House passes NDAA that excludes AI state‑preemption and CBDC ban
The House on Wednesday passed a roughly $901 billion National Defense Authorization Act, 312–112, after a narrow rule vote (215–211) and amid a conservative revolt over the exclusion of language preempting state AI laws and banning a U.S. central bank digital currency; Speaker Mike Johnson secured enough GOP support by promising to pursue a CBDC ban and other measures on the floor and in coming appropriations. The bill contains a range of China‑focused technology and investment restrictions, an Artificial Intelligence Futures Steering Committee, border and personnel provisions, and a compromise that dropped a stronger military "right to repair" mandate, while President Trump responded to congressional rejection of AI preemption with an executive order seeking to block state AI rules.
📌 Key Facts
- The House-passed NDAA does not include provisions preempting state AI laws or a ban on a U.S. central bank digital currency (CBDC).
- The bill creates an "Artificial Intelligence Futures Steering Committee" to make long-range AI policy recommendations.
- House leaders advanced the measure to the floor; the rule narrowly passed 215–211 after several Republican flips, and the final House passage was 312–112.
- Conservative Republicans threatened a mutiny over the omission of a CBDC ban and certain social provisions; several members (including Chip Roy, Marjorie Taylor Greene, Michael Cloud, Greg Steube and others) signaled opposition or voted against the measure before some flipped after leadership concessions.
- Speaker Mike Johnson secured support by making last‑minute promises — including to pursue a CBDC ban in the next appropriations bill, a future vote to bar members of Congress from trading individual stocks, and other floor votes that helped win flipped GOP votes.
- The House package (about $900B–$901B topline) includes outbound investment screening, bans on DoD contracting with certain China-linked biotech/genomic firms and components, authority for limited border troop use, DEI prohibitions, a roughly 3.8% military pay raise, conditions forcing release of unedited maritime‑strike footage for certain Pentagon travel funding, and academy athletics policy.
- A bipartisan "military right to repair" mandate was stripped from the final bill; the enacted compromise instead requires the DoD to audit contracts for missing technical data rights and recommend fixes — a change criticized by co‑authors (Sens. Elizabeth Warren and Tim Sheehy) and watchdogs who say it is insufficient.
- After Congress twice rejected AI preemption language, President Trump signed an executive order seeking to preempt state AI laws administratively; that EO is expected to trigger legal challenges and intra‑GOP conflict over federal preemption.
- The Senate has procedurally advanced its version of the NDAA (76–20) with amendment votes pending, including an active push (Cruz–Cantwell) over DC airspace rollback language and continued debate over the maritime‑strike footage provision.
📊 Relevant Data
At least 86 people have been killed in US strikes on alleged drug trafficking boats in the Caribbean since early September 2025.
US lawmakers urge release of video of double-tap boat strike in Caribbean — Al Jazeera
The midair collision on January 29, 2025, between an American Airlines regional jet and an Army Black Hawk helicopter near Ronald Reagan Washington National Airport resulted in 67 deaths.
NTSB chair blasts FAA over deadly DC crash — ABC News
The 2002 Authorization for Use of Military Force Against Iraq has been relied upon for US military actions, including airstrikes in the Middle East, as recently as January 2024.
Assessing Recent U.S. Airstrikes in the Middle East Under the War Powers Resolution — Congressional Research Service
In fiscal year 2025, US Customs and Border Protection recorded 237,538 migrant encounters at the southwest border, an 84.5% decrease from 1.53 million in fiscal year 2024.
Southwest border migrant encounters fell 84.5% in fiscal year 2025 — Midland Reporter-Telegram
Among individuals sentenced for drug trafficking offenses in the US, 44.4% are Hispanic, while Hispanics comprise approximately 20% of the US population.
Drug Trafficking — United States Sentencing Commission
📊 Analysis & Commentary (1)
"The piece argues that while MAGA and a pro‑tech conservative bloc have converging interests—especially around federal preemption and anti‑censorship—any alliance will be opportunistic and unstable and risks regulatory capture and public harms if pursued without safeguards."
📰 Sources (10)
- Senate procedural advancement of the NDAA (76–20) with amendment votes forthcoming this week.
- Active Senate push (Cruz–Cantwell) to strip DC airspace safety rollback language as part of floor amendments.
- Reiterates inclusion of conditions compelling release of unedited maritime‑strike footage for Pentagon travel funding.
- The final NDAA dropped a bipartisan 'military right to repair' mandate that would have required defense contractors to provide DoD the technical data needed for in‑house repairs.
- Sens. Elizabeth Warren and Tim Sheehy, co‑authors of the provision, publicly criticized its removal despite support from the White House and service secretaries.
- A House Armed Services Committee spokesperson said the enacted compromise requires DoD to audit contracts for missing data rights and recommend fixes to Congress, rather than mandating data delivery now.
- GAO has warned lack of technical data access drives higher sustainment costs; watchdog POGO called the compromise insufficient.
- Sources cited lobbying pressure on Armed Services leaders to drop the stronger language.
- After Congress twice rejected AI preemption language (including in the NDAA), Trump issued an EO to achieve preemption administratively.
- The EO sets up anticipated legal challenges from states and intra‑GOP conflict over federal preemption of state AI rules.
- Speaker Mike Johnson secured the NDAA rule by making last‑minute promises, including to 'go to war' to attach a CBDC ban to the next appropriations bill due in late January.
- Rep. Anna Paulina Luna says she and Johnson spoke directly with Secretary of State Marco Rubio, who vowed to shut down alleged NGO funding to the Taliban.
- Johnson promised a future vote to ban members of Congress from trading individual stocks, per Luna.
- Rep. Marjorie Taylor Greene flipped her vote after Majority Leader Steve Scalise promised a floor vote next week on her Protect Children’s Innocence Act.
- Rule vote dynamics: Luna, Greene, Tim Burchett and Lauren Boebert flipped to 'yes'; Thomas Massie remained the lone GOP 'no'; Johnson held the vote open for just over an hour.
- House passage vote 312–112; rule narrowly passed 215–211.
- Affirms exclusion of AI state‑preemption and CBDC ban in the enacted House package.
- Details outbound investment screening regime and bans on DoD contracting with Chinese biotech/genetic sequencing firms and certain China-linked components.
- Confirms the overall ~$900B topline and House vote timing while outlining additional included measures (border troop use authority, DEI prohibitions, 3.8% pay raise).
- Highlights retention of the maritime‑strike footage oversight penalty and inclusion of academy athletics policy.
- Conservatives are publicly rebuking Speaker Mike Johnson over the NDAA’s exclusion of the Anti‑CBDC Surveillance State Act that he had promised to attach in July.
- Rep. Chip Roy says he will oppose final passage (while giving limited grace on the rule); Reps. Marjorie Taylor Greene, Michael Cloud and Greg Steube also plan to vote against the bill; Rep. Keith Self demanded leadership 'fix' the bill immediately.
- House GOP leadership is uncertain the rule can pass and is considering bringing the NDAA under suspension (requiring two‑thirds support) if the rule fails; dozens of House Democrats are expected to back the legislation.
- House Rules Committee advanced the NDAA Tuesday night, setting up a House floor debate and vote Wednesday.
- Multiple conservatives (Reps. Eric Burlison, Tim Burchett, Keith Self, Michael Cloud) say they are undecided on the procedural rule vote; Rep. Greg Steube voiced process frustrations.
- Opposition centers on the omission of a central bank digital currency (CBDC) ban and the absence of anti-abortion provisions.
- With a razor-thin majority, Speaker Mike Johnson can lose only two GOP votes on the rule, putting passage at risk.
- Final NDAA does not include provisions preempting state AI laws.
- Final NDAA also excludes a prohibition on a U.S. central bank digital currency (CBDC).
- Creates an 'Artificial Intelligence Futures Steering Committee' for long-range AI policy recommendations.