The Colorado AI Act (SB 24-205) is the first US state-level horizontal AI law, taking a risk-based approach modeled loosely on the EU AI Act. It requires developers and deployers of “high-risk” AI systems to conduct impact assessments and notify consumers when AI is used to make consequential decisions.

• High-risk AI systems making decisions in employment, education, finance, healthcare, housing, insurance, and government services
• Both AI developers and deployers operating in Colorado
• Algorithmic discrimination prevention as a primary compliance focus

• Impact assessments and risk management programs required
• Consumer notification when AI is used in consequential decisions
• Annual reports to the Colorado Attorney General
• Enforcement by Colorado AG; civil penalties for violations; rebuttable presumption of compliance for developers using NIST AI RMF or equivalent