Obernolte: Bipartisan, Sector-by-Sector AI Regulation Is the Way Forward
Rep. Jay Obernolte, R-Calif., is advocating for a federal artificial intelligence (AI) regulatory framework that emphasizes sector-by-sector oversight. This approach aims to establish the Center for AI Standards and Innovation (CAISI) while allowing states to legislate without infringing on federal authority over interstate commerce.
Obernolte is actively seeking bipartisan support to advance this regulatory framework as independent legislation. He is reportedly collaborating with the Trump administration on an AI regulation bill, emphasizing the need for cooperation between Democrats and Republicans.
Sectoral Regulatory Approach
During the Incompass Policy Summit in Washington, Obernolte highlighted the importance of a sectoral regulatory approach to AI. He noted the FDA’s experience, stating, “The FDA has already issued thousands of permits for the use of AI in medical devices, which is probably the highest risk usage you can think of.” He further explained that a model may be “unacceptably risky” in one context, such as a pacemaker, but “completely benign” in another, like a video game.
Obernolte pointed out that this sectoral regulation is not a new concept for the Trump administration; it aligns with the initiatives of the Biden administration. The U.S. AI Safety Institute has been developing an inventory of relevant tools, standards, and methodologies for AI, which has continued under the new name, CAISI.
Regulatory Toolbox and State Authority
Obernolte believes that CAISI should be responsible for creating a regulatory toolbox that can be utilized by software regulators in their respective sectors. He emphasized the need for a preemptive framework to clarify what falls under federal jurisdiction, reserving certain regulations for the federal level while allowing states to function as “laboratories of democracy.”
In December, Trump signed an executive order aimed at preempting most state-level AI laws. This order intends to create a unified regulatory framework to prevent a fragmented state-by-state approach that could stifle innovation. Prior to this, Republican efforts to impose a 10-year moratorium on state AI laws were met with controversy and ultimately dropped by the Senate.
Clarifying Misunderstandings
Obernolte clarified that the intention behind the moratorium was not to eliminate states’ roles in AI regulation but to ensure that the federal government defines the necessary regulatory lanes first. He stated, “We never expected to even get it out of Energy and Commerce… We thought that the conversation needed to be had.”
Looking Forward
By codifying CAISI and implementing a sectoral regulatory framework, Obernolte believes that a cohesive strategy can be established. He underscores that any future AI regulation legislation must be bipartisan to achieve the necessary 60 votes in the Senate.
“The average American does not have confidence that the government is on the job in preventing bad AI outcomes,” he noted, highlighting the prevalent partisan divides. However, he expressed optimism about bipartisan cooperation in science and technology committees.
