI statutes and to work with agencies on identifying tools to limit their impact.
What comes next
If finalized, the order would mark one of the most forceful federal attempts so far to assert national control over AI regulation. It would almost certainly draw immediate legal challenges from states and deepen an ongoing political struggle over who sets the rules for emerging technologies.
For now, both sides appear braced for a prolonged fight: tech companies pushing for a single nationwide standard, and state officials arguing they must retain the authority to safeguard residents from rapidly evolving AI risks.
Sources: Reuters
