Idaho Freedom Caucus Defends State Sovereignty Regarding AI

State Sovereignty is a core part of the Idaho Freedom Caucus’s vision for the State of Idaho. We have long championed this issue and our commitment to protecting Idaho’s right to govern itself was demonstrated with the passage of House Bill (HB) 720 in 2022. This groundbreaking legislation, led by then-Representative Tammy Nichols, ensured that artificial intelligence (AI), animals, and inanimate objects could not be granted personhood under Idaho law. The bill was a critical step in safeguarding property rights and maintaining a clear legal distinction between humans and non-human entities.

House Bill 720 was introduced to prevent the growing push by organizations seeking to grant personhood to non-human entities like AI. Such a move could result in unintended consequences, such as restrictions on property ownership and costly litigation. By passing this law, Idaho made it clear that AI would remain a tool for human use, rather than a legal entity with rights.

However, in 2025, a proposed moratorium in the "Big Beautiful Bill" sought to prevent states from enacting their own AI regulations for a decade, centralizing control over AI laws at the federal level. Had this moratorium been in place in 2022, HB 720 would have never been passed. Federal overreach would have stifled Idaho’s ability to make decisions based on the needs of its citizens.

The proposed federal moratorium was part of a broader effort within the "Big Beautiful Bill," a large and complex piece of legislation, aimed at streamlining AI governance across the United States. It was argued that a unified, national approach to AI would prevent a fragmented regulatory landscape, promoting innovation and maintaining global competitiveness. However, this one-size-fits-all approach would have undermined the ability of states like Idaho to respond to specific local needs, including the growing concerns over AI’s impact on privacy, job security, and ethical issues. The moratorium would have severely restricted states' ability to act independently, forcing them to wait for a federal solution that might never align with their values or priorities.

The Idaho Freedom Caucus believes that states must retain the power to regulate AI to meet local needs. In response, we joined a bipartisan coalition of 260 lawmakers from all 50 states, urging Congress to reject the moratorium. Several of our members signed the letter, sending a clear message to Congress: states must have the authority to address AI-related challenges, such as privacy violations and job displacement, on their own terms. Without that right, Idaho and other states would lose the ability to take proactive steps to address the emerging issues posed by AI.

Idaho’s Recent Legislation on AI

Idaho has continued its proactive approach to AI regulation with the following key laws:

• House Bill 465 (2024) – AI-Generated Child Exploitation: Strengthens Idaho’s laws to combat AI-generated depictions of minors in exploitative contexts.

• House Bill 664 (2024) – Political Deepfakes: Addresses the use of AI-generated deepfakes in political campaigns to preserve electoral integrity.

• House Bill 575 (2024) – Explicit Synthetic Media: Criminalizes the creation and distribution of explicit synthetic media intended to harass or intimidate individuals.

• AI Working Group (2024): This group studies AI's role in governance and explores future legislation to ensure Idaho remains at the forefront of responsible AI policy.

The Senate’s Overwhelming Rejection of the Moratorium

On July 1, 2025, the U.S. Senate voted overwhelmingly (99-1) to strike the AI moratorium from the "Big Beautiful Bill." This victory for state sovereignty and innovation is a win for all those who believe in the power of local control. The Senate’s rejection of this provision ensures that Idaho, and other states, will retain the authority to craft laws tailored to their unique needs, rather than having to wait for a slow-moving federal solution. The decision was a clear statement that states should have the ability to regulate emerging technologies like AI without federal interference.

This overwhelming vote is a testament to the strength of state-level governance and the importance of allowing local governments to address issues that are most relevant to their citizens. It represents a significant victory for those of us who believe in the power of states to create thoughtful, responsive policies without overbearing federal restrictions.

Idaho’s proactive stance with HB 720, and its continued push for state sovereignty in AI regulation, sets a powerful precedent for other states. As AI continues to evolve, we remain committed to defending Idaho’s right to govern itself and protect its citizens from federal overreach.