Bipartisan ‘Great American AI Act’ draft proposes new federal AI governance framework

A bipartisan House draft bill, the 'Great American AI Act,' proposes a federal AI governance framework led by Reps. Lori Trahan and Jay Obernolte, including mandatory reporting of AI safety incidents and preempting state-level AI development laws. The bill would codify the Commerce Department’s Center for AI Standards and Innovation, authorize $100 million annually for fiscal 2027-2029, and establish a testbed program for evaluating AI systems while promoting U.S. leadership in global AI standards." "article": "A bipartisan draft bill introduced by Reps. Lori Trahan (D-Mass.) and Jay Obernolte (R-Calif.) proposes a federal framework for artificial intelligence governance, titled the 'Great American AI Act.' The draft, released Thursday, aims to codify the Center for AI Standards and Innovation within the Commerce Department, authorizing $100 million per year for fiscal 2027-2029 to develop voluntary AI security guidelines and evaluate AI systems. The bill follows the White House’s recent executive order seeking early access to AI models for oversight and seeks public feedback before formal introduction. It would require large AI developers to report critical safety incidents to the government and mandate federal agencies like the Census Bureau and Bureau of Labor Statistics to assess AI adoption in surveys. Additionally, the bill includes penalties for AI impersonation of government officials and preempts state-level laws regulating frontier AI development, though it allows state regulations on deployed models. The draft also establishes a testbed program led by the Energy Department, National Institute of Standards and Technology (NIST), and National Science Foundation for public-private collaboration on AI evaluation. The U.S. would lead international AI standards development, countering foreign adversary influence—specifically excluding China—while promoting private-sector-led adoption and sharing cybersecurity best practices. The Government Accountability Office (GAO) would evaluate federal AI adoption, identifying outdated statutes and regulations that hinder innovation. The bill’s provisions aim to balance accountability with innovation, ensuring the U.S. maintains global leadership in AI without stifling progress. The 270-page draft reflects bipartisan efforts to address AI’s risks to national security, safety, and the workforce while fostering responsible development.