ICMA recap: AI, resident engagement and talent retention are trending

PayIt employees will share their insights in this series written by our teammates — showcasing the talent, expertise, and positive attitude that each PayIt employee brings to the company. This post contribution is from Theckla Spainhower, a Government Relations Director at PayIt.

We just got back from the International City/County Management Association (ICMA) Local Government Reimagined Conference, and wow, what an inspiring few days! As a team working closely with municipalities, these discussions were a goldmine of insights. From AI-driven service improvements to talent retention strategies, local governments are embracing innovation like never before.

Here are some of the biggest takeaways that left us thinking (and taking lots of notes!):

1. AI isn’t the future; It’s happening now

If there was one recurring theme, it was this: AI is no longer a buzzword. It’s here, and it’s reshaping the way cities operate — everything from using AI in customer service to showing how automation can improve response times without losing the human touch. It was clear that AI isn’t about replacing employees, it’s about empowering them.

2. The engagement gap: Cities need to meet residents where they are

One of the biggest challenges for local governments today is keeping up with evolving expectations around communication. Residents expect real-time, transparent, and accessible information, traditional outreach methods alone are no longer enough. Whether it’s using centralized tools to make event coordination easier or leveraging technology to personalize engagement, cities that prioritize modern, responsive communication will build stronger trust and participation within their communities.

3. Talent retention is a make-or-break issue

Attracting and keeping top talent is a growing concern across industries, and local governments are no exception. With workforce shortages impacting operations, cities are rethinking how they invest in their employees. From structured mentorship programs to clear career development pathways, the emphasis is shifting toward building a workplace culture that supports long-term growth. The message was clear: Investing in people is just as critical as investing in infrastructure.

4. Data-driven decision-making is non-negotiable

With increasing demands and limited resources, data is playing an essential role in how local governments make strategic decisions. Cities are finding new ways to use real-time analytics to improve service delivery, enhance economic development efforts, and drive efficiency. Whether it’s tracking performance metrics or using predictive data to guide policy, information-driven approaches are helping municipalities move from reactive problem-solving to proactive leadership.

5. Resilience is the name of the game

Preparing for the future (whether through disaster readiness, sustainability initiatives, or economic resilience) was also a major focus. Cities are recognizing the importance of proactive partnerships to address challenges, from climate action to crisis management. There’s also a growing emphasis on long-term planning, ensuring that communities can withstand and adapt to evolving environmental, economic, and social pressures. Those leading the way in sustainability and resilience will see lasting benefits for both residents and businesses.

Our final thoughts following ICMA

We love partnering with municipalities looking to improve government for all, and we left this conference feeling optimistic. Local governments are thinking big, taking risks, and reimagining what’s possible. The future of public service is digital, data-driven, and deeply community-focused.

What’s next? 

For us, it’s about continuing to support bold initiatives with the right tools, partnerships, and expertise. If you’re in the local government space and looking to navigate these shifts, let’s talk!