The rapid emergence of artificial intelligence (AI) tools in workplaces, including local government, has created both opportunities and risks. Staff increasingly use AI-enabled systems for research, content generation, data analysis, and customer interaction, often without formal guidance on privacy, accuracy, or ethical use. This has highlighted the need for a consistent, organisation-wide policy to ensure AI is used safely, responsibly, and in alignment with Council’s governance and legal obligations, while also promoting and teaching staff about its potential benefits when used appropriately.

Without a policy framework, there is a heightened risk of unintentional breaches of privacy, misuse of confidential or personal information, biased or unreliable outputs, and reputational harm. The NSW Government has recognised these risks through the NSW AI Assurance Framework (AIAF) and has issued guidance for public sector agencies to establish clear accountability and oversight for AI use.

There is a need for Council to consider the emergence of Artificial Intelligence and its increasing use in the workplace, both from the point of view of empowering and informing staff in its benefits, and in ensuring good governance practices are used.

The aim of this policy is to establish a clear, Council-wide position on governance principles related to artificial intelligence. This policy will be supported by operational procedures which will be developed and updated as technology evolves to guide practical implementation across Council.

At the Finance, Operations and Community Services Committee meeting on 5 May 2026, Council agreed to:

1. Publicly exhibit the draft Artificial Intelligence (AI) Policy for 28 days.
2. Have officers prepare a report to Council following the exhibition period.

You can view the Council motion on page 5 of the May meeting minutes here.