How federal funds can support AI in schools

In this episode of ChatEDU (A United States of AI Policy?), Matt and Liz start off with a quick rundown of AI agents and their many emerging use cases, from helping with cooking to managing spreadsheets. They also touch on AI-driven ticket pricing at Delta and the ongoing AI usage boom (2.5 billion daily prompts!). Then it’s into the three big stories shaping the AI education landscape this week.

Story 1: The Rundown – AI Goes for Gold, Canvas x OpenAI, and Baby Grok Worries

First up, AI earns a gold medal at the International Math Olympiad, with Gemini and ChatGPT solving some of the hardest problems out there. Meanwhile, OpenAI is teaming up with Canvas to integrate AI tools directly into classrooms, letting teachers build custom chatbots while maintaining visibility over student use. On the wellness side, students are confiding in chatbots about stress and sleep issues more than ever. And yes, we now have “Baby Grok,” Elon Musk’s AI toy for kids. The team raises serious concerns about young learners developing emotional bonds with bots.

Story 2: New Federal Guidance – Two Key Docs from the U.S. Department of Education

The U.S. Department of Education just released two companion documents: a Dear Colleague Letter (DCL) and a new Federal Register entry. Together, they offer high-level guidance on how schools can use federal funding to support AI adoption, including instructional tools, tutoring, and professional development. The documents also promote AI and computer science literacy, including credentials and dual enrollment pathways. While the tone is more visionary than directive, the emphasis on ethical, educator-led implementation is clear.

Story 3 (Beneath the Surface): States Step Up – AI Guidance from Maine to Ohio

More than half of U.S. states have now issued official K-12 AI guidance. North Carolina’s “EVERY” framework and Georgia’s educator ethics additions stand out for their practical approach. Ohio takes it further. All schools in the state must adopt a local AI use policy by 2026. While the move is bold, Matt and Liz warn that top-down policies should still be shaped locally with student, teacher, and parent voices at the table.

Bright Byte: AI Finds Hidden Earthquakes

Researchers used machine learning to detect over 86,000 earthquakes in Yellowstone, 10 times more than previously known. This breakthrough could improve risk forecasting and support geothermal energy development.

Links and References

DCL: Dear Colleague Letter on AI Use

https://www.ed.gov/media/document/opepd-ai-dear-colleague-letter-7222025-110427.pdf

Federal Register AI Priority

https://www.federalregister.gov/documents/2025/07/21/2025-13650/proposed-priority-and-definitions-secretarys-supplemental-priority-and-definitions-on-advancing

Alongside Mental Health Chatbot

https://www.edsurge.com/news/2025-07-08-students-ai-chats-reveal-their-largest-stressors

OpenAI + Canvas Announcement

https://www.axios.com/2025/07/23/openai-chatgpt-schools-canvas-instructure

AI Wins Gold at IMO

https://www.cbsnews.com/news/humans-beat-ai-technology-google-openai-math-olympiad-machines-catching-up/

Baby Grok Announcement

https://www.foxbusiness.com/technology/elon-musk-announces-kid-friendly-baby-grok-ai-chatbot-designed-specifically-childrens-learning-needs

Chatbots and Toddlers

https://www.axios.com/2025/07/21/ai-chatbots-toddlers-brains

AI Quake Discovery in Yellowstone

https://phys.org/news/2025-07-machine-uncovers-earthquakes-yellowstone-caldera.html

Announcements

The Fall Teacher AI Micro-Credential waitlist is open:

skills21.org/ai/micro

To learn more about our new Student AI Literacy Course, email chatedu@edadvance.org

Sponsor

This episode is supported in part by the National Center for Next Generation Manufacturing, helping students and educators build workforce-ready skills through innovation.

www.nextgenmfg.org