AI and States: Facing a 10-Year Freeze
National Conference of State Legislatures Legislative Director Barrie Tabin talked with NASCIO on June 5 about the proposed federal 10-year moratorium on states regulating AI. She explains this is “part of the House passed reconciliation bill and what it would do is foreclose a state’s ability to enact and enforce a host of significant AI laws at the state level for a 10-year period.” Both NASCIO and the NCSL oppose the proposal.
In a press release, NASCIO stated: “States have not had the luxury of waiting for federal action on AI policy. As a result, they have forged ahead in creating their own AI standards that meet their unique needs, in consultation with the stakeholders and citizens who will be most directly impacted. Language in the reconciliation measure preventing them from enforcing these provisions undermines their efforts to deliver services to their citizens and ensure responsible data protections.”
During the NASCIO Voices podcast interview with Tabin, Alex Whitaker Director of Government Affairs for NASCIO explained NASCIO’s position on the moratorium. “Federal policies and legislation should be developed in consultation with state counterparts. And that’s certainly not happening here.”
The NCSL, in a press release, said “this provision represents a significant overreach into states’ authority to regulate emerging technologies, potentially preventing state lawmakers from responding to the evolving needs and concerns of their communities.”
In the NASCIO podcast interview, Tabin lists three reasons NCSL disagrees with the proposed 10-year moratorium on states regulating artificial intelligence:
- Usurps state’s constitutional role in the space
- Leaves a void in the regulatory arena
- Opens the door to litigation
Montana Ranks 42nd in State Occupational Licensing Index
Montana ranks number 42 overall for all states and Puerto Rico in the 2024 State Occupational Licensing Index from the Archbridge Institute and the Knee Regulatory Research Center; the score places the state 42 among states for the highest occupational licensing burden. Besides the overall ranking, the report also features a state profile ranking that puts states in one of five quintiles. Montana ranks five in the quintile system, with one the “most occupational licensing” and five the “least occupational licensing.” The quintile system reviews several factors, including barriers and licenses, along with universal recognition reforms. The licensing index, released in August, contains information on 284 occupations.
Other overall rankings include Arizona at number 41.
See a listing of all state rankings in the latest edition of the State Occupational Licensing Index.
Research: Lower Licensing Barriers Benefit Cosmetology Students and Schools
New research analyzes the impact of occupational licensing changes on for-profit education; Researchers Edward Timmons and Kihwan Bae reviewed data from 18 states that decreased minimum training requirements for cosmetology licensure. They found that by shortening the program length and lowering the attendance costs, the number of graduates increased. They saw some evidence of greater profits for cosmetology schools. In addition, The Impact of Occupational Licensing on For-Profit Education: Evidence from Cosmetology in the United States, published June 4, showed no negative “spillover effects on incumbent cosmetologists, such as reduced earnings or employment opportunities.”
The study’s authors concluded that: “The study also suggests that policymakers can consider further reforms on cosmetology licensing or similar reforms for other licensed occupations, including but not limited to other beauty occupations, to remove unnecessary entry barriers and improve economic efficiency.”
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Time to Modernize
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