AI in Goverments
AI for Local Governments: How Artificial Intelligence can modernize municipalities and improve public services?
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AI for Local Governments: How Artificial Intelligence can modernize municipalities and improve public services?

AI in governments is rapidly transforming the landscape of public administration, introducing process automation, service personalization, and improved accessibility—even in small municipal offices. AI for local governments is becoming essential. However, its implementation requires a responsible approach, considering data protection, regulatory compliance (e.g., GDPR, EU AI Act), and system transparency.

AI in Goverments

How Can AI Help Build a Modern Local Government?

A modern local government is one where services are not only easily accessible but also proactively address the needs of residents.

AI can play a crucial role in achieving this vision by:

  • Automating routine tasks,
  • Personalizing services,
  • Streamlining complex administrative procedures.
A centralized AI Platform, advantage of Local GovernmentsSecurityCompliance with DGPR and full control over dataConsistencyUnified managment and risk minimizationScalabilityFrom small municipalities to large institutions, without loss of performanceSpeedFast implementation and lower costs

A practical example of AI implementation is chatbots, which are increasingly becoming an integral part of citizen services on government platforms. They can answer questions, process simple requests, and guide users to the appropriate services—all in real time.

AI-Powered Tools for Administration

Advanced tools, such as Actionbot, enable the automation of repetitive administrative processes, including:

  • Document generation,
  • Data analysis,
  • Guiding users through administrative procedures.

These solutions significantly speed up and improve citizen service processes.

Where Can AI Benefit Local Governments?

The implementation of AI requires a strategic approach and an in-depth needs analysis. Introducing technology is not just about modernizing systems but also fundamentally changing the way public administration operates.

BenefitsLocal Govermentsincreased operational efficencyimproved decision-makingenhanced communication with citizensincreased transparencyCitizensimproved access to personalized servicesfaster serviceincreased transparencyimproved quality of lifeincreased civil engagement

One key area where AI can bring measurable benefits is the procurement process based on public procurement law. The typical process includes:

  • Market analysis and defining the subject of the procurement,
  • Selecting procedures and evaluation criteria,
  • Publishing tenders and handling inquiries,
  • Analyzing and evaluating offers, followed by contract signing.

With AI, officials responsible for various stages of the process can receive support in the form of:

  • Preliminary verification of offers,
  • Summarizing similar past projects,
  • Automatically generating tender requests,
  • Analyzing regulations to facilitate procedure selection,
  • Automatically responding to bidder inquiries.

In practice, this means fewer errors, faster decision-making, and greater transparency throughout the process. Officials can focus on the strategic aspects of procurement rather than getting bogged down in routine tasks.

What Are the Challenges of Implementing AI in Local Governments?

Despite numerous benefits, implementing AI in municipalities comes with challenges, including:

  • Scale – Local governments often lack the resources to independently implement AI on a large scale.
  • Security and transparency – Ensuring regulatory compliance and eliminating potential errors, such as AI-generated “hallucinations,” is crucial to building public trust.
  • Costs – Developing a dedicated AI environment for each municipality is expensive and requires highly specialized expertise.
  • Technology adaptation – Each municipality has unique procedures resulting from local regulations, making standardized solutions not always optimal.

Can a Centralized AI Platform Help Local Governments?

One of the most effective ways to implement AI in public administration is to create a centralized AI platform accessible to municipalities and central government agencies.

Such a solution would provide:

  • Security – Full control by state institutions over data processing.
  • Scalability – Implementation across small municipalities and large institutions without losing efficiency.
  • Speed – Faster deployments and lower costs due to shared resources.
  • Consistency – Standardized management, minimized risk, and better regulatory compliance.
Krzysztof Goworek

A central AI service platform would be fully controlled by the relevant state institutions and could provide AI-powered service components for all public sector clients. This includes municipalities, but also other government offices, particularly central agencies. Krzysztof Goworek
CEO at TUATARA

Key Functions of Such a Platform:

  • Document repositories – A central place for storing and organizing documentation, enabling easy search and content analysis in compliance with data protection laws.
  • APIs for integration with other public services – The ability to connect the platform with existing systems, allowing for seamless AI implementation without a complete IT infrastructure overhaul.
  • AI/GenAI models for document and data analysis – Rapid processing and analysis of documents, such as applications or public tenders, helping to relieve officials and speed up task execution.
  • AI/GenAI models for content generation – Automatic creation of documents, responses to citizen inquiries, and informational materials tailored to local regulations and needs.

By integrating IBM watsonx technology, municipalities could quickly deploy AI solutions without requiring advanced IT expertise.

Key Success Factors for AI Implementation in Local Governments

To effectively implement AI in municipal administration, it is essential to ensure:

  • Secure data processing,
  • Adaptation of solutions to local regulations,
  • Cost optimization through economies of scale,
  • Intuitive and accessible tools for both officials and citizens.

With the right approach, AI can contribute to increased administrative efficiency, improved public service quality, and the development of a modern, digital public administration.

More information on responsible AI implementation in public administration can be found in our CEO Perspective video: “The Future of Public Administration: Responsible AI Deployment.”

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