Trump AI Blueprint + data center revolts + state resistance
Key Questions
How is the White House attempting to limit state AI regulations?
The White House's AI Action Plan proposes withholding federal funds from states with strict AI laws and includes the Great American AI Act, which features a 3-year state preemption clause for AI-related kids' safety bills.
What opposition exists to federal AI preemption efforts?
Over 200 state lawmakers, including bipartisan members from Wisconsin, and 36 state AGs have opposed the federal AI preemption provisions. Wisconsin lawmakers specifically called on Congress to reject limits on state AI regulatory authority.
What actions are states and localities taking regarding data centers?
North Carolina's House bill cracks down on data centers, Lowell MA has filed a lawsuit against one, and Arizona has frozen related tax breaks. Virginia imposed the first $600M data center electricity tax, signaling growing backlash, while federal regulators are fast-tracking grid connections.
White House revives push to block state AI laws via kids' safety bills. Great American AI Act includes 3-year state preemption clause; over 200 state lawmakers oppose it, including bipartisan Wisconsin lawmakers. NC House bill cracks down on data centers. Lowell, MA sues data center. EO 14318 forces military bases to host AI data centers. Data center tax breaks cost billions. 36 state AGs and over 200 lawmakers oppose federal AI preemption. Arizona freezes data center tax breaks. Federal regulator fast-tracks grid connections. Allentown, PA council calls for stricter rules but exempts major project. Virginia imposes first $600M data center electricity tax—a significant escalation from moratoriums to fiscal penalties, signaling growing public backlash and potential federal preemption battles.