Colorado legislators have approved a five-month delay for the implementation of the Colorado Artificial Intelligence Act (the Act), moving the start date from Feb. 1, 2026, to June 30, 2026.
The decision follows a special legislative session called because of concerns stemming from compliance costs, industry lobbying, and fiscal impacts on businesses and the state. Colorado Budget Director Mark Ferrandino indicated that the law could cost the state alone between $2.5 million and $5 million annually to implement, and Colorado Governor Jared Polis indicated that the amount could be as much as $6 million per year. The Act, originally designed to address risks of algorithmic discrimination in sectors like employment, housing, and lending, will now give both lawmakers and businesses more time to clarify provisions and prepare compliance programs.