US HB4801

Requires each financial regulatory agency (Federal Reserve, FDIC, OCC, SEC, CFPB, NCUA, FHFA) to establish an "AI Innovation Lab" allowing regulated entities to test artificial intelligence projects without facing enforcement actions

Regulated entities may apply to experiment with AI-based financial products or services by proposing alternative compliance strategies for existing regulations, with agencies required to approve or deny applications within 120 days (extendable by another 120 days)

Applications must demonstrate the AI test project serves public interest, improves consumer/investor access, does not present systemic or national security risks, and complies with anti-money laundering obligations

Approved AI test projects must run for at least 1 year and include limitations on size, scope, and growth; agencies retain authority to seek injunctive relief if projects pose immediate danger to consumers or financial markets

Agencies must submit annual reports to Congress for 7 years on AI test project outcomes, including aggregated findings and lessons learned, while protecting proprietary business information