Democrat, Public Interest Groups Challenge Legality of White House AI Directive

Critics warn federal preemption efforts exceed agency authority and statutory limits.

Akul Saxena

Nov 20, 2025 — 3 min read

Photo of Nat Purser, senior policy advocate at Public Knowledge

WASHINGTON, Nov. 20, 2025 – A consumer advocacy group and Federal Communications Commissioner Anna Gomez on Thursday criticized a leaked executive order that would direct federal agencies to withhold broadband funding from states that regulate artificial intelligence.

The draft order would instruct the National Telecommunications and Information Administration to withhold Broadband Equity, Access, and Deployment program non-deployment funds from states with AI laws that the Commerce Department deemed “onerous.” The non-deployment category represents about $21 billion of the BEAD program’s $42.45 billion and covers proposals ranging workforce development to digital literacy.

It would establish a Department of Justice task force to challenge state AI laws in federal court. The draft would also direct the Federal Communications Commission to prepare rules creating a federal AI framework that overrides state laws.

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Department of Commerce NTIA AI California BEAD Non Deployment Funds Howard Lutnick FTC CA SB 53 CO SB 24-205 Colorado Nat Purser Anna Gomez Brendan Carr Gavin Newsom Sean Conway FCC Meeting Akin Public Knowledge White House

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