The Committee on State and Local Government convened on January 23, 2025, to discuss various topics, including the impact of technology on state services and the governor's budget recommendations.

Commissioner Tomes provided an overview of the application portfolio, highlighting that 209 applications serve over 10,000 Minnesotans. This significant reach underscores the importance of these services in meeting the needs of the population, particularly from a cybersecurity perspective.

The discussion then shifted to the governor's budget recommendations, which included modest operating adjustments of $186,000 for fiscal year 2026 and $378,000 for fiscal year 2027. These adjustments are primarily aimed at addressing rising employee compensation costs and increasing expenses related to cyber insurance, reflecting the competitive job market in the Twin Cities.

Senator McQuade raised concerns regarding the rapid integration of artificial intelligence (AI) into everyday products without public consent. She emphasized the potential risks associated with AI, including its reliance on a few dominant companies and the implications for privacy and accuracy in legal contexts. McQuade called for a more cautious approach to AI development within state government, advocating for public ownership and oversight.

In response, Commissioner Tomes acknowledged the importance of balancing the benefits of AI with its potential risks. He mentioned the establishment of a classification system for AI applications, modeled after autonomous vehicle regulations, to ensure a careful approach to its implementation. Tomes expressed a commitment to governance and collaboration with the Technology Advisory Council to address these concerns.

Senator Jaskowski inquired about the current telework arrangements of state employees. Commissioner Tomes reported that approximately 70% of the workforce has telework agreements, allowing them to work remotely up to five days a week. He noted the agency's ongoing efforts to balance remote and in-office work to effectively serve Minnesotans.

The meeting concluded with a commitment to further discussions on the implications of AI and the importance of maintaining a robust workforce to meet the needs of the state.