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nid 92560
May 14, 2026
pdonofrio@vixio.com
Colorado
Colorado Governor
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2072 charsColorado Enacts Automated Decision-Making Technology Consumer Protection Requirements
On May 14, 2026, Colorado Governor signed Senate Bill 26-189 into law, establishing comprehensive consumer protections for the use of automated decision-making technology (ADMT) in consequential decisions. The legislation repeals and reenacts provisions from Senate Bill 24-205 (2024), which previously created consumer protections for artificial intelligence systems interactions.
The act defines ADMT as technology that processes personal data and uses computation to generate output—including predictions, recommendations, classifications, rankings, or scores—used to make, guide, or assist decisions concerning individuals. A "consequential decision" encompasses decisions relating to access to, eligibility for, or compensation related to education, employment, housing, financial or lending services, insurance, healthcare services, or essential government services.
Effective January 1, 2027, developers of covered ADMT must provide deployers with technical documentation describing intended uses, training data categories, known limitations, and usage instructions. Both developers and deployers must retain compliance records for at least three years. Deployers must provide clear notice to consumers at the point of interaction and, within 30 days of an adverse outcome, furnish plain language descriptions of the ADMT's role in the decision.
Consumers gain rights to request personal data access, correction of factually incorrect data, and meaningful human review following adverse outcomes. The Colorado Attorney General must adopt clarifying rules by January 1, 2027, and enforce violations through the Colorado Consumer Protection Act, treating breaches as deceptive trade practices. The Attorney General must provide 60-day notice and opportunity to cure before initiating enforcement actions. The legislation does not create a private right of action but establishes fault allocation between developers and deployers in existing discrimination claims.
REFERENCES:
Colorado General Assembly. Senate Bill 26-189. https://leg.colorado.gov/bills/sb26-189
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1749 charsColorado General Assembly Enacts SB 26-189: Consumer Protection for Automated Decision-Making Technology
On May 14, 2026, the Colorado General Assembly signed SB 26-189 into law, establishing comprehensive consumer protections for the use of automated decision-making technology (ADMT) in consequential decisions.
The new law repeals and reenacts provisions from SB 24-205 , which previously created consumer protections for artificial intelligence systems interactions. The law defines ADMT as technology that processes personal data and uses computation to generate output — including predictions, recommendations, classifications, rankings or scores — used to make, guide or assist decisions concerning individuals.
A "consequential decision" encompasses decisions relating to access to, eligibility for or compensation related to education, employment, housing, financial or lending services, insurance, healthcare services or essential government services.
Developers of covered ADMT must provide deployers with technical documentation describing intended uses, training data categories, known limitations and usage instructions. Both developers and deployers must also retain compliance records for at least three years. Deployers must additionally provide clear notice to consumers at the point of interaction and, within 30 days of an adverse outcome, furnish plain language descriptions of the ADMT's role in the decision.
Furthermore, consumers gain rights under the law to request personal data access, correction of factually incorrect data and meaningful human review following adverse outcomes.
The law takes effect on January 1, 2027 , with the Colorado Attorney General required adopt clarifying rules by that date, and enforce violations through the Colorado Consumer Protection Act , treating breaches as deceptive trade practices.