Computer & Communication Industry Association
PublishedJanuary 14, 2026

CCIA Testifies in Opposition to Washington HB 2157, Warning Bill Would Stifle AI Innovation and Harm Small Businesses

Washington – The Computer & Communications Industry Association is testifying today before the Washington House Technology, Economic Development, & Veterans Committee in opposition to House Bill 2157. The legislation would impose sweeping regulations on so-called “high-risk” artificial intelligence systems. CCIA cautions that while lawmakers’ interest in responsible AI governance is well intentioned, the bill’s vague definitions and burdensome requirements would create significant legal uncertainty, raise costs, and slow innovation across the state.

HB 2157 would establish expansive compliance obligations for AI developers and deployers, including frequent impact assessments, broad notice requirements, and a new private right of action. 

CCIA notes that the bill’s loosely defined terms, such as “substantial factor” and “meaningful consideration,” could unintentionally capture routine, low-risk uses of AI that support everyday business operations.

The association also raised concerns that the bill’s impact assessment requirements would disproportionately harm startups and small businesses. Mandating assessments before deployment and after any “intentional and substantial modification” conflicts with modern software development practices, where products are updated regularly. These costs could discourage new entrants and entrench large incumbents, reducing competition and innovation in Washington’s tech ecosystem. 

CCIA further warned that certain provisions in HB 2157 are operationally impractical. Requirements to notify all individuals “interacting” with an AI system could create unmanageable administrative burdens in high-volume contexts like hiring and staffing, effectively paralyzing routine business activities. 

The bill’s expansive private right of action raises the risk of frivolous litigation and excessive statutory damages. Given the bill’s subjective and ambiguous standards, CCIA cautions that businesses may be forced to pull back AI services in Washington entirely to mitigate legal exposure, limiting access to beneficial technologies for consumers and employers alike. 

CCIA offers to work with lawmakers on balanced, narrowly tailored approaches to AI policy that protect consumers, provide clarity for businesses, and allow innovation to continue in Washington.

The following statement can be attributed to Aodhan Downey, West Region State Policy Manager for CCIA:

“We share Washington lawmakers’ interest in ensuring artificial intelligence is developed and used responsibly, but HB 2157 takes an overly broad and impractical approach that would create uncertainty and slow innovation. The bill’s vague definitions and expansive compliance requirements risk capturing everyday uses of AI that pose little risk. Effective AI policy must be carefully tailored and grounded in technical realities, not rushed forward in ways that ultimately harm the state’s competitiveness and limit consumers’ access to AI in the state.”

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