Santa Clara County Considers AI Regulations Amid Worker Displacement Fears

Proposed guidelines would require disclosure, prohibit use in personnel decisions, and prioritize AI as an assistant, not a replacement, for county workers.

Mar. 21, 2026 at 10:36pm

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The Santa Clara County Board of Supervisors is scheduled to discuss a comprehensive study on the use of artificial intelligence across county departments, including the public hospital system. Proposed guidelines would require disclosure when AI is used, explicitly prohibit its use in personnel and budgetary decisions, and prioritize AI's role in assisting, not replacing, county workers.

Why it matters

The proactive discussion around AI regulation highlights a growing awareness of the technology's potential societal impacts, particularly within the public sector. Establishing clear guidelines now could mitigate risks and ensure responsible implementation, but requires ongoing evaluation and adaptation.

The details

Labor unions have voiced concerns about the potential impact of AI on the county workforce. Supervisor Margaret Abe-Koga, working with Board President Otto Lee, expressed primary concern over the potential for AI to replace public servants. The union representing over 3,000 county workers supports discussing prohibited AI use cases, specifically preventing its application to firing or disciplinary actions. Supervisor Abe-Koga indicated her staff is currently evaluating various AI tools, including those for creating employee training videos and speech-to-text platforms for synthesizing doctors' notes. A Microsoft CoPilot program is too underway in select departments, with potential expansion county-wide based on initial results.

  • The Santa Clara County Board of Supervisors is scheduled to discuss the AI study on Tuesday, March 21, 2026.

The players

Santa Clara County Board of Supervisors

The governing body of Santa Clara County, California, composed of five members each representing a different part of the county and serving four-year terms.

Margaret Abe-Koga

A District 5 Supervisor on the Santa Clara County Board of Supervisors, working with Board President Otto Lee to address concerns over the potential for AI to replace public servants.

Zeb Feldman

A leader with the County Employees Management Association, a union representing more than 3,000 workers in Santa Clara County.

Matt Mahan

The Mayor of San Jose, which is already actively integrating AI into its local government operations.

Maria Noel Fernandez

The executive director of Working Partnerships USA, who believes local governments like Santa Clara County can serve as models for responsible AI use nationwide.

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What they’re saying

“Fundamentally our goal is not to replace workers, but to augment and help streamline their work.”

— Margaret Abe-Koga, District 5 Supervisor, Santa Clara County Board of Supervisors

“Everything is knowable now”

— Zeb Feldman, Leader, County Employees Management Association

“Local governments like Santa Clara County can serve as models for responsible AI use nationwide.”

— Maria Noel Fernandez, Executive Director, Working Partnerships USA

What’s next

If approved, the policy will return for a final vote at a later date.

The takeaway

Establishing clear guidelines for the use of AI in Santa Clara County's government operations could serve as a model for responsible implementation of the technology, mitigating risks and ensuring it is used to assist, not replace, public servants.