A federal lawsuit alleges that a government program developed by the Trump administration relied on the generative artificial intelligence software ChatGPT to help determine grant funding related to diversity, equity and inclusion programs. The lawsuit alleges that a grant to the High Point Museum in North Carolina to replace its HVAC system was marked as DEI-related and subsequently canceled.
according to a report Fox 8 NewsHigh Point received a S$349,000 grant from the National Endowment for the Humanities to replace outdated climate control equipment used to protect its collections. The funding was later canceled after Department of Government Efficiency (DOGE) staff reviewed the grant proposals with the help of an artificial intelligence chatbot.
The news emerged amid a lawsuit filed by the American Council of Learned Societies and the American Historical Association, which are challenging a broader wave of defunding in the humanities. The groups argue the cuts are illegal and violate the First Amendment.
DOGE was established by executive order in January 2025 and is tasked with reviewing federal spending by government agencies, including humanities grants administered by NEH.
In an affidavit included in the lawsuit, DOGE staff member Justin Fox said employees used ChatGPT to analyze grant descriptions and determine whether they were related to DEI programs. Staff recorded the chatbot’s responses and their explanations in a spreadsheet to help guide decisions about which grants to eliminate.
According to the American Historical Association, the spreadsheet ultimately replaced a checklist previously compiled by NEH staff to determine funding targets for cuts.
One entry examines funding requested by the High Point Museum to upgrade its HVAC system. The museum believes improved climate control will help preserve its collections and expand access to them over time.
After reviewing the description, ChatGPT responded that the project is indeed DEI-related, as improved preservation conditions will support “better access to diverse audiences.”
Edith Brady, the museum’s director, said the institution had begun work before the funding ended, but recouped about 70 percent of the money through the termination clause.
Other grants flagged in the spreadsheet include a proposal from North Carolina Central University, a historically black university, to develop teaching materials using digital archival collections. ChatGPT also categorizes the project as DEI-related.
Lawyers for the academic groups argue the process shows how the government has replaced expert review with a hasty system that relies on artificial intelligence chatbots.
Paula Krebs, executive director of the Modern Language Association, said in a statement, “The facts of this case expose the administration’s complete disregard for the democratic process and the humanistic values that NEH promotes.” Fox 8.







