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InnovateUS report finds government AI uptake lags, with uncertainty as main barrier

Published
Score
22

Why it matters

InnovateUS, a nonprofit learning initiative, has released its first report from the Observatory of Public Sector AI. The report draws on 106,300 pre-course and 67,002 post-course survey responses from learners in its introductory generative AI course, collected between June 2024 and May 2026. It found that about half of learners had never tried generative AI. The main obstacles were not resistance but confusion: whether AI fits their jobs, how to use it, and whether they are permitted to use it. A separate survey of about 100,000 government workers found fewer than a quarter use AI weekly, roughly half the private-sector rate. The report was co-authored by researchers including Gregory Porumbescu of the New Jersey State Policy Lab and Lee Rainie of Elon University's Imagining the Digital Future Center.

Whether training produces measurable gains in everyday work and public service quality is still an open question. The Observatory says it plans to study that next. The report does not yet measure outcomes at that level. The state examples cited alongside it are also not tested against the same methodology. Pennsylvania reported saving an average of 95 minutes per employee when staff used ChatGPT to draft and summarize long documents. New Jersey surveyed its public workforce before finalizing its AI governance framework.

For attorneys advising agencies or public-sector clients, the report's central claim is that buying software or publishing a policy does not change how work gets done. Watch for whether the Observatory's follow-up study measures actual productivity and service quality, not just completion rates. Clients drafting AI use policies should note the report's finding that permission confusion is a bigger barrier than resistance, which makes clear written guidance on permitted use a practical priority. The timing matters too: economists are tracking early productivity gains among private-sector AI users, so the public-sector gap is likely to draw scrutiny from oversight bodies and budget writers.

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