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Lawmakers hear how AI is reshaping campus policy, enrollment and budgets

Legislative Finance Committee - MAR (Modernization and Risk Analysis) Committee · May 14, 2026
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Summary

NCSL’s higher‑education specialist told the committee that institutions are creating AI policies, task forces and curricula discussions; few states have comprehensive laws, and concerns include academic integrity, procurement contracts and equity of access.

Andrew Smolley, senior policy specialist for post‑secondary education at NCSL, gave the committee a state‑by‑state look at how colleges and universities are handling artificial intelligence on campuses. He said most AI rules are being developed at institutional level rather than through legislation, though some states have mandated policy development or appropriated funding for research and AI working groups.

Smolley summarized common institutional policy elements: permissive use with faculty discretion, alignment with academic‑integrity codes, measures addressing data privacy and vendor procurement, and attention to equity because not all students have equal access to AI tools. “The three big questions we’ve been asking are how institutions are using AI, how students are using AI, and how it impacts the workforce,” he told the committee.

Committee members requested a synopsis from the Montana University System and the Commissioner’s Office on campus AI policies and procurement contracts; staff agreed to follow up and supply that information to the committee.