Federal AI Modernization Moves from Pilot Programs to Practical Impact

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​2025 was a landmark year for the federal government, particularly in the realm of AI modernization. What for years has been treated as an experimental tool finally transitioned from pilot programs into full production. “The shift is clear,” said Derrick Pledger, chief digital and information officer at Maximus. “AI is no longer a standalone experiment; it is embedded within secure cloud environments, strengthened by reliable data, and paired with defined human decision-making roles – part of the operational infrastructure of government.”  

​From Pilots to Real Projects: Progress for the People 

​For years, the federal government explored AI through limited, isolated experiments. Fueled in part by the current Administration’s Executive Order 14179, Removing Barriers to American Leadership in Artificial Intelligence, and the Office of Management and Budget’s Memorandum M-25-21, which accelerates federal AI adoption with a focus on innovation, governance, and public trust, AI has moved decisively from proof of concept to production.  

​AI deployments are now expected to meet the same standards as other mission systems. This means secure by design, auditable, and supported by clearly defined human decision-making roles. Rather than isolated tools, AI is increasingly embedded into enterprise platforms and workflows that support essential government functions. This shift created the foundation for AI to move beyond experimentation and into real, high-impact programs across federal agencies.  

​Modernizing Veterans’ Disability Claims 

​One clear example lies with the Department of Veterans Affairs, specifically its Veterans’ disability claims. Historically, examiners and clinicians navigated vast volumes of medical evidence for each claim. “A single claim can involve hundreds or thousands of pages,” explained Pledger. “When demand spikes, backlogs grow quickly, and Veterans experience that through longer waits and increased uncertainty about their claim.” In short, technology-enabled solutions help accelerate the review of documentation to ensure that Veterans have access to the benefits they deserve. 

​Through collaboration with Veterans Evaluation Services (VES) and government partners, AI-enabled systems now read, structure, and summarize unstructured medical records. While human experts still make all the decisions, AI surfaces the most relevant information quickly. In its first year, the AI-Powered Medical Records Processing System processed more than 400 million documents, or roughly 10 billion pages, and now handles 8 to 10 million pages daily.  

​The result is a meaningful shift in how work gets done. Medical examiners spend less time searching through records and more time applying clinical judgement. “For Veterans, the impact is direct: faster decisions, more consistent outcomes, and greater confidence that their case received a complete and timely review,” Pledger emphasized.  

​Improving Citizen-Facing Services 

​AI is also transforming how the public interacts with government across other service areas. Contact centers and digital “front doors” now leverage AI to automatically display case histories, summarize complex information, and provide decision support. Agents resolve issues faster, shorten call times, deliver clearer guidance, and improve customer satisfaction.  

​As Pledger noted, “Across the missions we support, meaningful progress occurs when AI is integrated into the systems that already carry the weight of public service delivery. The result is measurable improvement in how quickly, accurately, and consistently the public receives the services they rely on – not simply new technology in production.” 

​Securing Critical Systems 

​In national security and cybersecurity, the pressures differ, but the pattern remains the same: speed and accuracy are critical. AI-enabled red-team simulations that once took weeks to complete can now be processed in hours, while advanced telemetry analysis helps analysts spot anomalies before they escalate. By compressing the timelines between identifying a problem and deploying a secure, actionable solution, AI reduces risk to critical infrastructure and improves overall resilience.   

​From Pilots to Playbooks 

​As AI becomes further embedded across federal missions, the challenge isn’t finding new use cases but standardizing what already works. By focusing on shared platforms, stronger governance, and investing in the people who operate these systems, agencies can move beyond toward repeatable, mission-ready models. “When we execute on that approach, AI becomes part of how government responds,” Pledger said. When executed thoughtfully, AI transforms how government delivers services, responds to crises, and meets public needs with speed and consistency.  

​To learn more about federal AI modernization, read Pledger’s recent article here. 

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