The Office of Management and Budget has released a memorandum outlining contractual requirements to ensure that large language models, or LLMs, procured by the federal government comply with unbiased artificial intelligence principles.

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In the seven-page memo dated Thursday, OMB Director Russell Vought wrote that the executive order signed in July identifies two unbiased AI principles. According to the EO, LLMs must be “truth-seeking” by prioritizing historical accuracy, objectivity and scientific inquiry and have “ideological neutrality” by not integrating partisan or ideological judgments into a model’s outputs.

What Are OMB’s Contractual Requirements for Agencies Procuring LLMs?

According to the memo, agencies must secure sufficient information from the vendor to determine whether an LLM complies with unbiased AI principles.

OMB noted that agencies should avoid requirements that force a vendor to divulge specific model weights and other sensitive technical data.

In LLM solicitations, OMB directs agencies to request information from a vendor, including acceptable use policy; information about the model, system or data cards; end user resources; and mechanism for end user feedback.

For enhanced LLM transparency, agencies may seek additional information regarding pre-training and post-training activities, model evaluations, enterprise-level controls and third-party modifications.

According to OMB, agencies must update their procedures and policies by March 11 to ensure that LLM procurement contracts include contractual requirements addressing compliance with unbiased AI principles.

How Does the New OMB Memo Build on the AI Action Plan?

The latest OMB memo delivers on the AI Action Plan released by the White House in July. The plan outlines over 90 federal policy actions across three pillars: accelerating AI innovation; building American AI infrastructure; and leading in international AI diplomacy and security. One of the recommended policy actions cited in the document is to update federal procurement guidelines to ensure that agencies only deal with frontier LLM developers that ensure that their offerings “are objective and free from top-down ideological bias.”

Sens. John Cornyn, R-Texas, and Ted Cruz, R-Texas, have introduced a bill that aims to strengthen artificial intelligence research and development and create an AI-ready workforce.

Called the Growing University AI for Defense, or GUARD, Act, tasks the Department of War to establish and oversee a National Security and Defense AI Institute, Cornyn’s office said Friday.

Rep. Ronny Jackson, R-Texas, will introduce the GUARD Act’s companion legislation in the House of Representatives.

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What Is the GUARD Act?

According to Cornyn, the GUARD Act’s proposed AI institute is expected to accelerate the adoption and integration of advanced technologies for defense and intelligence missions and ensure that the United States will maintain a decision-advantage over adversaries.

The National Security AI Institute, specifically, will serve as a testbed for AI-powered capabilities and support reliable AI.

Cruz added that the bill will expand AI research and talent development at senior military colleges and Department of War universities.

“The Chinese Communist Party poses the most significant national security risk to the United States over the next century, and allowing the CCP to win the race to AI would be catastrophic for American interests,” he warned. “Winning that race requires developing a skilled AI workforce here in the United States, which in turn requires teaching core AI skills to students and strengthening U.S.-oriented AI capabilities.”

Cruz also introduced the Strengthening Artificial Intelligence Normalization and Diffusion By Oversight and eXperimentation, or SANDBOX, Act in September to establish principles that would guide Congress’ actions on AI. 

How Will the GUARD Act Support America’s AI Goals?

The GUARD Act is in line with President Donald Trump’s AI Action Plan, which the White House unveiled in July to achieve U.S. leadership in AI. The AI Action Plan called for Senior Military Colleges to become hubs for AI R&D and talent pipeline.

The Department of Transportation is adopting Salesforce’s artificial intelligence agent platform Agentforce to deliver round-the-clock support to the public, generate alerts and proposed mitigation strategies for traffic incidents, and create an overall more efficient transportation system.

Salesforce said Thursday that Agentforce’s intelligent AI agents will assist agency employees by automating manual tasks across the agency.

“To deliver on our mission of building a safe, efficient, and modern transportation system, we have to start with making technology our biggest asset,” Pavan Pidugu, chief digital and information officer of DOT, stated. “We needed to make a strategic shift to deliver on our mission: adding AI at the core of everything we’re doing. Now, we’re not just deploying new technology, we’re empowering our agency to work more effectively and, most importantly, ensuring the safety and future of our country’s transportation system.”

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How Will Salesforce’s Agentforce Modernize the US Transportation System?

According to Salesforce, Agentforce’s AI agents will be in charge of responding to citizen complaints or guiding the public when accessing government services.

The platform will also analyze datasets including weather, traffic trends and historical incident data to reduce transportation accidents.

Additionally, Agentforce will review grant applications, verify compliance, flag missing information and draft approval recommendations for human review. The approach is intended to accelerate the release of federal funding for transportation and infrastructure projects.

Salesforce launched Agentforce for Public Sector in August. The company is also offering its Slack AI for Enterprise at a discounted price for federal agencies under a OneGov agreement with the General Services Administration.

President Donald Trump has signed an executive order directing the attorney general to establish an artificial intelligence litigation task force to challenge state AI laws deemed “unconstitutional, preempted, or otherwise unlawful,” which could potentially hinder innovation.

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What Are the Key Provisions of Trump’s New Executive Order on AI?

Under the new EO, the secretary of commerce will evaluate state AI laws for conflicts with national policy priorities and withhold broadband equity access and deployment, or BEAD, funds from any state with conflicting regulations, according to a White House fact sheet published Thursday.

The new directive requires the Federal Trade Commission and the Federal Communications Commission to initiate steps to prevent states from forcing AI companies to mislead consumers. They will assess whether state laws requiring AI models to embed diversity, equity and inclusion cause those companies to breach the Federal Trade Commission Act, and consider creating a federal reporting and disclosure standard for AI systems.

The order also directs the development of a national AI legislative framework to preempt state laws that could stifle innovation.

The EO delivers on the AI Action Plan released by the White House in July. The plan outlines over 90 federal policy actions across three pillars: accelerating AI innovation; building American AI infrastructure; and leading in international AI diplomacy and security. One of the key policies cited in the document is to cut red tape and eliminate regulations that hinder America’s leadership in this critical technology.

What Recommendations Did ITI Offer in Response to OSTP’s AI Reform RFI?

In October, the Information Technology Industry Council submitted detailed recommendations to the White House Office of Science and Technology Policy calling for a coordinated federal framework to strengthen U.S. leadership in AI.

In its response to OSTP’s request for information on AI regulatory reform, ITI highlighted conflicting federal rules, outdated privacy and copyright frameworks, and fragmented state-level AI laws as major obstacles. The group noted that over 1,000 state bills introduced in 2025 have created “regulatory fragmentation” and driven up compliance costs.

ITI urged the administration to work with Congress to establish a unified, risk-based federal AI standard that preempts state regulations and provides clarity for industry.