A bipartisan pair of House lawmakers on June 4 released a discussion draft of the Great American AI Act, a sweeping proposal that would establish a federal framework for governing artificial intelligence (AI) and preempt some state AI laws.
The draft legislation, released by Reps. Jay Obernolte, R-Calif., and Lori Trahan, D-Mass., is intended to serve as a foundation for congressional debate over AI governance as lawmakers grapple with balancing innovation and emerging risks from increasingly capable AI systems. The proposal is being released for public comment before formal introduction.
“Artificial intelligence is advancing rapidly, which is why Congress must take a thoughtful and bipartisan approach to regulating this critical technology,” Obernolte said in a press release.
“This discussion draft is an important step toward building a clear federal framework that promotes innovation, protects Americans from emerging risks, and ensures the United States continues to lead the world in AI,” Obernolte added.
The proposal would establish a national framework for AI governance while preempting some state AI regulations. The draft also includes provisions covering frontier AI systems, whistleblower protections, AI-enabled fraud, workforce development, and standards development.
Among the proposal’s most significant provisions is the codification of the Commerce Department’s Center for AI Standards and Innovation (CAISI), along with an authorization of $100 million annually for fiscal years 2027 through 2029.
The move to codify CAISI, an entity within the National Institute of Standards and Technology, builds on recommendations made by the previous Congress’s Bipartisan AI Task Force, which Obernolte co-led.
The center would be tasked with developing voluntary guidelines and evaluating AI systems. Obernolte first announced his plans to introduce legislation to codify CAISI in January.
The draft bill would also establish oversight mechanisms for frontier AI systems and advanced foundation models, while expanding support for AI literacy, workforce development, education, and research.
“The threats AI poses to our national security, our safety, and our workforce are here and growing by the day,” Trahan said. “This bipartisan framework is designed to meet the challenges posed by this rapidly advancing technology without smothering American innovation.”
The discussion draft is supported by Reps. Scott Franklin, R-Fla., Suhas Subramanyam, D-Va., Erin Houchin, R-Ind., and Scott Peters, D-Calif.
“America should lead the world in artificial intelligence, not regulate ourselves into falling behind China through a patchwork of fifty different state laws,” Houchin said. “This bill creates a clear national standard for how AI models are developed while preserving the ability of states and parents to protect children.”
The state preemption piece of the draft bill has already received negative feedback from nonprofit organizations and unions.
“While we would applaud any serious effort to regulate potentially dangerous AI technologies, any attempt to tie the hands of states in their efforts to keep working people safe is not acceptable,” AFL-CIO President Liz Shuler said in a statement.
“We oppose preemption of state authority to regulate the development and implementation of AI,” Shuler said.
Similarly, Americans for Responsible Innovation (ARI) President Brad Carson said the bill prevents state lawmakers from “addressing emerging AI harms in an era of fast-moving technology.”
“Over the past two decades, state lawmakers have proven to be a backstop for tech accountability, fighting for families and communities even as Congress has stalled on creating guardrails,” Carson said in a statement. “Tying their hands would be a generational mistake.”
Nevertheless, the lawmakers plan to gather feedback from industry, researchers, workers, and the public before introducing a formal version of the legislation. They did not specify a timeline for formal introduction.