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ActiveInternational Standardupdate Last Updated: May 2024

Colorado AI Act

SB24-205 — Consumer Protections for Artificial Intelligence

apartmentPublishing Organization:State of Colorado

Standard Introduction

Colorado AI Act is an active standard published by State of Colorado. It is commonly used across Technology, Finance & Banking, Healthcare, Education, Services, Government and applies in United States.

Use this page to review the official documentation, current status, and the certification or assessment bodies most commonly associated with Colorado AI Act.

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Algorithmic discrimination focus

The law targets known or reasonably foreseeable risks that high-risk AI systems could contribute to unlawful differential treatment.

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Developer and deployer duties

Developers and deployers each have reasonable-care obligations, with deployers expected to manage impact assessments, notices, and risk controls.

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US state-law signal

Colorado is an important indicator of how US state AI regulation may develop outside a single federal AI statute.

list_alt Operational Controls

  • Inventory high-risk AI systems
  • Define developer vs deployer responsibilities
  • Conduct impact assessments for covered decisions
  • Maintain risk management policies and documentation
  • Provide consumer notices and appeal pathways where required
  • Monitor for algorithmic discrimination and remediation needs

Who Needs to Comply?

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Developers and deployers of high-risk AI systems doing business in Colorado or producing consequential decisions affecting Colorado consumers. Relevant areas include employment, lending, education, housing, insurance, healthcare, legal services, and government benefits.

Key Requirements

1

Determine high-risk scope

Identify AI systems that make or are a substantial factor in consequential decisions. Document why each system is or is not in scope.

2

Use reasonable care

Implement policies, testing, monitoring, and governance designed to protect consumers from algorithmic discrimination risks.

3

Run impact assessments

For deployers, assess purpose, intended use, benefits, known risks, data inputs, outputs, safeguards, and mitigation measures for high-risk systems.

4

Provide notices and controls

Prepare consumer-facing notices, adverse decision information, correction or appeal workflows, and internal incident escalation procedures where applicable.

Penalties & Enforcement

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The Colorado Attorney General has enforcement authority. Violations may be treated as deceptive trade practices under Colorado consumer protection law, exposing companies to investigations, injunctive relief, civil penalties, and remediation obligations.

Official Documentation

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Implementation Timeline

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May 2024
Colorado enacted SB24-205
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2025
Companies map high-risk AI systems and algorithmic discrimination controls
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Feb 2026
Core obligations for high-risk AI systems scheduled to apply

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