Quick Hit
Colorado’s landmark artificial intelligence law, previously covered here, has been replaced before it ever took effect. After years of concern over the implications of Colorado’s Anti-Discrimination in AI Law (the “CO AI Law”), which was set to take effect on June 30, the Governor of Colorado on May 14, 2026 signed into law SB 26-189, repealing the CO AI Law and replacing its broad “high-risk artificial intelligence system” framework with a narrower regime focused on automated decision-making technology used in consequential decisions. SB 26-189, described in more detail here, will apply to job applicants and employees who are residents of Colorado, in addition to any individual whose “access to, eligibility for, or opportunity in Colorado is evaluated in a consequential decision by a person doing business in Colorado.”
Key Takeaways
The CO AI Law has been a source of concern for employers since it was enacted in 2024. Had the law gone into effect, it would have imposed a host of onerous requirements, including implementation of risk management programs, impact assessments, annual reviews, and disclosures regarding algorithmic discrimination. SB 26-189 will eliminate many of these requirements and impose a far narrower framework focused on transparency, notice, disclosure, recordkeeping, and human review/reconsideration.
Employers that were preparing for the original law’s June 30, 2026 effective date should now shift their compliance planning toward SB 26-189’s...
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