Gov. Stein wants NC to lead on AI. What would that mean for jobs and taxpayers?
AI-generated summary reviewed by our newsroom.
- Gov. Josh Stein launched AI leadership council to oversee benefits, risks, plans
- The council aims to boost efficiency while evaluating job impacts and safety risks.
- Agencies will pilot AI to improve services; oversight includes public-private input.
North Carolina’s Democratic Gov. Josh Stein has created a new oversight group to look at the possibilities, and risks, of using artificial intelligence in state government and beyond. Leading in AI, Stein said Tuesday, will help keep the state at the top of business rankings.
“AI has the potential to transform how we work, how we live. There are extraordinary possibilities with AI, and also serious risks,” Stein told reporters during a news conference Tuesday at the Albemarle Building in downtown Raleigh.
For state government, AI could both make it more efficient and cost some state employees their jobs.
Stein appointed two of his Cabinet secretaries as co-chairs and four state lawmakers — two from each political party — to the new Artificial Intelligence Leadership Council.
Secretary of Information Technology Teena Piccione and Commerce Secretary Lee Lilley will co-chair the group. Stein’s latest executive order will also create an AI accelerator in the Department of Information Technology, and each state agency will have an AI oversight team.
DIT describes an AI accelerator as a voluntary “tech innovation hub” for state agencies to collaborate with universities and private companies to test and develop AI that would benefit the state.
What the AI council will do
People are already using AI, Piccione said, giving an example of using phone apps for directions and avoiding traffic.
“It’s an intricate tool that can be used just as any other tool, like a computer. So it’s going to make it more efficient for workers actually do their job,” she said.
Republican Rep. Jake Johnson, Democratic Rep. Zack Hawkins, Democratic Sen. DeAndrea Salvador and Republican Sen. Todd Johnson are also on the council, which Stein said will “make sure that we’re advancing use of artificial intelligence responsibly in North Carolina and seizing every opportunity to foster innovation.” Others on the council are state agency employees, academic leaders and private sector experts.
The council comes on the heels of State Treasurer Brad Briner using AI in his agency, and issuing a report about partnering with OpenAI for a pilot program looking at efficiency in the Unclaimed Property Division and the State and Local Government Finance Division.
Rep. Jake Johnson said that he’s putting together an AI regulatory reform bill for the 2026 General Assembly session, and he wants to bring the bill draft to the council to get feedback from both the public and private sectors.
Piccione said that the council’s meetings and minutes will be made public. She also said DIT is working on “the framework on how to make sure it is safe and integral for all of North Carolinians.” The state has a document laying out responsible AI use, created in August 2024 and updated again last month.
Stein acknowledged that some state employees could lose jobs because of AI.
Becoming the ‘most AI-friendly state,’ with some penalties
Johnson, the Republican House member on the advisory council, told The News & Observer that the legislation he’s working on would also look at “deep fake stuff” seen during political campaigns.
He also wants there to be penalties for misuse of AI.
“Around election time, you see a ton of campaign ads that are totally-AI generated, but look real and nobody knows it,” he said.
“We think it’s just fair that there’s certain common-sense disclosures, making sure that if you are breaching high-risk data, that it carries a tangible penalty to it. If you’re stealing intellectual property, that it carries a penalty, just like if you stole real property. These are all things we’re brainstorming right now to make North Carolina the most AI-friendly state,” Johnson said.
Saving taxpayer dollars by eliminating jobs?
Asked about how it benefits taxpayers, Johnson said that the state will invest in “the biggest bang for our buck” and that taxpayers will see the results with better customer service from state agencies within the next five to 10 years.
Stein used the Division of Motor Vehicles as an example of where the state could try to use AI to get more customers through the system faster, and reduce wait times.
“So I’m not denying that there may not be employment consequences, whether in the private sector or public sector, but we are nowhere near that at this point. We just want to make sure that government works for people as efficiently as possible,” Stein said.
The governor also noted the state’s 20% vacancy rate for state employees.
“What we have to do is make sure that we are delivering maximum value to North Carolinians, to taxpayers through government services with the expenditures that we have. So I think that we can do that,” he said.
This story was originally published September 2, 2025 at 3:30 PM.
