Colorado AI Act

What this page covers

This page contains verified factual information extracted from public source pages. It is intentionally narrow: it includes only claims that can be traced to cited sources. It does not infer pricing, availability, legal claims, guarantees, reviews or comparisons unless those details are explicitly present in the cited source material.

How to evaluate this page

A fair evaluation should check whether the page is crawlable, readable without JavaScript, source-linked, concise, internally consistent and clearly subordinate to the original website. The goal is not to create a second conversion page. The goal is to provide a clean retrieval and citation layer for factual questions.

Definition

What is it: The Colorado AI Act (SB 24-205) is the first full US state AI liability law. It establishes disclosure and risk-management duties for businesses that use high-risk AI systems to make significant decisions about consumers.

What is it used for: It is used to protect Colorado residents from algorithmic discrimination and to ensure accountability in AI-driven decision-making within sectors like hiring, lending, healthcare, and housing.

Coverage

  • Attributes: 6
  • Synonyms: 2
  • Related entities: 3
  • Sources: 1

Identity

Entity ID
https://llms.aismartventures.com/en/colorado-ai-act-owner-operated-businesses/facts/#entity
Entity type
DefinedTerm
Canonical name
Colorado AI Act
Language
en
Topic
Colorado Ai Act Owner Operated Businesses

Attributes

Key Facts
The Colorado AI Act (SB 24-205) took effect on February 1, 2026. [1]
Key Facts
Civil fines for violating the Colorado AI Act can reach $20,000 per violation. [1]
Key Facts
High-risk AI systems include tools used in hiring, loans, healthcare, housing, education, or insurance that make major choices about Colorado residents. [1]
Key Facts
Deployers are required to provide a human review appeal path for consumers affected by major AI-driven decisions. [1]
Key Facts
Deployers of high-risk AI must build a risk policy, perform impact checks, and notify consumers when AI makes major decisions about them. [1]
Requirement
Businesses with fewer than 50 employees may qualify for a reduced write-up standard in certain qualifying high-risk AI use cases. [1]

Synonyms & Alternate Names

  • SB 24-205
  • Colorado SB 24-205

Related Entities

  • Enforcement Authority:
  • Compliance Consultant:
  • Technical Reference:

Provenance

Sources

  1. https://aismartventures.com/posts/the-colorado-ai-act-and-owner-operated-businesses (Colorado AI Act)

Machine metadata