The order directs federal agencies to review and challenge certain state AI laws while considering funding conditions and a future national framework.
Federal officials must identify state AI laws they view as burdensome or unlawful, then may challenge those laws in court. The order does not itself invalidate any state law.
States with identified onerous AI laws could lose certain remaining BEAD non-deployment funds, while other grants could carry conditions about enacting or enforcing conflicting laws.
Federal officials must consider a national AI reporting standard, explain possible federal preemption of some state rules, and recommend legislation. These steps do not themselves create a national AI law.
The Attorney General must establish an AI Litigation Task Force, and the Commerce Secretary must publish an evaluation of state AI laws. The task force covers state AI laws that conflict with the order’s policy or may otherwise be unlawful. The evaluation must identify laws that could require false AI outputs or unconstitutional disclosures. The task force may challenge laws on constitutional, federal-preemption, or other legal grounds, as the Attorney General judges appropriate. The Commerce Secretary must act within existing legal authority and consult with specified White House officials. The task force must be established within 30 days of December 11, 2025. The evaluation must be published within 90 days of that date.
The Commerce Department must make states with identified onerous AI laws ineligible for remaining BEAD non-deployment funds to the fullest extent federal law allows. Other agencies must assess similar conditions for discretionary grants. The BEAD condition applies to states with laws identified under the order’s evaluation. Other grant conditions may involve states that enact conflicting laws or agree not to enforce them while receiving funds. The BEAD policy must follow the limits in 47 U.S.C. 1702(e)–(f). Other agencies may impose grant conditions only if their legal authority permits them to do so. The order does not provide new funding and says implementation is subject to available appropriations. The Commerce Department must issue its BEAD policy notice within 90 days of December 11, 2025. Other agencies must assess their grant programs, but the order gives no deadline for those assessments.
The FCC must begin a proceeding on a possible federal AI reporting standard, the FTC must issue a policy statement, and White House officials must prepare a legislative recommendation. The possible FCC standard would concern AI model reporting and disclosure. The FTC statement would address state requirements that alter truthful AI outputs. The recommendation would address federal preemption but preserve specified areas of lawful state regulation. The FCC proceeding may lead to a standard; the order does not require the FCC to adopt one. The legislative recommendation must not propose preempting otherwise lawful state rules on child safety, certain AI infrastructure, state government AI use, and other topics the recommendation identifies. All actions remain subject to existing legal authority and available appropriations. The FCC must begin its proceeding within 90 days after the Commerce Secretary publishes the evaluation’s required identification. The FTC statement and legislative recommendation have no stated completion deadline.