A growing body of research confirms what many governments have already discovered: AI and chatbots are reshaping how public services operate by delivering faster responses, reducing friction, and freeing up staff for more complex work.
One study makes this real. In 2024, Government Information Quarterly published a review of chatbot use in 22 U.S. state agencies. The findings were direct. Chatbots helped staff focus on high-priority work. They improved how agencies communicate with citizens. They gave teams the data they needed to update digital services based on real user behavior. The conclusion was that chatbots are no longer a side project. They are now part of how governments run.
That shift isn’t isolated but it’s part of a broader movement happening across the U.S. and Canada. More agencies are deploying AI chatbots to help residents get what they need, faster, with fewer clicks, and often without waiting on hold.
This article explores how AI and chatbots are transforming public service delivery in the U.S. and Canada.
It looks at recent chatbot implementations, emerging trends, measurable benefits, challenges, and the policies shaping responsible AI adoption.
Government Chatbot Use Has Been Accelerated
Public agencies have started building AI chatbots into their core services.
The IRS, for example, uses chatbots to answer tax questions and help users set up payment plans. These bots have handled more than 13 million inquiries and processed $151 million in self-service payments. That’s time saved for citizens and relief for overloaded call centers.
State systems show similar growth. In Georgia, the Department of Labor uses a chatbot named George. It answered questions from 2.5 million users, with an accuracy rate of 97%. In Massachusetts, the “Ask MA” bot now fields over 3.4 million messages each month. It helps residents with services ranging from licenses to taxes.
City governments have joined in too. Atlanta’s ATL311 chatbot gives residents 24/7 access to non-emergency services. Need to report a pothole? Ask a question about trash pickup? The bot handles it in minutes.
Bots Are Built to Handle the Basics
That’s the real value. Chatbots take care of the repeat questions so humans don’t have to.
Most government bots still follow rules-based scripts. These aren’t full-blown AI personalities. They answer predictable questions with approved answers. That structure makes them reliable and safe.
You’ll find them guiding users through renewals, pointing them to forms, and giving status updates on claims. They’re especially helpful in programs with high demand and limited human support, like unemployment, licensing, and public benefits.
Even so, some governments are taking it further. In 2023, New York City launched MyCity, a chatbot built on GPT technology. It responds in natural language and covers housing, childcare, and business services.
But things got complicated. The bot gave wrong answers on housing rights and critics pointed it out. The city added warnings to let users know they should double-check anything the bot said.
Governments Want Results They Can Trust
They’re getting them.
Across the board, chatbots are helping public services run better. In one pilot, TSA used AI to handle common travel questions on social media. The result: average reply times dropped from 90 minutes to under 2.
Agencies are also saving money. IBM found that chatbots can cut call center costs by up to 70%. A 2023 PwC survey backed that up. Three out of four government leaders said AI improved internal efficiency. And more than two-thirds said it boosted citizen satisfaction.
The logic is simple. Chatbots don’t need breaks, they don’t take holidays, and they never put callers on hold. That makes them perfect for answering basic questions at scale.
They also help with accessibility. Massachusetts and New York support Spanish and English. In Canada, dual-language chat is a legal requirement, and upcoming bots are expected to meet that need from day one.
Canada’s Getting Ready
The approach in Canada has been more cautious. Instead of launching public-facing chatbots, departments have focused on internal pilots.
Shared Services Canada built CANChat to support government employees. The tool helps with research and drafting tasks. Elsewhere, an AI chatbot is helping HR staff quickly classify jobs, something that used to take hours.
Behind the scenes, the federal government is shaping its next big move. The AI Strategy for the Public Service (2025–2027) is on the way. As part of it, officials have asked Canadians what they want from AI in public life. The answer: faster service, better information, and a clear commitment to privacy and ethics.
That’s the plan. Start small, test with care, and roll out only what’s proven.
Challenges that Limit the Use of AI and Chatbots in Government
Even with all the progress, chatbots bring a set of risks that governments can’t ignore. These four areas need more attention.
Accuracy and Trust
When someone asks a government chatbot about their legal rights or eligibility for benefits, the answer has to be right. Not vague, not half-true, not made up.
This is where generative AI still struggles. These models are trained to predict language patterns, not verify facts. That means they can “hallucinate”, generate confident-sounding answers that are completely wrong.
In commercial settings, that might lead to a customer complaint. In public services, the consequences can be much worse. A bad answer might delay an application, cause someone to lose support, or lead to misinformation being shared across communities.
Public-sector bots must meet a higher standard. That means grounding their knowledge in approved databases and limiting responses to verified information.
Agencies also need to be transparent about what a chatbot can and can’t do. Users should never assume that a bot has final authority. The system should remind them that if the question is complex or sensitive, a human advisor is the right next step.
Trust is fragile. Once broken, it’s hard to rebuild. That’s why accuracy is the first priority.
Privacy and Security
Chatbots might start with simple FAQs, but their capabilities are expanding fast. The next generation will likely connect to personal accounts, case files, and application data. That’s powerful, but risky.
Government agencies must treat these interactions with the same care as any private citizen data. That means strong encryption. It means clear opt-ins and audit trails and knowing exactly where the data goes and who sees it.
One growing concern is third-party AI platforms. If a government chatbot is built on commercial tools, agencies must ensure that user input isn’t used to train external models. No one wants their immigration inquiry showing up in a future AI training set.
Authentication is another piece of the puzzle. If a chatbot lets users check application status or access records, it must verify who’s asking. That’s no small task, especially across multiple departments. Governments will need secure logins, digital ID systems, and clear policies about what a bot can access.
Citizens have to feel their privacy is respected when they use a public service.
Accessibility
Even the best chatbot in the world won’t work for everyone.
Some people can’t or won’t use digital tools. That might be due to a disability. It might be a language barrier, an aging device, or low comfort with technology. In rural areas, there might be poor internet access. These barriers are real and they’re easy to overlook in fast-moving AI projects.
Governments must design with inclusion in mind. Chatbots should work with screen readers, offer voice options where possible and use plain language that doesn’t require technical fluency.
Just as important, bots should never become the only option. People must still be able to call, email, or walk into an office and get help. A digital tool should expand access, not replace it.
Public service has to meet people where they are, not expect them to adapt to the tool.
Strong Policies Keep the Foundation Stable
Governments are catching up with the tech.
In the U.S., a 2024 executive order required federal agencies to appoint Chief AI Officers, assess risk, and publicly list AI use cases. Several states like Connecticut and New York among them, now mandate algorithmic impact assessments before any public-facing AI is deployed.
Canada has its own framework. The Directive on Automated Decision-Making has been in place since 2019. Now, the proposed Artificial Intelligence and Data Act would regulate high-impact systems, including chatbots. The emphasis is clear: use AI to serve, but make sure it’s safe, fair, and accountable.
That mindset is spreading. Public servants are getting trained in how to use AI responsibly. Pilot programs are reviewed for bias. And new procurement rules mean tools like chatbots must meet ethical, privacy, and accessibility standards before launch.
The Bottom Line
Governments are trying to make public service better and faster, and AI and Chatbots are helping them get there.
They answer routine questions, simplify navigation and reduce the pressure on underfunded, overworked teams. And they do it in real time, all day, every day.
Still, they’re just tools. Their value depends on how clearly they’re built, how carefully they’re monitored, and how much trust they earn.
Done right, they’ll change what it feels like to interact with the government, turning wait times into conversations, confusion into clarity, and frustration into progress.
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