US House advances AI and data center bills

The U.S. House of Representatives passed the Ratepayer Protection Act by 417 to 3, while other federal bills on artificial intelligence, consumer protection, digital fraud and the use of frontier models also moved forward. The legislative push reflects a Congress trying to address both the energy burden of data centers and the security and compliance risks tied to AI.

What does the Ratepayer Protection Act do?

The Ratepayer Protection Act would require state regulators to consider rules that make large AI data centers, those with demand of 100 MW or more, cover the incremental cost of the electric infrastructure they need. According to USA Today and a statement from Rep. Morgan Griffith, the measure amends PURPA and aims to keep those costs from being passed on entirely to consumers.

Axios described it as the first federal proposal to set standards meant to protect users from higher power bills linked to AI and hyperscale data centers. Coverage from Washington Examiner, Hindustan Times, WION, NBC News and Yahoo News adds that the approach does not impose a single nationwide mandate. Instead, it asks state regulators to "consider" the rules and allows exemptions for states that already have comparable policies.

Why did it stall in the Senate?

The bill ran into objections that slowed its path in the upper chamber. CNBC reported that this created a legislative impasse over how to regulate the impact of data centers and their associated power infrastructure, and Politico said Sen. Martin Heinrich objected to an attempt to pass it by unanimous consent because, in his view, the text does not force operators to cover all electricity costs strongly enough.

The debate is also being shaped by the political calendar. Yahoo News, citing ClearView Energy Research, said the pace the Senate would need to move at, along with the approach of the midterm elections, makes final approval unlikely in the near term. That leaves open when cost-recovery models and infrastructure planning rules could change.

What other AI initiatives are moving?

Congress is also weighing the FRONTIER Act, backed by Lori Trahan and Jay Obernolte, which sets phased requirements for frontier model labs. According to Politico and AI Edge Briefing, the bill calls for independent safety audits, incident reporting, model cards and risk management frameworks, with its focus on advanced model developers rather than generic infrastructure operators.

A separate proposal backed by John Kennedy is moving in the Senate as well. It would require a "kill switch" in artificial intelligence models, with the goal of allowing rapid shutdown if dangerous behavior emerges. Politico said the effort is being pursued by unanimous consent.

What compliance and fraud bills are on the radar?

AI Laws USA places the NO FAKES Act of 2025 on the federal agenda. The bill creates a federal right against unauthorized digital replicas of image, voice or likeness generated by AI, with a notice-and-takedown process similar to the DMCA. In the same policy lane, the AI Fraud Accountability Act would make it a crime to use realistic digital impersonations in interstate or foreign communications with intent to defraud.

The proposal also includes extraterritorial jurisdiction, civil enforcement authority for the FTC and good-practice guidance from NIST, according to AI Laws USA. Taken together, the two bills are meant to block deceptive uses of AI in identity, voice and communications.

What changes for the defense ecosystem?

H.R.10484, called the Covered AI Prohibition Act, was introduced in the House on Sept. 17, 2026, and referred to the House Committee on Armed Services. Congress.gov and Quiver Quantitative News say the bill would require the Department of Defense to set uniform rules for identifying AI companies deemed risky and remove their products from Department systems and devices.

That would create classification, assessment and possible exclusion obligations for AI vendors seeking to sell into the U.S. defense ecosystem. Taken together, the bills show tighter regulation across several fronts at once, from energy and consumer protection to security, fraud and public procurement.