Governor Gretchen Whitmer signed an executive order today establishing Michigan’s first dedicated Office of Artificial Intelligence Policy, positioning the state as a leader in developing comprehensive frameworks for AI governance amid rapid technological advancement.

The new office, housed within the governor’s office, will develop statewide AI policies, coordinate efforts across state agencies, and create guidelines for responsible AI deployment in both government and private sectors. The announcement comes as Michigan seeks to balance innovation with consumer protection and workforce considerations.

“Michigan must lead on artificial intelligence,” Whitmer said during a signing ceremony at the Charles H. Wright Museum of African American History in Detroit. “We cannot allow other states or nations to dictate how this transformative technology shapes our future. This office ensures Michigan’s voice is central to AI policy discussions.”

The executive order, signed on March 15, directs the new office to issue its first comprehensive AI policy report within 120 days. That report will address algorithmic transparency, bias mitigation, data privacy, cybersecurity standards, and workforce impacts of AI automation.

Leadership and Structure

Whitmer appointed Dr. Sarah Chen, former director of the University of Michigan’s Center for Data Science and Public Policy, as the office’s inaugural chief. Chen brings 15 years of experience in AI ethics and machine learning policy.

“This office will be a convening space where technologists, workers, civil rights advocates, and policymakers can develop AI policies grounded in Michigan values,” Chen said in a statement. “We’re not trying to stop AI innovation. We’re ensuring that innovation benefits all Michiganders.”

The office will employ a staff of 12 full-time employees, including data scientists, policy analysts, and community liaisons. The governor allocated $2.8 million in the state budget for the office’s first two years of operation.

Addressing Workforce Concerns

Michigan’s push for AI policy reflects growing concern about automation’s impact on manufacturing and service workers. The state’s economy, historically tied to auto manufacturing, faces potential disruption as AI and robotics accelerate workplace transformation.

The new office will partner with the Michigan Department of Labor to study AI’s employment effects and develop retraining programs. State officials project that up to 240,000 Michigan jobs could be affected by AI automation over the next decade, though some positions may be created in emerging AI-related fields.

“We need to be proactive, not reactive,” said Victoria Talarico, Michigan’s director of labor. “This office gives us the infrastructure to anticipate changes and prepare workers.”

The executive order includes provisions requiring state agencies to assess AI systems before deployment. Agencies must disclose how algorithms make decisions affecting Michigan residents, particularly in areas like benefit determination, hiring, and criminal justice.

Private Sector Engagement

Despite focusing on government operations, the office plans extensive collaboration with Michigan’s growing AI industry. Detroit-based companies like Ally Financial and Rocket Companies have invested heavily in AI development. TechMU, a nonprofit supporting Michigan’s tech ecosystem, praised the initiative.

“This isn’t regulation for regulation’s sake,” said Tom Lewand, TechMU president. “This is about creating clear standards that allow Michigan companies to compete globally while protecting residents.”

The office will establish an AI advisory council including representatives from major corporations, startups, academic institutions, and civil rights organizations. The council will meet quarterly to discuss emerging issues and policy recommendations.

National Context

Michigan joins several states moving toward comprehensive AI governance. California passed the AI Transparency Act in 2025. New York established an AI task force in 2024. Federal AI regulation remains fragmented, with various agencies developing overlapping guidelines.

Whitmer’s office framed Michigan’s approach as complementary to potential federal action. “We’re not waiting for Washington,” a governor’s office spokesperson said. “We’re building the policy infrastructure that federal frameworks will likely build upon.”

Equity and Bias Concerns

A key focus for the new office involves preventing algorithmic discrimination. Michigan’s history of racial segregation in housing and policing has created persistent inequities that AI systems can amplify if not carefully designed.

The office will require bias audits for AI systems used in criminal sentencing recommendations, loan decisions, and hiring. Companies and agencies refusing to conduct audits may face fines ranging from $10,000 to $100,000.

“AI can either reinforce existing discrimination or help us overcome it,” Chen said. “We’re choosing the latter path.”

Next Steps

The office officially launches April 1, with Chen beginning her tenure immediately. She plans to hold regional listening sessions across Michigan before drafting the comprehensive policy report due in June.

Community advocates have mixed reactions. Some civil rights groups applaud the bias auditing requirements. Tech advocates worry about potential overregulation stifling innovation.

The coming months will test whether Michigan can craft AI policies that satisfy these competing interests while positioning the state as both innovation-friendly and worker-protective.