Sen. Chuck Schumer of New York, who is expected to become Senate majority leader, identified data center electricity costs as a priority during remarks in Washington on Thursday. His comments come amid growing public concern about the energy demands of expanding AI infrastructure and the potential impact on household electricity bills.
AI safety and corporate accountability are another major focus. Rep. Lori Trahan of Massachusetts intends to introduce legislation requiring outside experts to assess advanced AI models against established safety requirements, according to her deputy chief of staff, Francis Grubar. She is also pursuing a separate measure addressing when AI developers can face legal consequences for harmful behavior by their systems. Both efforts build on legislation Trahan previously developed with Republican Rep. Jay Obernolte.
Other House Democrats are developing proposals that would give federal authorities additional oversight powers. Reps. Sara Jacobs of California and Don Beyer of Virginia are working on legislation establishing baseline AI safety requirements, including provisions that would allow the government to halt models that fail evaluations.
The House Democratic Commission on AI is expected to submit policy recommendations to Minority Leader Hakeem Jeffries before the end of the year. Meanwhile, Rep. Zoe Lofgren of California, who is seeking leadership of the House Science Committee, has emphasized balancing enforceable safeguards with continued technological development.
Similar efforts are taking shape in the Senate. Sen. Maria Cantwell of Washington, the likely incoming chair of the Commerce Committee, published a six-part AI policy framework in October. Her proposal calls for enforceable requirements for frontier AI systems, ongoing safety assessments, and measures addressing risks to children and workers. Abdul El-Sayed, who won Michigan's Senate election, has separately advocated creating a federal agency dedicated to regulating AI companies.
Congressional scrutiny could also extend to semiconductor exports and national security. Chris McGuire, a former technology and national security official in the Biden administration, expects restrictions on advanced chip exports to feature prominently in the Democratic agenda, with Sen. Elizabeth Warren of Massachusetts potentially taking a leading role. Lawmakers are considering additional export provisions for the fiscal 2027 National Defense Authorization Act, while Commerce Department undersecretary Jeffrey Kessler could face congressional questioning.
Rep. Greg Casar of Texas, who chairs the Congressional Progressive Caucus, has called for AI executives to testify under oath. He characterized the growing political attention surrounding the technology as “the early tremor of a much bigger AI earthquake upending American politics.”
The agenda also includes proposals aimed at modernizing government oversight rather than imposing restrictions on AI development. On November 5, Rep. Bill Foster of Illinois introduced a discussion draft of the Real-Time Regulatory Study Act of 2026. The measure would instruct the Federal Reserve Board to collaborate with other financial regulators on publicly available, open-source software capable of providing continuous information about banking institutions' financial condition.
Foster argues that the system could help regulators identify emerging risks associated with AI while reducing compliance expenses for smaller financial institutions. He currently serves as the leading Democrat on the House Financial Institutions Subcommittee and could become its chair when the new Congress convenes.
Despite their incoming congressional majorities, Democrats would still face significant obstacles to passing mandatory AI regulations. President Donald Trump has repeatedly opposed such requirements, raising the possibility of presidential vetoes. Overriding a veto would require two-thirds support in both the House and Senate.
Ed Mills, who leads policy research at Raymond James, suggested lawmakers could pursue alternative legislative routes, including attaching AI provisions to annual bills considered essential for government operations.
“The probability of legislation is much higher than people anticipate,” Mills said.
The prospect of tighter regulation has already contributed to investor concerns. Technology stocks fell sharply on Thursday amid worries that congressional action could delay AI development, alongside broader questions about whether substantial spending on AI infrastructure will generate adequate financial returns.
Democratic lawmakers had begun examining industry practices before the election. In October, Lofgren and other House committee leaders requested information from OpenAI, Anthropic, Meta, Google, and SpaceX about their security procedures and incidents involving AI systems behaving unexpectedly. A Reuters poll published that month also found that most American voters believed the federal government was doing too little to address AI-related risks.
With control of congressional committees approaching, Democrats will have greater authority to investigate AI companies, conduct hearings, and advance legislation. Whether those proposals become law will depend on their ability to secure sufficient congressional support and overcome opposition from the White House.
This analysis is based on reporting from Yahoo Finance courtesy of Reuters.
Image courtesy of BigGo Finance.
This article was generated with AI assistance and reviewed for accuracy and quality.
