Public Benefit Fund Awards Grant for AI Workforce Study

The $1.1 million grant will fund research into the impact of artificial intelligence on state government roles.

Updated on Oct. 22, 2026 in Remote Work

Isometric editorial illustration of a structured lattice of stone-like geometric pillars, representing a system of government job classifications. — The Public Benefit Innovation Fund awarded $1.1 million to Holly and 17A to study AI's integration into state government workforce roles. AI Illustration. Upload story photo >

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The Public Benefit Innovation Fund has awarded a $1.1 million grant to Holly and 17A to study how artificial intelligence affects state government workforce structures. The initiative focuses on the Oklahoma Office of Management and Enterprise Services and the Virginia Department of Administration.

Why it matters

The project seeks to address critical skills gaps in government employment as agencies adopt new technologies. It aims to help departments navigate complex civil-service requirements and labor agreements while updating job classifications for an AI-integrated workplace.

The grant provides $1.1 million for an 18-month research initiative selected from a pool of more than 300 applicants. This project serves as a test case for integrating emerging skills into traditional state job classifications.

The players

Public Benefit Innovation Fund

This entity provides financial support for initiatives aimed at improving governance and public sector operations.

Holly

This organization specializes in technology management and data analysis for public sector workforce projects.

17A

This firm focuses on organizational design and identifying necessary workforce skills for evolving industries.

Oklahoma Office of Management and Enterprise Services

This state agency oversees administrative and operational functions for the government of Oklahoma.

Virginia Department of Administration

This state department manages central personnel and administrative policies for the commonwealth of Virginia.

The details

Holly will handle technology and data analysis for the project, while 17A concentrates on organizational design and mapping required workforce skills. The partners will develop an open-source tool named VOKA to compare state job classifications against modern AI skill sets.

The partners were selected during the 2026 spring cohort.
The grant award was formally announced on October 22, 2026.
The initiative is scheduled to span 18 months.

Market Landscape

This initiative represents a shift toward standardized digital transformation across disparate state agencies. By creating open-source tools, the project aims to counter fragmented government technology adoption and set a benchmark for future public sector workforce modernization.

State employees in participating regions may see changes to their job classifications and skill requirement expectations as the project progresses. These updates are intended to streamline government services and clarify roles as agencies integrate AI tools into daily operations.

The takeaway

Developing standardized frameworks for AI roles can help agencies avoid the pitfalls of siloed technological adoption. Public sector workers should prepare for evolving skill requirements as government bodies move toward more automated administrative structures.