H.R. 7434 — AI Grand Challenges Act of 2026

This section directs the Director of the National Science Foundation (NSF), in coordination with the National Artificial Intelligence Advisory Committee, to establish the AI Grand Challenges Program within 12 months of enactment, using prize competition authorities under 15 U.S.C. 3719 (which allows federal agencies to award prizes to stimulate innovation advancing agency missions). The program awards prizes to eligible participants for artificial intelligence research, development, and commercialization addressing grand challenges in specified categories, including national security, cybersecurity, health, energy, environment, transportation, agriculture and rural development, education and workforce training, manufacturing, space and aerospace, quantum computing, materials science, supply chain resilience, disaster preparedness, natural resources management, and cross-cutting AI challenges such as robustness and bias mitigation. (1) The NSF Director must consult designated federal officials and the public to select challenges, publish problem statements and metrics on NSF and Challenge.gov websites, and incorporate practices from entities such as DARPA and NASA; (2) within one year of enactment and in consultation with the Office of Science and Technology Policy and National Institutes of Health Directors, the NSF Director must establish at least one grand challenge for AI-enabled cancer breakthroughs (i.e., detection, diagnostics, treatments for lethal forms and comorbidities to increase quality-adjusted life years), awarding at least $10 million to each winner; and (3) NSF must develop prize processes, eligibility (requiring U.S. incorporation and primary place of business for private entities per 15 U.S.C. 3719(g)(3)), judging, and verification procedures, with support possible from NSF rotators.

This section directs the Director of the Office of Science and Technology Policy to coordinate federal agencies that fund science in identifying and publishing datasets for grand challenges—(1) that address foundational scientific problems whose resolution would significantly advance scientific understanding, and (2) that can be addressed through artificial intelligence innovation.