California partners with 5 tech companies using AI to solve traffic congestion, taxes and other problems
California could soon deploy artificial intelligence tools to help reduce traffic congestion, make roads safer and provide tax guidance, among other things, under newly announced agreements Thursday as part of Gov. Gavin Newsom’s effort to harness the power of new technology for public services.
The state is partnering with five companies to create innovative AI tools using technologies developed by tech giants such as Microsoft-backed OpenAI and Anthropic, administration officials said. Google backs it, helping the state provide better services to the public.
“It’s a very good sign that many of these companies are focused on using GenAI to deliver government services,” said Amy Tong, California’s executive secretary of government.
The companies will now begin a six-month internal test in which the tools are tested and evaluated by state staff. Companies will be paid $1 for their suggestions. A state facing a significant budget deficit could then reassess whether any tools can be fully deployed under the new contracts. An administration spokesperson said all of these tools are considered low risk, meaning they do not interact with confidential data or personal information.
Newsom, a Democrat, sees California as a global hub for AI technology, noting that 35 of the world’s top 50 AI companies are headquartered in the state. He signed an executive order last year requiring the state to begin exploring responsible ways to incorporate innovative AI this summer, with the goal of making California a national leader in AI. In January, the state began requiring tech companies to develop innovative AI tools for public services. Last month, California was one of the first states to issue guidance on when and how state agencies can purchase such tools.
State officials and experts say creative AI, a branch of AI that can generate new content such as text, audio and images, has significant potential to help government agencies function effectively. more effective, but urgent protection and monitoring measures are also needed to limit risks. In New York City, an AI-powered chatbot created by the city to help found small businesses divide giving misleading guidance and advising companies to violate the law. Rapidly evolving technology also raises concerns about job losses, misinformation, privacy and automation bias.
While state governments are fight to regulate AI in the private sector, many are exploring how public agencies can leverage this powerful technology for the public good. California’s approach also requires companies to disclose the large language models they use to develop AI tools, officials said, to build public trust.
State efforts to widely test tools and allow state employees to provide feedback are some of the best practices to limit potential risks, it said. Meredith Lee, chief technical advisor for UC Berkeley’s College of Computing, Data Science and Society. The challenge is how the state ensures continued testing and understanding of the tool’s potential risks after implementation.
“This is not something where you just work on testing for a small period of time and that’s it,” Lee said. “It’s really important to put structures in place so people can review and better understand the implementation going forward.”
The California Department of Transportation is looking for tools that can analyze traffic data and offer solutions to reduce highway traffic and make roads safer. The state Department of Tax and Fee Administration, which manages more than 40 programs, wanted an AI tool to help its call centers cut wait times and call lengths. The state is also looking at technologies to provide non-English speakers with information about health and social service benefits in their languages and streamline the care facility inspection process. health.
The tool is designed to support state workers, not replace them, said Nick Maduros, director of the Department of Tax and Fee Administration.
Call center staff there took more than 660,000 calls last year. The state envisions AI technology listening to those calls and pulling up specific tax code information related to the issue the caller is describing. Workers can decide whether to use the information or not. Currently, call center agents must simultaneously listen to the call and look up the code manually, Mr. Maduros said.
“If it doesn’t serve the public better then we lose $1,” Maduros said. “And I think it’s a pretty good deal for Californians.”
Tong did not say when a successfully tested tool would be deployed but added that the state is moving as quickly as possible.
“The nature of using GenAI is that it doesn’t take years,” Tong said. “GenAI is not waiting for you.”
