A New Era of AI in the Federal Government: What’s Next?
With a new administration in Washington and a staggering $500 billion AI infrastructure initiative on the horizon, the U.S. federal government seems poised for an explosive phase of AI adoption. While the Biden administration previously expanded the government’s use of AI for tasks such as fraud detection, data analysis, and administrative functions, insights from experts indicate that the forthcoming Trump administration aims to turbocharge this growth.
The AI Governance Landscape: A Look Back
The federal groundwork for AI governance began during the Trump administration’s first term, with the implementation of two pivotal executive orders: EO 13859 in February 2019 and EO 13960 in December 2020. The latter focused on creating a “trustworthy AI” framework, which mandated federal agencies to report their AI tool usage annually. This pushed reported use cases from 710 in 2023 to a whopping 2,133 in 2024.
Reggie Townsend, vice president of data ethics at SAS and a member of the National AI Advisory Committee (NAIAC), underscored the significance of transparency in this process. “That use case inventory was a very useful first step,” he remarked, highlighting that transparency fosters trust between the government and its constituents.
In October 2023, President Joe Biden signed EO 14110, setting stricter guidelines for both internal and external AI usage. This recent order laid the groundwork for enhanced responsibilities across agencies, including the appointment of chief AI officers, and detailed reporting requirements that encompassed safety and civil rights considerations.
AI in Action: Current Use Cases
According to the 2024 consolidated federal use case inventory, 41 agencies reported a total of 2,133 public AI use cases, illustrating a clear upward trend. The Department of Health and Human Services (HHS) exemplified this growth with a remarkable 271 reported cases—66% higher than the previous year.
AI has shown particular promise in fraud detection. For example, the Social Security Administration implemented its Representative Payee Misuse Model in September 2023 to flag potential instances of fraud for further review. Beyond fraud, AI is streamlining internal administrative processes and enhancing cross-agency collaboration—proving particularly effective in aggregating data across agencies such as HHS and the Department of Energy.
Bruce Schneier, an adjunct lecturer in public policy at Harvard, foresees even more expansive use of AI in government roles, pointing towards future applications in generating press releases, speeches, and even legislation. This potential is promising, but there’s an understanding that federal adoption has lagged behind the private sector, notably in new applications like generative AI.
What Lies Ahead Under Trump’s Second Term
Following Trump’s return to the White House in January 2025, there’s buzzing speculation about how this administration will modify AI policy. Trump has expressed intentions to minimize regulations while also gearing up for aggressive advancements within the AI sector.
One clear indicator of this shift is his recent decision to appoint Elon Musk, owner of xAI, to lead the newly restructured Department of Government Efficiency. The agency’s mission is straightforward: to modernize technology and streamline government operations.
However, with the swift rescinding of Biden’s EO 14110, which proposed restrictions on AI use, the future trajectory remains uncertain. As expert Darrell West mentions, “We don’t know exactly how Trump will use AI. Will he get rid of all guardrails? Will he keep some protections?” These questions linger as the administration pivots toward a landscape characterized by fewer constraints.
The Path Forward: AI’s Impact on Governance
The federal government appears primed to accelerate AI adoption significantly. In the wake of his inauguration, Trump announced an ambitious $500 billion investment in AI infrastructure, collaborating with notable firms like OpenAI and Oracle to launch Stargate, a venture aimed at bolstering AI infrastructure across the country.
During this announcement, he emphasized the importance of AI in maintaining the U.S. position against global competitors, particularly China. Darrell West cautions that while the acceleration of AI use is favorable, it’s paramount that the implementation remains fair, emphasizing the necessity of privacy and security safeguards.
Educating the Federal Workforce
A key component in the successful integration of AI within government agencies hinges on education. West notes that many federal employees lack essential knowledge about how to effectively use AI tools. In response, Townsend advocates for comprehensive training tailored to diverse roles, ensuring that agency workers can navigate AI’s complexities with confidence.
Additionally, outreach to the general public is vital. The National AI Research Resource (NAIRR), created under the National AI Initiative Act of 2020, aims to enhance public access to AI education and resources—helping citizens become active participants in discussions around AI deployment in public services.
In Conclusion
As the U.S. federal government gears up for a significant leap into AI adoption, how these technologies are utilized will dictate their success and public perception. The future of AI in governance will surely be an intriguing spectacle, with the potential for transformative changes that can redefine how public services operate.
The AI Buzz Hub team is excited to see where these breakthroughs take us. Want to stay in the loop on all things AI? Subscribe to our newsletter or share this article with your fellow enthusiasts.
