Administration Issues EO Challenging State AI Regulations

In December 2025 the administration issued Executive Order 14365, directing federal agencies to challenge state and local AI regulations and establishing an AI Litigation Task Force and Commerce review, with potential conditioning of federal funds such as the $42.5 billion broadband program. HR teams must maintain compliance with existing state laws—like NYC Local Law 144 and California rules—while building governance, auditing, and monitoring during prolonged legal uncertainty.