Policy Details

HB2342 – Blockchain Technology; Regulation; Computational power

Date Passed

4/18/2025

Effective Date

9/26/2025

Summary

Preempts cities, towns, and counties from adopting ordinances that restrict the development or deployment of artificial intelligence, computational or data center resources, or model training activities authorized by state or federal law. Establishes a statewide standard to avoid a patchwork of local AI restrictions.

Healthcare Implications

Healthcare providers, payers, and vendors operating data centers or training models in Arizona benefit from uniform statewide rules rather than varying local ordinances. The law may encourage health AI R&D and hosting in-state, but it could also limit local governments’ ability to address neighborhood-level risks (e.g., noise/energy usage) from compute facilities. Compliance still requires adherence to health privacy and safety laws.

Impact Level

Low

Stakeholders

Developers & Vendors