OpenAI’s State-by-State Drive to Shape a National AI Safety Standard

OpenAI, blocked by a stalled federal AI safety bill, is lobbying California, New York and Illinois to adopt similar transparency and reporting statutes that could become a de facto national standard.

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Congress has blocked state AI bills, warning of a “patchwork,” while hundreds of proposals have been introduced. OpenAI’s chief global affairs officer Chris Lehane leads the effort, with support from Governors Newsom, Hochul and Pritzker. State capitals have seen hundreds of AI bills introduced, and industry-funded PACs have poured millions into state races to shape outcomes.

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The laws require AI developers to disclose model capabilities, file safety reports, and, in Illinois, undergo independent audits; they avoid new civil liability or heavy fines. PAC spending exceeds $12 million, including $1 million by Leading the Future and $10.7 million by Meta-Google PACs.

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A coordinated trio of blue-state laws could serve as a template for other jurisdictions and pressure Congress to enact federal AI safety standards, while industry influence may limit regulatory scope.

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Gov. Newsom’s office said AI policy “is not engineered by any one stakeholder.” Gov. Hochul’s office declined comment. Gov. Pritzker is expected to sign the Illinois bill. OpenAI endorsed the Kids Online Safety Act.

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Encode AI’s Nathan Calvin says OpenAI has “watered down” state laws, subpoenaed him over California’s AI bill, and pushed for weaker regulations, describing pre-Illinois efforts as “reactive and haphazard.”

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OpenAI calls the statutes “relatively strong safety rules,” while analysts label them “more permissive than the ideal set of rules.” Enforcement details for Illinois audits and penalties remain unclear.

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• “What we’re basically trying to do here is use a bunch of the big states to come together and mirror each other to de facto create a national standard,” — Chris Lehane, OpenAI

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• “We do fundamentally believe that the government has a really important role to play here, and the government playing that role also gives confidence to the public about the nature of this technology,” — Chris Lehane

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• “Everything up until Illinois looked extremely reactive and haphazard, to be honest,” — Nathan Calvin, Encode AI

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• “are not engineered by any one stakeholder — and any suggestion otherwise is not only false, but a slap in the face to the many people who helped create California’s nation-leading commonsense laws that protect public safety while also fostering innovation. There is no one with an outsized seat at this table.” — Tara Gallegos, Gov. Newsom’s spokesperson

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OpenAI hopes the Illinois law will cement a three-state model that spurs federal AI safety legislation. The Trump administration’s pending executive order on advanced AI could further shape state actions.

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