Let's see, N.E.C. is the national minimums, so if they deleted the requirements for AFCI protection then they are in violation of National code. I do not think I would be happy about living in a state that fails to meet federal minimums
The NEC is a document produced by NFPA and has absolutely ZERO connection with any government agency. It is adopted as law at the discretion of the local AHJ. If it is not adopted in whole or part it has the same force of law as the Boy Scout motto.