40 State Attorneys General Warn: 'Big Beautiful Bill' Will Strip States of Power Over AI
Just as feds merge surveillance, DNA, and biotech.
This article originally appeared on Jon Fleetwood’s Substack and was republished with permission.
Guest post by Jon Fleetwood
A bipartisan coalition of 40 state attorneys general has sent a scathing letter to Congress warning against the 10-year federal ban on state regulation of artificial intelligence buried in the 1,116-page One Big Beautiful Bill Act—the same bill the House just passed along party lines.
This website’s early reporting on the issue even caught the eye of conservative commentator Dana Loesch (@DLoesch).
Now, U.S. Representatives Marjorie Taylor Greene (R-GA) and Thomas Massie (R-KY) are speaking out against the bill’s section.
“The impact of such a broad moratorium would be sweeping and wholly destructive of reasonable state efforts to prevent known harms associated with AI,” the AGs wrote in a letter dated May 16, 2025.
That’s before the House passed the bill anyway.
“This bill will affect hundreds of existing and pending state laws… Some existing laws have been on the books for many years.”
Section 43201, titled the “Artificial Intelligence and Information Technology Modernization Initiative,” includes this stunning line:
“No State or political subdivision thereof may enforce any law or regulation regulating artificial intelligence models… during the 10-year period beginning on the date of the enactment of this Act.”
—Sec. 43201(c)(1)
This is not theoretical, and it’s not a slippery slope.
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It’s a federal override of every state’s right to regulate AI, effective immediately if the Senate follows the House’s lead.
And the House did it knowingly.
On May 22, all but two Republicans—Reps. Massie and Warren Davidson (OH)—voted yes, approving the legislation that strips your state of power over AI systems that are about to be embedded in everything from healthcare and banking to military and law enforcement.
“This bill does not propose any regulatory scheme to replace or supplement the laws enacted or currently under consideration by the states,” the AGs warn. “Leaving Americans entirely unprotected from the potential harms of AI.”
“This bill would directly harm consumers, deprive them of rights currently held in many states, and prevent State AGs from fulfilling their mandate to protect consumers.”
And it gets worse.
The bill also forbids states from enforcing protections related to “design, performance, data-handling, documentation, civil liability, taxation, fee[s]” or anything else touching AI—unless the federal government already regulates it.
In other words, if the feds don’t regulate it, no one can.
“Imposing a broad moratorium on all state action while Congress fails to act in this area is irresponsible,” the AGs wrote.
The bill’s timing isn’t random.
It comes on the heels of the Trump-backed $500 billion ‘Stargate’ AI surveillance grid, a public-private initiative involving OpenAI, Oracle, and SoftBank that intends to hardwire artificial intelligence into every sector of American life—including defense, healthcare, genomics, education, and law enforcement.
And the infrastructure is already in place.
In January, the FDA finalized a rule allowing researchers to bypass informed consent for so-called “minimal risk” studies.
That means your DNA, blood samples, and medical records can now be used in research without your knowledge or permission.
The FDA’s rule “allows an exception from the requirement to obtain informed consent when a clinical investigation” meets vague, loosely defined criteria.
Then came Regeneron’s quiet $256 million acquisition of 23andMe, the consumer genetics company whose data on millions of Americans was already breached in 2023.
That deal—announced just weeks ago—gives a major pharmaceutical corporation full control over a genetic goldmine.
So now:
Oracle builds the system
AI scans your genome
FDA waives your consent
Regeneron owns your DNA
Congress blocks your state from doing anything about it.
And while the White House evaluates how AI can accelerate bioweapons development, DHS is warning about future gene-targeted attacks that could be used to harm specific demographic groups.
The attorneys general, meanwhile, are apparently being ignored.
They had previously called for an AI governance framework focused on “high risk” systems, recommending “robust transparency, reliable testing… and after-the-fact enforcement.”
The AGs insisted on “concurrent enforcement authority” at the state level because “consumers already turn to state Attorneys General offices to raise concerns.”
Instead, Congress is doing the opposite—handing AI control to federal agencies and their corporate contractors with no accountability to voters, legislatures, or local courts.
“This moratorium is… neither respectful to states nor responsible public policy,” the AGs said. “We respectfully request that Congress reject the AI moratorium language added to the budget reconciliation bill.”
But the House passed it anyway.
And now it’s up to the Senate.
If passed there, no state in America will be allowed to regulate AI—not for 10 years.
The machines will make the decisions, and no one—not your governor, your legislature, or your attorney general—can stop them.
Welcome to the federal AI regime.
If you’d like to ask your senator to vote no on this bill, keep reading.
How to Contact Your Senator & What to Say
Step 1: Find Your Senator
Go to www.senate.gov/senators/senators-contact.htm and select your state.
Call their D.C. office and email them directly using their contact form.
Step 2: Use This Message (customize if you like)
Subject: Oppose Federal AI Power Grab — Defend State Sovereignty
Dear Senator [Last Name],
I am urging you to vote NO on any legislation that removes my state’s right to regulate artificial intelligence.
Section 43201 of the so-called “One Big Beautiful Bill Act” gives the federal government unchecked control over AI policy for the next ten years—banning all 50 states from creating their own safeguards.
This is happening alongside:
• The FDA authorizing researchers to access Americans’ blood, DNA, and private medical data without consent
• Regeneron acquiring 23andMe and gaining control of millions of Americans’ genetic profiles
• The White House exploring how AI can accelerate bioweapons development
This is a federal-corporate surveillance machine in the making—and our states have been legally handcuffed.
I expect you to stand for informed consent, medical privacy, and state sovereignty.
Vote no.
Sincerely,
[Your Full Name]
[Your City, State]
Copyright 2025 Jon Fleetwood