Court documents indicate that the Department of Government Efficiency (DOGE) utilized ChatGPT to evaluate federal humanities grants. Staff members Justin Fox and Nate Cavanaugh used the chatbot to identify projects related to diversity, equity, and inclusion (DEI). The tool reviewed 1,163 proposals, flagging 1,057 of them, while only 42 were ultimately approved.

The screening process led to the cancellation of a $349 000 grant for the High Point Museum in North Carolina, which intended to replace an HVAC system. ChatGPT labeled the project as DEI, claiming the upgrade would assist more visitors. The museum director, Edith Brady, noted that the institution recovered approximately 70% of the funds through a termination clause.

DOGE also flagged a grant request from the Shelburne Museum in Vermont for environmental sustainability efforts. In total, the agency reviewed 11 HVAC-related proposals, identifying two as DEI. These cuts reduced the National Endowment for the Humanities annual budget by roughly half, prompting a lawsuit from four scholarly and literary groups challenging the use of AI in grant decisions.

DOGE was established as a White House advisory group on the first day of Donald Trump's presidency, with Elon Musk serving as its leader until May 2025. By November 2025, the entity ceased operating as a centralized organization, according to Office of Personnel Management director Scott Kupor. The ongoing legal case will examine the legality of outsourcing such evaluations to AI.