The article substantiates the necessity of applying artificial intelligence (AI) technologies as a digital tool for the project-based approach in local governance. Local self-government plays a critical role in ensuring the functioning of communities, particularly during the current crisis caused by the Russian military invasion. Integrating modern AI-based management approaches enhances process automation, big data analysis, and resource optimization, improving efficiency. The study identifies key directions for AI application in local governance: project planning, control, and timeline management through analytics services; risk analysis and forecasting via machine learning algorithms; task automation for project execution; resource optimization using efficiency indicators; personalized communication with virtual assistants, chatbots, and digital democracy tools; intelligent HR services for team coordination; and informed decision-making based on big data analysis with reduced risks. An algorithm for AI adaptation in local selfgovernment has been proposed, encompassing stages such as task identification, data analysis for decision-making, process automation, resource monitoring, risk management, and personnel training. Examples of AI tools at the local level include «smart city» services for infrastructure monitoring, transportation optimization, and waste management; digital participation tools for public opinion analysis; and intelligent systems for strategic planning and tax procedure simplification. The study highlights the ethical implementation of AI with data protection and its benefits, including time savings, transparency, resource optimization, and enhanced communication. Prospective technologies include machine learning, natural language processing, computer vision, big data analysis, blockchain governance, and smart platforms for digital participation. These tools promote sustainable community development and improve public service delivery, ensuring higher quality of life for residents.
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