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The State of Public Sector AI, 2027 OutlookGet the free report →
AI Transformation

Get AI out of the pilot and into production.

Fossa Labs helps public sector organizations replace manual, paper-bound processing with production AI systems. We name the outcome first, find the constraint actually holding the work back, build inside your governance, and hand your team the keys.

01Where it stalls

AI in government rarely fails at the model.

It fails at the operating model. Between a funded idea and a system the public actually experiences, four things break. Each one is fixable, and every one of them is cheaper to fix before the build starts.

  1. 1

    The pilot gets funded

    A use case is chosen for visibility, not for a measurable change in a queue.

    No baseline set
  2. 2

    Authorization and review

    The approval path, hosting posture, and security controls get sorted out after the work is already scoped.

    Compliance last
  3. 3

    Data clearance

    The records the workflow depends on were never confirmed as accessible, clean, or legal to use.

    Data never cleared
  4. 4

    Production

    The demo works. Nobody is named as the owner, so the workflow never becomes the way the work gets done.

    No named owner
  5. Never reached

    Production. The pilot ends as a demo.

Four breaks between a funded idea and a working service. Every one of them is cheaper to fix before the build starts.

02How we help

The engagement, step by step.

One method, whether you are working across an agency or fixing a single queue. Every phase states what happens, who is involved, and what you are left holding at the end of it.

Typical engagement shape4 to 12 weeks to a decision-ready plan
Frame
Diagnose
Outcome Brief
Build
Hand over
  1. 01

    Frame the outcome

    We start with what changes for the public, not with the technology. With your leadership and program staff we name the outcome in measurable terms, capture the baseline, and agree on what production looks like.

    You holdA written target and baseline your leadership can report against.
  2. 02

    Diagnose the constraint

    We trace the workflow end to end, intake through decision, records, and audit, and check data readiness, authorization, governance, and accessibility before anything gets built.

    You holdA constraint map showing where the queue actually breaks, and why.
  3. 03

    Decide, in one document

    The case reaches you as an Outcome Brief: prioritized use cases, baselines, the authorization and data-readiness check, and a build plan with sequencing and cost.

    You holdThe Outcome Brief. Carry it forward, take it to procurement, or hand it back to us to deliver.
  4. 04

    Build inside your governance

    Production software, built to your review standards and change control. We connect the systems you already own before replacing anything, and security, accessibility, auditability, and records handling are part of the definition of done.

    You holdWorking software you can watch run, released in stages you approve.
    This is our AI Engineering practice
  5. 05

    Harden and hand over

    Training, communication with staff, runbooks, and documentation ship with the system, so the workflow survives the contract that funded it.

    You holdYour team running the workflow, and able to change it.
03What changes

Three things have to move, or nothing did.

Every engagement has to change what the public experiences, how the work moves, or who can run it. Most change all three. Here is the difference in plain terms.

Service

What the public actually feels.

Today

Permits, licenses, benefits, and records requests sit in queues nobody can see into, and residents repeat themselves to every office they reach.

With Fossa Labs

Intake, review, routing, and response run as one workflow, with a person on every decision that needs judgment and a status the public can check.

Operations

Give staff their hours back.

Today

Staff spend their day re-keying, routing, and reviewing documents that systems should have handled.

With Fossa Labs

We map how work really moves, connect the systems you already own, and automate the handoffs that create the delay before replacing anything.

Workforce

If your team cannot run it, it is not finished.

Today

A tool arrives, training is a slide deck, and nobody is accountable for whether it ever gets used.

With Fossa Labs

Staff are trained on the new workflow, leaders get communication and policy support, and the documentation and runbooks stay with the agency.

04What we take on
  1. 01Permitting and licensing
  2. 02Grants administration
  3. 03Eligibility and document review
  4. 04Constituent contact and case intake
  5. 05Manual routing and re-keying

Something else backed up? Tell us about it.

What we won't do
  • ✕

    Replace what works

    We connect before we rebuild.

  • ✕

    Ship a pilot

    If it isn't headed for production, we don't start it.

  • ✕

    Build something only we can maintain

    Every engagement ends with your team in control.

Cover of The State of Public Sector AI, 2027 Outlook
05Fossa Labs ResearchFree report · 2027 Outlook

The State of Public Sector AI

Where government will use AI most in 2027, where it stalls, and how the partners who serve it should build. Four findings from this year's outlook:

  • Adoption has doubled. Production hasn't caught up.

    Federal AI use cases rose 105% to 3,611 in a year. About half are deployed or piloted.

  • Demand is concentrating, and agents are next.

    64% of state CIOs call agentic AI the most impactful technology ahead.

  • The binding constraints sit upstream.

    Data, authorization, and governance decide what ships.

  • Buying is getting faster, and more demanding.

    Consumption pricing and an AI fast lane in FedRAMP are resetting expectations.

Get the free report
06Two practices, one standard

Deciding and building are different jobs.

Fossa Labs runs two practices. AI Transformation decides what to do and in what order. AI Engineering builds it and hands it over. The Outcome Brief is the handoff between them.

01Practice 01You are here

AI Transformation

Decides what to do, and in what order.

  • Names the outcome and captures the baseline
  • Finds the constraint across the seven dimensions
  • Produces the Outcome Brief, with sequencing and cost
You getA decision your leadership can fund.
The Outcome Brief
02Practice 02

AI Engineering

Builds it, and hands it over.

  • Integration with the systems you are not replacing
  • High-volume intake, classification, and review systems
  • Public-facing services and the data foundations they need
You getWorking software your team owns outright.
See AI Engineering
One delivery standard, both practices
  • Security
  • Accessibility
  • Auditability
  • Records handling
  • Documentation that transfers ownership

Most agencies start with Transformation and never leave it. Some arrive with the outcome already decided and start with Engineering. Both are held to the same standard, and either can stand on its own.

07Why us

We work inside this market, not just near it.

When we say a workflow will run into a retention schedule or stall in security review, it's because we've dealt with both ourselves. The Fossa portfolio works across the public sector every day:

The Fossa Labs portfolio

Three companies working the same market we build for.

Stativ

Helps public sector organizations meet their accessibility obligations.

GovGTM

Helps industry win more government business.

GovWire

Keeps agencies informed about what's changing.

08Where to start

Three ways in, all of them concrete.

  • 01

    Measure where you stand

    Take the free AI Performance Assessment. Seven dimensions, about ten minutes, scored against what actually determines whether AI deploys in government.

    Take the assessment
  • 02

    Pressure-test it with your team

    Book a free 30-minute working session. Bring your leadership, walk the constraint together, and leave with a prioritized direction you can act on Monday.

    Book the workshop
  • 03

    Bring us the queue

    If the outcome is already clear and the backlog has a name, tell us what is stuck and we will scope the work directly.

    Start a conversation

Already know what needs building? That is our AI Engineering practice.

Start with the queue that is furthest behind.

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