Colorado SB 24-205, the Colorado Artificial Intelligence Act, was signed into law in May 2024 and takes effect on February 1, 2026. It is the first comprehensive U.S. state law regulating high-risk AI systems and imposes obligations on both developers and deployers of AI systems that make, or are a substantial factor in making, a "consequential decision" — defined to include decisions in education, employment, financial or lending services, essential government services, healthcare, housing, insurance, and legal services. The Act establishes a duty of reasonable care to protect Colorado consumers from algorithmic discrimination, with the Colorado Attorney General as the sole enforcement authority. Violations are deceptive trade practices under the Colorado Consumer Protection Act, with penalties up to $20,000 per violation and elevated penalties for elder-targeted violations.
What does Colorado AI Act actually require?
Key obligations include: Developers: provide deployers with a statement of foreseeable uses, training data summary, known limitations, risk-mitigation measures, and how the system was evaluated for algorithmic discrimination.; Developers: publish a public statement summarising the high-risk AI systems they have developed and how known/reasonably foreseeable risks are managed.; Deployers: implement a risk management policy and program that identifies, documents, and mitigates known and reasonably foreseeable risks of algorithmic discrimination.; Deployers: complete an impact assessment for each high-risk system before deployment and at least annually thereafter, and within 90 days of any intentional or substantial modification.; Deployers: notify each consumer subjected to a high-risk system used in a consequential decision and disclose the purpose of the system, the nature of the decision, and contact information.; Provide consumers an opportunity to correct incorrect personal data the system processed and to appeal adverse decisions, with human review where technically feasible..
Who is in scope of Colorado AI Act?
Colorado AI Act is not_yet_in_force in US. Scope attaches based on jurisdiction and the role a company plays in the AI supply chain. See /frameworks/colorado-ai-act for the full scope note and source links.
When does Colorado AI Act take effect?
The primary enforcement date is 2026-06-30. Some provisions may phase in earlier or later — see the framework brief for the full timeline.
What are the penalties?
Maximum penalties: Enforced by the Colorado AG under the Colorado Consumer Protection Act. Enforcement is carried out by the designated authorities in the jurisdiction.
Which vendors help with Colorado AI Act compliance?
In our directory, the following vendors reference Colorado AI Act in their compliance coverage: Credo AI, Monitaur, Trustible, Fairly AI, TrustArc, Luminos.Law (ZwillGen AI Division), DataRobot, ORCAA. Each profile links to the public source for the claim.