--- title: "What is the Colorado AI Act? SB 26-189 explained | Findem" description: "The Colorado AI Act regulates automated decision-making technology in hiring from January 1, 2027. See what it requires and how Findem approaches it." url: "https://www.findem.ai/glossary/colorado-ai-act" --- # What is the Colorado AI Act? ← Back to glossary AI and people intelligence The Colorado AI Act is the common name for Colorado's law on automated decisions about consumers, including employment. First passed as SB 24-205 in 2024, it was repealed and reenacted by SB 26-189 in May 2026. The current law regulates automated decision-making technology and takes effect on January 1, 2027. ## How the Colorado AI Act is defined "Colorado AI Act" is the common name for Colorado's law on automated decisions about consumers, including employment decisions. The law has changed several times. [SB 24-205](https://leg.colorado.gov/bills/sb24-205), approved on May 17, 2024, was originally set to take effect on February 1, 2026. [SB 25B-004](https://leg.colorado.gov/bills/sb25b-004), approved on August 28, 2025, moved that date to June 30, 2026. [SB 26-189](https://leg.colorado.gov/bills/sb26-189), signed on May 14, 2026, repealed and reenacted the law before it took effect. The new provisions take effect on January 1, 2027, according to the [Colorado Attorney General](https://coag.gov/ai/). This summary reflects the Colorado General Assembly's bill pages and the Attorney General's rulemaking page as of November 11, 2026. This page is a general overview, not legal advice. The current law, as described in the General Assembly's bill summary, uses these terms: - **Automated decision-making technology (ADMT):** Technology that processes personal data and generates predictions, recommendations, classifications, rankings, or scores used to make, guide, or assist a decision about an individual. - **Consequential decision:** A decision about an individual in areas that include employment. - **Covered ADMT:** ADMT that materially influences a consequential decision. - **Consumer:** As quoted in the Attorney General's draft rules, a consumer includes an employee or a job applicant who is a Colorado resident. The law sets these requirements: - **Developers:** Give deployers technical documentation, including intended uses, categories of training data, known limitations, and instructions for appropriate use and human review, and tell them about material updates. - **Deployers:** Give clear and conspicuous notice at the point where a person interacts with covered ADMT. After an adverse outcome, give a plain-language description of the technology's role within 30 days. - **Consumer rights:** People can access the personal data used, correct factually incorrect personal data, and request meaningful human review and reconsideration of an adverse outcome. - **Records:** Developers and deployers keep records for three years. The Attorney General enforces the law under the Colorado Consumer Protection Act, where a violation is a deceptive trade practice. Before January 1, 2030, the Attorney General must give 60 days' notice and a chance to cure before acting. The law does not create a new private right of action. ## Why the Colorado AI Act matters for talent teams Employment is a consequential decision, so the law reaches technology that materially influences hiring, promotion, and other employment decisions about Colorado residents. For employers, the main duties are the notice, the explanation after an adverse outcome, and the routes for data correction and human review. Some details are still being settled. The law requires the Attorney General to adopt rules before January 1, 2027. The Attorney General filed proposed ADMT and Chatbot Safety rules on August 11, 2026, released an interim draft on October 6, 2026, and held a public rulemaking hearing on October 26, 2026, the last day for written comments. As of November 11, 2026, final rules have not been posted on the Attorney General's rulemaking page. For talent teams, a practical starting point is knowing which tools produce scores, rankings, or recommendations used in decisions about Colorado candidates and employees, and who can explain and review an outcome when someone asks. Other places have their own rules. New York City, for example, regulates automated employment decision tools under [NYC Local Law 144](https://www.findem.ai/glossary/nyc-local-law-144). ## How Findem approaches the Colorado AI Act Findem is the People Intelligence Platform. Its AI does not reject candidates or make hiring decisions, and people review results before they influence hiring decisions. Read more in [Responsible AI at Findem](https://www.findem.ai/why-findem/responsible-ai). Findem's expert-labeled, evidence-backed signals are designed to provide explainability at every step, so a reviewer can see why someone was surfaced. No tool makes an employer compliant on its own. Whether the Colorado law covers a particular use is a question for each employer and its counsel. ## Further reading - [AI hiring laws in 2027: What Colorado, Connecticut, and California require](https://www.findem.ai/blog/ai-hiring-laws-2027) - [AI governance in HR: A practical guide](https://www.findem.ai/blog/ai-governance-in-hr-guide) ## Related terms - [NYC Local Law 144](https://www.findem.ai/glossary/nyc-local-law-144) - [Human in the loop](https://www.findem.ai/glossary/human-in-the-loop) - [Explainable AI](https://www.findem.ai/glossary/explainable-ai) - [Adverse impact](https://www.findem.ai/glossary/adverse-impact) - [EU AI Act](https://www.findem.ai/glossary/eu-ai-act) ## Sources - [SB 26-189: Automated Decision-Making Technology](https://leg.colorado.gov/bills/sb26-189) Colorado General Assembly, signed May 14, 2026 - [SB 25B-004: Increase Transparency for Algorithmic Systems](https://leg.colorado.gov/bills/sb25b-004) Colorado General Assembly, approved August 28, 2025 - [SB 24-205: Consumer Protections for Artificial Intelligence](https://leg.colorado.gov/bills/sb24-205) Colorado General Assembly, approved May 17, 2024 - [Colorado Automated Decision-Making Technology & Chatbot Safety Rulemaking](https://coag.gov/ai/) Colorado Attorney General - [ADMT & Chatbot Act Rulemaking, interim draft](https://coag.gov/app/uploads/2026/10/2026.10.06-ADMT-Chatbot-Act-Rulemaking-Interim-Draft-Redline.pdf) Colorado Department of Law, October 6, 2026 - [Responsible AI at Findem](https://www.findem.ai/why-findem/responsible-ai) - [AI hiring laws in 2027](https://www.findem.ai/blog/ai-hiring-laws-2027) Responsible AI Discover how Findem promotes responsible use of AI to support fair, transparent, and inclusive hiring — designed to assist, not replace, human judgment. [See how Findem approaches responsible AI](https://www.findem.ai/why-findem/responsible-ai) [Request a demo](https://www.findem.ai/request-demo) ## Frequently asked questions. **When does the Colorado AI Act take effect?** SB 26-189, signed on May 14, 2026, repealed and reenacted the original 2024 law. Its provisions take effect on January 1, 2027, according to the Colorado Attorney General. The original law, SB 24-205, had been set to take effect on February 1, 2026, and was later delayed to June 30, 2026. **Does the Colorado AI Act apply to hiring?** Yes. Employment is one of the consequential decisions the law covers, and its definition of consumer includes employees and job applicants who are Colorado residents. The law applies to automated decision-making technology that materially influences those decisions. **What must employers do under SB 26-189?** Deployers must give clear and conspicuous notice when people interact with covered technology, and a plain-language description of the technology's role within 30 days after an adverse outcome. People can access and correct their personal data and request meaningful human review and reconsideration. Records must be kept for three years. **Who enforces the Colorado AI Act?** The Colorado Attorney General, under the Colorado Consumer Protection Act. Before January 1, 2030, the Attorney General must give 60 days' notice and a chance to cure before acting. The law does not create a new private right of action. Final implementing rules had not been posted as of November 11, 2026. **Does Findem make hiring decisions?** No. Findem is the People Intelligence Platform. Its AI does not reject candidates or make hiring decisions, and people review results before they influence hiring decisions. Whether the Colorado law covers a particular use is a question for each employer and its counsel.