# House Democrats Introduce a Resolution Saying Congress Should Not Bail Out AI Companies If They Go Bankrupt

Reps. Greg Casar and Maxine Waters want insolvent AI firms to go through ordinary bankruptcy and executives held accountable. A simple resolution is not binding, the Daily Caller notes.

- Section: [Economy](https://rightnewsrightnow.com/economy/)
- Published: 2026-10-28
- By: RightNewsRightNow Staff
- Canonical page: https://rightnewsrightnow.com/articles/house-democrats-casar-waters-resolution-no-bailout-ai-companies-bankruptcy-daily-caller/

A pair of House Democrats put a marker down Wednesday on who should pay if the AI boom goes bust, the Daily Caller reports.

The resolution. Reps. Greg Casar of Texas and Maxine Waters of California introduced a measure saying Congress should oppose any rescue of insolvent AI-related firms or any shield for senior executives from accountability for "reckless conduct." It says such firms should "wind down or reorganize" through ordinary bankruptcy, protect workers and prioritize pension and retirement fund holders. Executives who took excessive risk or broke the law should "be held fully accountable under civil and criminal law."

The weight. A simple House resolution only states the House's view. It is not binding and needs no Senate or presidential approval.

The money behind it. The Caller cites S&P's estimate that Amazon, Microsoft, Alphabet, Oracle, Meta and SpaceX will spend more than $7 trillion on AI-related capital projects from 2025 to 2030. Goldman Sachs data show the largest tech companies were expected to borrow a record $420 billion in 2027, up 60% from 2026. The Caller says outside investors, financial guarantees and complex financing mean some obligations sit outside normal debt disclosures.

The politics. An ABC News/Washington Post/Ipsos poll from Oct. 21 found 57% of Americans think AI is bad for society and 42% view it favorably. An AP-NORC survey found 64% say it is developing too quickly.

Note for readers: the spending and borrowing figures are the Caller's citations of S&P and Goldman Sachs. We have not checked them against the originals.

## Source

Original reporting: [Daily Caller](https://dailycaller.com/2026/10/28/house-democrats-ai-resolution-bail-outs)