Governance

AI use case

An activity where an AI system materially affects government functions.

How the laws define this

Both instruments center the concept of an AI use case on applying artificial intelligence to shape, carry out, or affect public-sector decisions and actions to trigger governance and risk assessment duties. Under OMB Memorandum M-24-10: Advancing Governance, Innovation, and Risk Management for Agency Use of Artificial Intelligence, a use case spans any specific application or deployment used to inform, influence, or execute agency decisions or actions, requiring agencies to maintain an inventory for public transparency. By contrast, the DTA AI Policy Update - Impact Assessment Tool and Procurement Guidance establishes a distinct scope threshold by requiring that the activity materially affects government decision-making, service delivery, or public interactions, while explicitly extending the concept to include model-based automation. Compliance professionals evaluating coverage must note whether their framework regulates general agency deployments that require public inventorying or demands a material impact on decision-making, service delivery, and public interactions.

Synthesised from the 2 statutory definitions below. Each one is quoted in full, with its source.

How jurisdictions differ

What is distinctive in each definition, binding law in force first.

Jurisdiction	Instrument	Status	What is distinctive
Australia	DTA AI Policy Update - Impact Assessment Tool and Procurement Guidance	In Force	Expands material effects beyond decisions or actions to explicitly include service delivery or public interactions, and covers model-based automation alongside AI systems.
United States	OMB Memorandum M-24-10: Advancing Governance, Innovation, and Risk Management for Agency Use of Artificial Intelligence	Superseded	Limits to specific applications or deployments where AI informs, influences, or executes agency decisions or actions, omitting service delivery or public interactions.

What it triggers

Under the United States OMB Memorandum M-24-10, it directed agencies to inventory such use cases to support governance, risk assessment, and public transparency until it was superseded.source

Definitions (2)

An activity in which an AI system (or model-based automation) materially affects government decision-making, service delivery, or interactions with the public; this definition determines which activities fall under the Policy for the responsible use of AI in government (v2.0) and associated assessment and governance requirements.

DTA AI Policy Update - Impact Assessment Tool and Procurement GuidanceDefinition 1 of 2

Specific applications or deployments in which AI is used to inform, influence, or execute agency decisions or actions. The memorandum requires agencies to inventory such use cases to support governance, risk assessment, and public transparency.

OMB Memorandum M-24-10: Advancing Governance, Innovation, and Risk Management for Agency Use of Artificial IntelligenceDefinition 2 of 2

Not to be confused with

High-risk use case

High-risk use case refers to government AI uses that could significantly affect people's rights or safety, while AI use case is broader and covers any material effects on government functions.

In-scope use case

In-scope use case specifies AI use cases requiring mandatory assessment and accountable officers, whereas AI use case is the general term triggering policy applicability.

Questions and answers

What did US agencies have to do with AI use cases under OMB M-24-10?

The OMB Memorandum M-24-10 directed agencies to inventory AI use cases to support governance, risk assessment, and public transparency. This applied until it was superseded.

How do AI use cases differ between Australia and the US definitions?

Australia's definition includes service delivery and public interactions plus model-based automation, while the US focuses on AI informing, influencing, or executing agency decisions or actions.