Colorado AI Act 2.0: The Automated Decision-Making Technology Act (SB 26-189) state silhouette

Colorado AI Act 2.0: The Automated Decision-Making Technology Act (SB 26-189)

Effective Date: 2026-08-12

The Colorado AI Act as businesses knew it is gone. SB 26-189 repeals and reenacts it as the Automated Decision-Making Technology Act, a narrower regime focused on automated decision-making technology (ADMT) that processes personal data to materially influence consequential decisions in areas such as education, employment, housing, finance, insurance, healthcare, and government services.

How the New Colorado AI Act Framework Works

The rewrite drops the original law’s heavy impact assessment and duty of care model in favor of transparency and consumer rights. Developers must give deployers technical documentation by January 1, 2027. Deployers must give consumers clear notice that ADMT is being used, explain the system’s role within 30 days after an adverse decision, and offer data correction and meaningful human review.

Enforcement Timeline

The Attorney General enforces the law, must adopt rules by January 1, 2027, and must give violators a 60 day cure period before enforcement through the end of 2029. Records must be kept at least three years.

Source: Colorado General Assembly: SB 26-189

Report a violation: If you believe a business is violating this law, you can file a complaint with the Colorado Attorney General Consumer Protection Section.

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