AI Policy and the 119th Congress

By: Luke Lynch & Sarah Kohn

“Whether through bipartisan legislation, executive actions, or a combination of both, AI policy will remain a central theme in U.S. governance for years to come.”

On October 22, ACG hosted a webinar examining a critical issue on the 119th Congress’s agenda: artificial intelligence (AI). As the AI landscape evolves rapidly within the federal government, the discussion highlighted key policy considerations that will shape regulation in the coming year. Below is a condensed version of our insights, capturing what stakeholders should be mindful of as 2024 draws to a close.

Navigating the AI Policy Landscape: What Lies Ahead for U.S. Lawmakers

In recent years, AI has not only transformed how industries operate but has also become a significant point of discussion for policymakers in the United States. With rapid advancements in machine learning, deep learning, and generative AI, lawmakers are striving to establish frameworks that ensure responsible and innovative AI development. As we approach the end of the 118th Congress, many are wondering what the future holds for AI policy, especially with a new Congress on the horizon.

The 118th Congress has seen a surge of interest in AI policy, yet the progress has been largely preparatory. Lawmakers have spent much of the term in what some describe as a “listening and learning” phase, intent on understanding AI’s intricacies and challenges before crafting policy. The Senate AI Working Group’s AI Policy Roadmap, released in May, and the anticipated report from the House AI Task Force both signify a growing bipartisan commitment to understanding and eventually legislating on these issues.

While hundreds of AI-related bills have been introduced, none have yet reached the president’s desk. These bills span topics from risk mitigation to digital transparency and ethical AI standards, as well as a host of others. With just weeks remaining before the new Congressional term, the million-dollar question still remains, will any of these proposals make it through?

A Potential AI Legislative Package

There is ongoing talk among Senate and House leadership of passing a broader AI legislative package by year’s end. In recent discussions, Senate Majority Leader Chuck Schumer (D-NY) and House Speaker Mike Johnson (R-LA) expressed hopes of achieving a bipartisan approach to AI policy. Among the key pieces of legislation being considered are the CREATE AI Act—a proposal to establish a national AI research resource—and the Future of AI Innovation Act, which would formalize the U.S. AI Safety Institute that was formed by President Biden’s Executive Order last October.

While this progress signals bipartisan interest, the challenge lies in bridging differing views within a limited time frame. The prospects of these talks are unclear, as Republican leadership, particularly Speaker Johnson and Majority Leader Steve Scalise, have backed away from AI regulation legislation in the last few months. With a limited window for action between the election and the end of the year, passing an AI policy package remains uncertain (and unlikely). Stakeholders in this space should focus their efforts on laying the foundation for the 119th Congress, while being ready to hit the ground running during the first 100 days of the next administration.

Executive Action on AI: Biden Administration’s Initiatives

Beyond Congress, the Biden Administration has taken decisive steps to manage AI. Last October’s Executive Order set broad directives, requiring federal agencies to address AI safety, privacy, and competition. Key agencies—including the U.S. Patent and Trademark Office (USPTO), the Federal Trade Commission (FTC), and the Securities and Exchange Commission (SEC) just to name a few—are already exploring AI’s implications in their respective domains, from intellectual property rights to consumer protections.

Internationally, the Administration is considering export controls on advanced AI technology to certain countries, underscoring a commitment to responsible global AI leadership. However, the future of these policies could shift with the 2024 election, as a potential Trump administration may favor a less-regulated approach. In contrast, a Harris administration would likely continue the current focus on safety and competitive development. Anti-China sentiment is strong within both parties as President Biden recently signed a National Security Memorandum (NSM) mandating the responsible use of AI in federal operations. This directive includes clear prohibitions against AI involvement in critical decisions, such as nuclear command, and aims to set guidelines on AI usage in national security. Together, these actions underscore the Administration’s dual focus on leading AI innovation and ensuring its safe application—steps that will help shape the AI policy landscape while Congress continues to deliberate.

The Administration’s AI strategy received further reinforcement, as tech industry leaders—Amazon, Google, OpenAI, and Microsoft—urged Congress to formalize the AI Safety Institute (AISI), mentioned above, which these companies hope will remain in place regardless of future political shifts.

Looking Forward: AI in the 119th Congress and Beyond

With 2025 approaching, AI is set to remain a top priority for the incoming Congress. The conversations happening today in committees and agencies are foundational, not fleeting. The AI industry’s potential for both economic growth and societal transformation underscores the need for policy that is responsive yet forward-looking.

Whether through a bipartisan legislative package, executive actions, or a combination of both, it’s clear that AI policy will remain a central theme for years to come. And as the 119th Congress takes shape, the decisions made now will pave the way for a balanced approach to AI regulation and innovation.

For those seeking more information or tailored insights, we’re here to help unpack these complex, evolving issues. We publish weekly AI and IP reports to keep stakeholders informed of the latest developments. Let us know if you’d like more information on how ACG can support you or your company during this busy time in Washington.

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