San Jose spins out GovAI Coalition as independent nonprofit
San Jose city officials approved an updated AI policy framework this week and agreed to convert the GovAI Coalition into an independent nonprofit organization. The coalition, which serves more than 3,000 members across 900 public agencies, will transition out of its current volunteer-driven model to establish dedicated staff.
The shift addresses a practical constraint: the coalition's current structure relies heavily on volunteers. A nonprofit model will allow it to hire permanent staff and pursue philanthropic funding to support its work developing policy templates, procurement guidance, and oversight best practices for government agencies adopting AI.
San Jose launched the coalition in 2023 to give government leaders, policymakers, and private companies a voice in shaping AI policy for the public sector. The group has since grown to include agencies nationwide exploring AI deployment.
Khaled Tawfik, San Jose's Chief Information Officer, said the timing matters. "At a time when the AI landscape is evolving rapidly, this kind of collective effort is more important than ever," he wrote on LinkedIn Tuesday.
San Jose's AI rollout and labor concerns
The city has piloted AI systems for street hazard detection, building permits, and employee training. These projects reflect a shift from experimentation to operational governance across departments.
City employees are pushing back on the expansion. In March, AFSCME Local 101, the city's largest public-sector union, proposed safeguards including a ban on using AI to replace workers and requirements that the city maintain employee input on technology deployment.
The union's contract expires at the end of June. Its proposal states that "technological systems should enhance public service delivery and support employees in performing their duties safely and effectively" without eliminating jobs or circumventing bargaining obligations.
Jonathan Behnke, San Diego's Chief Information Officer and a member of the coalition's board, said the nonprofit structure will allow the group to move beyond volunteer constraints and "devote more time to delivering value for the coalition membership."
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