A new report warns of AI creating a “demand machine” for governments, leading to an increased demand for government services. The Demand Machine: The Realities of AI-Powered Public Service published February 11 by New America presents four key findings in their report. Among those, they explain that by decreasing friction, AI helps residents to more easily interact with government—leading to increased service requests, not fewer. The report cautions that the surge in demand risks overwhelming already strained public systems. “Treating AI as a cost-cutting tool is misleading. AI is shifting capacity, staffing and trust; processes will need to change rapidly in response,” the report explains.
To address the increase in demand for government services, the report suggests creating an adaptation plan to address these priorities:
Forecast volume: Use scenario modelling to anticipate and prepare for increased service demand when introducing new AI technologies.
Define Service-Level Targets: Clearly define standards for response times and service quality.
Adjust Budgeting and Staffing at the Outset: View AI as an opportunity to enhance resources and skills, not just cut costs, by adapting, anticipating increased demand, and adjusting budgets accordingly.
Establishing Where and When Humans Are in the Loop: Use human discretion at critical decision-making points before launching AI-enabled service.
A new report from NASCIO explores the rise of agentic AI. “From routing approvals and detecting anomalies to guiding citizen services from start to finish, agentic AI represents the next phase of AI maturity in state government,” the report says. The report walks readers through the core differences between Generative AI and Agentic AI. In terms of autonomy, for example, GenAI requires human prompts for a response, while agentic AI carries out complex work with minimal human input. Beyond Generation: The Rise of Agentic AI in State Government, published March 2026, also provides multiple examples of states using or planning to use agentic AI.
Delaware launched an AI sandbox in July 2025 to test and promote responsible agentic AI development.
Alaska plans to consider using agentic AI for the myAlaska portal to automate government transactions, dynamic form filling, document retrieval and eligibility checks.
Tennessee seeks a next-generation ERP solution with agentic AI that detects payroll anomalies, flags procurement bottlenecks, surfaces compliance risks and identifies potential fraud.
The Q1 2026 issue of Governing magazine gathers a handful of ways states and localities harness the power of AI—from translating meetings to filling prescriptions. “The U.S. is the most linguistically diverse country in the world — Americans speak well over 300 languages at home,” reports Governing. According to their research, they say dozens of cities, mainly in California and Nevada, use AI translation to increase access to public meetings. They cite the city of North Las Vegas, for example, providing real-time meeting translation with AI since 2023; attendees scan a QR code to access almost any language via their phones.
Starting in early 2026, Utah allows patients to refill their prescriptions online using an AI platform. The Office of AI Policy and the Department of Commerce approved a trial for AI-powered prescription renewal, limiting it to prescriptions due in 30, 60 or 90 days.
Renee Moseley joined GL Solutions in 2016 with an educational and professional background in research and writing, along with software documentation. At GL Solutions she produces informative content to help regulatory agencies stay current on news and information that supports their success.
