Blog
Colorado is the next state to pass AI bill
On May 17, Colorado passed comprehensive AI legislation. Learn more about the consumer protections in this bill, and what it means for developers and deployers of AI systems
Lauren Diethelm
AI Content Marketing Specialist
May 24, 2024
On May 20, 2024, the Colorado state legislature announced that the governor had signed Colorado’s comprehensive AI act into law on May 17. The “Concerning Consumer Protections in Interactions with Artificial Intelligence Systems,” also called to Colorado AI Act (CAIA), is the first comprehensive and risk-based approach to AI in the US.
Set to take effect on February 1, 2026, the CAIA aims to protect Colorado consumers from algorithmic discrimination and ensure transparency and accountability from developers and deployers of AI systems.
Definitions
The CAIA defines an AI system as “any machine-based system that, for any explicit or implicit objective, infers from the inputs the system receives how to generate outputs, including content, decisions, predictions, or recommendations, that can influence physical or virtual environments.” Although the phrasing differs, this definition is similar to how the Utah AI bill defines AI.
A few other key definitions to understand in the CAIA include:
Algorithmic discrimination: Any condition in which the use of the AI system results in an unlawful differential treatment or impact on an individual or group of individuals that’s protected under state or federal laws
Consequential decision: Any decision that has material or similarly significant effect on the provision or denial to any consumer in areas like employment, education, financial services, and health care and housing
The Colorado AI Act focuses largely on high-risk AI systems, which it defines as any AI system that makes, or is a substantial factor in making, a consequential decision.
This definition of high-risk system differs from that of the EU AI Act, which focuses more specifically on identifying systems that have a significant harmful impact on health, safety, and fundamental rights. The CAIA definition of a high-risk system does not include:
An AI system that’s intended to perform a narrow procedural task; or
Detect decision-making patterns or deviations from prior decision-making patterns and is not intended to replace or influence a previously completed human assessment
What’s included in the Colorado AI Act?
The CAIA requires a developer or deployer of a high-risk AI system to use reasonable care to avoid algorithmic discrimination in the system.
Once the bill is in effect, a deployer or developer of a high-risk system will have unique requirements to ensure that consumers are protected from potential discrimination, and that there’s sufficient transparency and accountability in the model.
Developer requirements under the CAIA
Under this bill, developers much maintain specific documentation, including a policy to comply with federal and state copyright laws, as well as a detailed summary of the content that was used to train the model.
Developers must also create, implement, maintain, and make documentation available to deployers who want to use the AI system. This documentation needs to:
Disclose a general statement regarding the reasonably foreseeable uses and known harmful or inappropriate uses of the system
Share information about the type of data used to train the system
State the purpose, intended benefits, and use of the high-risk system
Developers also are required to provide documentation explaining how the system was tested and evaluated for performance and mitigation before it was made available to the deployer.
Deployer requirements under the CAIA
Deployers, who use a high-risk AI system, will be required to use reasonable care to protect consumers from any known or potential risks of using AI. The CAIA requires deployers to:
Implement a risk management policy and program that is iteratively planned, implemented, and then regularly reviewed and updated
Complete impact assessments for deployed high-risk AI systems at least annually, and within 90 days of any intentional and substantial modification to the system
Notify the state attorney general where a high-risk system has caused or is likely to have caused algorithmic discrimination within 90 days or discovery
Consumer protections in the CAIA
Deployers have additional requirements designed to increase transparency around AI and ensure that consumers interacting with it are protected.
They must provide consumers with the opportunity to correct any personal data that the AI system uses to make any consequential decisions, and must provide the opportunity to appeal any adverse consequential decisions resulting from that system.
Developers and deployers are also required to disclose to consumers when they’re interacting with AI, and must provide information on how to opt out of the processing of their personal data – a requirement that mirrors transparency requirements in other state privacy laws as well as Utah’s AI bill.
What the Colorado AI Act means for organizations
Like the Utah AI bill, the CAIA continues the growing trend of state-level initiatives that are filling the void left by the absence of federal legislation regulating AI. However, unlike Utah, which focuses more on establishing working groups and commercial communications using generative AI, the CAIA takes a more comprehensive and risk-based approach to AI regulation.
As the map of comprehensive state AI legislation continues to fill out, it will become more important for organizations to choose which frameworks they want to align their AI governance operations to, and to proactively communicate those values to the rest of their workforce.
To learn more about how aligning to key frameworks early on can help steer your AI governance program, see which frameworks OneTrust’s AI governance committee chose and how we integrated that guidance in our own program.
You may also like
Webinar
AI Governance
Ensuring compliance and operational readiness under the EU AI Act
Join our webinar and learn about the EU AI Act's enforcement requirements and practical strategies for achieving compliance and operational readiness.
August 22, 2024
Webinar
AI Governance
AI Governance in action: A live demo
Whether your AI is sourced from vendors and third parties or developed in-house, AI Governance supports informed decision-making and helps build trust in the responsible use of AI. Join the live demo webinar to watch OneTrust AI Governance in action.
August 06, 2024
Webinar
Third-Party Risk
Third-Party AI: Procurement and risk management best practices
As innovation teams race to integrate AI into their products and services, new challenges arise for development teams leveraging third-party models. Join the webinar to gain insights on how to navigate AI vendors while mitigating third-party risks.
July 25, 2024
Resource Kit
Responsible AI
EU AI Act compliance resource kit
Download this resource kit to help you understand, navigate, and ensure compliance with the EU AI Act.
July 22, 2024
Webinar
AI Governance
From build to buy: Exploring common approaches to governing AI
In this webinar, we'll navigate the intricate landscape of AI Governance, offering guidance for organizations whether they're developing proprietary AI systems or procuring third-party solutions.
July 10, 2024
eBook
AI Governance
Navigating the ISO 42001 framework
Discover the ISO 42001 framework for ethical AI use, risk management, transparency, and continuous improvement. Download our guide for practical implementation steps.
July 03, 2024
Webinar
Privacy Management
Scaling to new heights with AI Governance
Join OneTrust experts to learn about how to enforce responsible use policies and practice “shift-left” AI governance to reduce time-to-market.
June 25, 2024
Webinar
AI Governance
AI Governance Leadership Webinar: Best Practices from IAPP AIGG with KPMG
Join out webinar to hear about the challenges and solutions in AI governance as discussed at the IAPP conference, featuring insights and learnings from our industry thought leadership panel.
June 18, 2024
Webinar
AI Governance
Colorado's Bill on AI: Protecting consumers in interactions with AI systems
Colorado has passed landmark legislation regulating the use of Artificial Intelligence (AI) Systems. In this webinar, our panel of experts will review best practices and practical recommendations for compliance with the new law.
June 11, 2024
Webinar
AI Governance
Governing data for AI
In this webinar, we’ll break down the AI development lifecycle and the key considerations for teams innovating with AI and ML technologies.
June 04, 2024
Report
AI Governance
GRC strategies for effective AI Governance: OCEG research report
Download the full OCEG research report for a snapshot of what organizations are doing to govern their AI efforts, assess and manage risks, and ensure compliance with external and internal requirements.
May 22, 2024
Report
AI Governance
Global AI Governance law and policy: Jurisdiction overviews
In this 5-part regulatory article series, OneTrust sponsored the IAPP to uncover the legal frameworks, policies, and historical context pertinent to AI governance across five jurisdictions: Singapore, Canada, the U.K., the U.S., and the EU.
May 08, 2024
Webinar
AI Governance
Embedding trust by design across the AI lifecycle
In this webinar, we’ll look at the AI development lifecycle and key considerations for governing each phase.
May 07, 2024
Webinar
AI Governance
Navigating AI policy in the US: Insights on the OMB Announcement
This webinar will provide insights for navigating the pivotal intersection of the newly announced OMB Policy and the broader regulatory landscape shaping AI governance in the United States. Join us as we unpack the implications of this landmark policy on federal agencies and its ripple effects across the AI ecosystem.
April 18, 2024
Webinar
AI Governance
Data privacy in the age of AI
In this webinar, we’ll discuss the evolution of privacy and data protection for AI technologies.
April 17, 2024
Resource Kit
AI Governance
OneTrust's journey to AI governance resource toolkit
What actually goes into setting up an AI governance program? Download this resource kit to learn how OneTrust is approaching our own AI governance, and our experience may help shape yours.
April 11, 2024
Interactive Tool
Privacy Management
OneTrust Data Privacy Maturity Model self-assessment
This self-assessment will help you to gauge the maturity of your privacy program and understand the areas the areas of improvement that can further mature your privacy operations.
April 01, 2024
Webinar
AI Governance
AI in (re)insurance: Balancing innovation and legal challenges
Learn the challenges AI technology poses for the (re)insurance industry and gain insights on balancing regulatory compliance with innovation.
March 14, 2024
Webinar
Privacy Management
Fintech, data protection, AI and risk management
Watch this session for insights and strategies on buiding a strong data protection program that empowers innovation and strengthens consumer trust.
March 13, 2024
Webinar
Privacy Management
Managing cybersecurity in financial services
Get the latest insights from global leaders in cybersecurity managment in this webinar from our Data Protection in Financial Services Week 2024 series.
March 12, 2024
Webinar
AI Governance
Government keynote: The state of AI in financial services
Join the first session for our Data Protection in Financial Services Week 2024 series where we discuss the current state of AI regulations in the EU.
March 11, 2024
White Paper
AI Governance
Getting started with AI governance: Practical steps and strategies
Download this white paper to explore key drivers of AI and the challenges organizations face in navigating them, ultimately providing practical steps and strategies for setting up your AI governance program.
March 08, 2024
Webinar
AI Governance
Revisiting IAPP DPI Conference – Key global trends and their impact on the UK
Join OneTrust and PA Consulting as they discuss key global trends and their impact on the UK, reflecting on the topics from IAPP DPI London.
March 06, 2024
Webinar
AI Governance
AI regulations in North America
In this webinar, we’ll discuss key updates and drivers for AI policy in the US; examining actions being taken by the White House, FTC, NIST, and the individual states.
March 05, 2024
In-Person Event
Responsible AI
Data Dialogues: Implementing Responsible AI
Learn how privacy, GRC, and data professionals can assess AI risk, ensure transparency, and enhance explainability in the deployment of AI and ML technologies.
February 23, 2024
AI Governance
Catch it Live: See the All-New Features in OneTrust's Winter Release
See the latest OneTrust platform features that improve on customers' ability to build trust, ensure compliance, and manage risk.
February 22, 2024
Webinar
AI Governance
Global trends shaping the AI landscape: What to expect
In this webinar, OneTrust DataGuidance and experts will examine global developments related to AI, highlighting key regulatory trends and themes that can be expected in 2024.
February 13, 2024
eBook
Privacy Management
Understanding the Data Privacy Maturity Model
Data privacy is a journey that has evolved from a regulatory compliance initiative to a customer trust imperative. This eBook provides an in-depth look at the Data Privacy Maturity Model and how the business value of a data privacy program can realised as it matures.
February 07, 2024
Webinar
AI Governance
The EU AI Act
In this webinar, we’ll break down the four levels of AI risk under the AI Act, discuss legal requirements for deployers and providers of AI systems, and so much more.
February 06, 2024
Webinar
Responsible AI
Preparing for the EU AI Act: Part 2
Join Sidley and OneTrust DataGuidance for a reactionary webinar to unpack the recently published, near-final text of the EU AI Act.
February 05, 2024
Data Sheet
Privacy Automation
An overview of the Data Privacy Maturity Model
Data privacy is evolving from a regulatory compliance initiative to a customer trust imperative. This data sheet outlines the four stages of the Data Privacy Maturity Model to help you navigate this shift.
February 05, 2024
Checklist
AI Governance
Questions to add to existing vendor assessments for AI
Managing third-party risk is a critical part of AI governance, but you don’t have to start from scratch. Use these questions to adapt your existing vendor assessments to be used for AI.
January 31, 2024
Webinar
AI Governance
Getting started with AI Governance
In this webinar we’ll look at the AI Governance landscape, key trends and challenges, and preview topics we’ll dive into throughout this masterclass.
January 16, 2024
Webinar
AI Governance
First Annual Generative AI Survey: Business Rewards vs. Security Risks Panel Discussion
OneTrust sponsored the first annual Generative AI survey, published by ISMG, and this webinar breaks down the key findings of the survey’s results.
January 12, 2024
Report
AI Governance
ISMG's First annual generative AI study - Business rewards vs. security risks: Research report
OneTrust sponsored the first annual ISMG generative AI survey: Business rewards vs. security risks.
January 04, 2024
Webinar
AI Governance
Building your AI inventory: Strategies for evolving privacy and risk management programs
In this webinar, we’ll talk about setting up an AI registry, assessing AI systems and their components for risk, and unpack strategies to avoid the pitfalls of repurposing records of processing to manage AI systems and address their unique risks.
December 19, 2023
Webinar
Responsible AI
Preparing for the EU AI Act
Join Sidley and OneTrust DataGuidance for a reactionary webinar on the EU AI Act.
December 14, 2023
Webinar
Consent & Preferences
Marketing Panel: Balance privacy and personalization with first-party data strategies
Join this on-demand session to learn how you can leverage first-party data strategies to achieve both privacy and personalization in your marketing efforts.
December 04, 2023
Webinar
AI Governance
Revisiting IAPP DPC: Top trends from IAPP's privacy conference in Brussels
Join OneTrust and KPMG webinar to learn more about the top trends from this year’s IAPP Europe DPC.
November 28, 2023
eBook
Responsible AI
Conformity assessments under the proposed EU AI Act: A step-by-step guide
Conformity Assessments are a key and overarching accountability tool introduced by the EU AI Act. Download the guide to learn more about the Act, Conformity Assessments, and how to perform one.
November 17, 2023
eBook
AI Governance
Navigating the EU AI Act
With the use of AI proliferating at an exponential rate, the EU rolled out a comprehensive, industry-agnostic regulation that looks to minimize AI’s risk while maximizing its potential.
November 17, 2023
Webinar
Responsible AI
OneTrust AI Governance: Championing responsible AI adoption begins here
Join this webinar demonstrating how OneTrust AI Governance can equip your organization to manage AI systems and mitigate risk to demonstrate trust.
November 14, 2023
White Paper
AI Governance
AI playbook: An actionable guide
What are your obligations as a business when it comes to AI? Are you using it responsibly? Learn more about how to go about establishing an AI governance team.
October 31, 2023
Infographic
AI Governance
The Road to AI Governance: How to get started
AI Governance is a huge initiative to get started with for your organization. From data mapping your AI inventory to revising assessments of AI systems, put your team in a position to ensure responsible AI use across all departments.
October 06, 2023
White Paper
AI Governance
How to develop an AI governance program
Download this white paper to learn how your organization can develop an AI governance team to carry out responsible AI use in all use cases.
October 06, 2023
eBook
Responsible AI
AI Chatbots: Your questions answered
We answer your questions about AI and chatbot privacy concerns and how it is changing the global regulatory landscape.
August 08, 2023
Webinar
Responsible AI
Unpacking the EU AI Act and its impact on the UK
Prepare your business for EU AI Act and its impact on the UK with this expert webinar. We explore the Act's key points and requirements, building an AI compliance program, and staying ahead of the rapidly changing AI regulatory landscape.
July 12, 2023
Webinar
Responsible AI
AI, chatbots and beyond: Combating the data privacy risks
Prepare for AI data privacy and security risks with our expert webinar. We will delve into the evolving technology and how to ensure ethical use and regulatory compliance.
June 27, 2023
Webinar
AI Governance
The EU's AI Act and developing an AI compliance program
Join Sidley and OneTrust DataGuidence as we discuss the proposed EU AI Act, the systems and organizations that it covers, and how to stay ahead of upcoming AI regulations.
May 30, 2023
White Paper
AI Governance
Data protection and fairness in AI-driven automated data processing applications: A regulatory overview
With AI systems impacting our lives more than ever before, it's crucial that businesses understand their legal obligations and responsible AI practices.
May 15, 2023
Webinar
AI Governance
AI regulation in the UK – The current state of play
Join OneTrust and their panel of experts as they explore Artificial Intelligence regulation within the UK, sharing invaluable insights into where we are and what’s to come.
March 20, 2023
Regulation Book
AI Governance
AI Governance: A consolidated reference
Download this reference book and have foundational AI governance documents at your fingertips as you position your organization to meet emerging AI regulations and guidelines.
Webinar
AI Governance
AI governance masterclass
Navigate global AI regulations and identify strategic steps to operationalize compliance with the AI governance masterclass series.
Webinar
AI Governance
Mature your data privacy program
OneTrust DataGuidance and Sidley are joined by industry experts for the annual Data Protection in Financial Services Week.
AI Governance Demo: Tooling and Considerations to Champion and Implement an AI Governance Program Webinar | Resources | OneTrust
