Colorado Lawmakers Consider Adjustments to State AI Law
Colorado lawmakers are reviewing changes to the state’s first-in-the-nation AI law in a special session that began Aug. 21. Senate Bill 205, which was signed by Gov. Jared Polis in 2024, aims to prevent bias in employment, government services, and other sectors.
The proposed adjustments would maintain key protections for residents while reducing some reporting requirements for AI developers. Under the potential revisions, developers would share legal liability with the organizations deploying their systems if the technology results in unlawful discrimination. Previously, developers faced sole liability but could limit fines by completing risk assessments and impact evaluations.
The special session called by Polis will consider changes to SB 205 before it takes effect on Feb. 1, 2026, and may also address related funding issues. The proposed adjustments would remove the requirement for developers to proactively assess AI systems, though businesses and public agencies using AI would still be required to inform individuals when automated decisions are made and provide mechanisms to appeal decisions or to correct data. New disclosure requirements for chatbots and generative AI products would also be included.
Lawmakers and stakeholders have described the changes as an effort to balance protections against bias with practical considerations for AI deployment. The session could result in modifications to the law, leave it unchanged, or introduce additional measures as Colorado continues to monitor developments in AI regulation nationally.
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