I find these arguments absurd. You know full well what the schools mean. And that it is not the same thing as objection to 2008 technology. Which was not even called AI in 2008 but technically falls into onw of definitions.
The thing the schools want isn't well founded. Presumably they want their students not to be able to cheat, but a perfect search algorithm also allows them to cheat. As does, e.g. Wolfram Alpha-esque deterministic natural language systems.
USA frequently operates on gotchas involving explicit text of the law, not spirit