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Tracking AI Compliance in HR

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Senate Bill 26-189: Concerning the Use of Automated Decision-Making Technology in Consequential Decisions

Colorado ADMT Act (SB26-189)

PassedBoth

Jurisdiction

Colorado, United States

Status

Passed

Live from

1 January 2027

Compliance deadline

1 January 2027

What this regulation is

Colorado Senate Bill 26-189 repeals and reenacts elements of the state's prior 2024 AI law (SB24-205) to establish strict guidelines regarding Automated Decision-Making Technology (ADMT) in essential sectors, including employment, housing, education, and health care. The framework places clear requirements on 'developers' (vendors providing or selling technology) and 'deployers' (employers or organisations utilising the systems) to maintain transparency, enable continuous human review, and protect individuals against algorithmic discrimination.

Regulator or body

Colorado Attorney General

Audience impact

What different teams need to know

HR and recruitment teams

Colorado employers using algorithmic tools, scoring software, or automated ranking systems to support recruitment, selection, or compensation choices must provide conspicuous notices at the point of candidate interaction. If a candidate faces an adverse selection or hiring outcome partially driven by an ADMT system, the employer has a strict 30-day window to deliver a plain-language description explaining the tool's operational role. Furthermore, candidates retain the explicit right to request a meaningful human review and reconsideration of that adverse employment choice.

HR technology vendors

Vendors and HR technology providers delivering ADMT systems into Colorado must equip corporate deployers with extensive technical documentation. This documentation must clearly address intended use-cases, training data groups, functional limitations, and human oversight manuals. Developers must proactively provide deployers with immediate direct notifications or public release notes detailing any subsequent material updates or alterations made to the system architecture.

Status intelligence

Current status and key dates

Regulatory status

Became Law

Date timeline

Passed
14 May 2026
Live from
1 January 2027
Enforcement / compliance
1 January 2027

Mandatory audit scope

Bias auditing and protected characteristics

Bias audit summary

The source mentions anti-bias testing and liability under the Colorado Anti-Discrimination Act (CADA) as evidence that may be considered during civil actions, but does not appear to create a freestanding external, independent, periodic, or pre-deployment bias audit requirement. Instead, it defines how fault is allocated dynamically between tech developers and employers if a civil lawsuit alleging unlawful systemic discrimination is initiated under existing anti-discrimination law.

Protected characteristics summary

The law links automated operational frameworks directly with the Colorado Anti-Discrimination Act (CADA). Under CADA rules, employers cannot restrict or deny employment opportunities based on protected characteristics including disability, race (which encompasses historical hairstyles and textures), sex, sexual orientation, gender identity, gender expression, religion, creed, age (40+), national origin, ancestry, marital status, or pregnancy-related conditions.

Duties and legal nuance

Obligations and requirement levels

Binding duties are shown as compact cards. Evidence and notes are collapsed by default.

Documentation

BindingApplies to: ProviderExpress
Trigger and timing

Trigger: Making a covered ADMT commercially available or aware it is being used for consequential decisions

Timing: On and after January 1, 2027

Source: 6-1-1702(1)

Evidence
A DEVELOPER SHALL MAKE AVAILABLE TO EACH DEPLOYER OF A COVERED ADMT DEVELOPED BY THE DEVELOPER... A GENERAL STATEMENT DESCRIBING THE INTENDED USES... A DESCRIPTION OF THE CATEGORIES OF DATA... KNOWN LIMITATIONS... INSTRUCTIONS FOR THE DEPLOYER'S APPROPRIATE USE, MONITORING, AND MEANINGFUL HUMAN REVIEW
Notes
Applies strictly to systems marketed, configured, or leased to materially influence high-stakes decisions.

Transparency Disclosure

BindingApplies to: ProviderExpress
Trigger and timing

Trigger: When issuing patches, updates, modifications, or changing the risk parameters of the system

Timing: Within a reasonable time of the modification

Source: 6-1-1702(2)(a)

Evidence
A DEVELOPER SHALL PROVIDE TO EACH DEPLOYER OF A COVERED ADMT DEVELOPED BY THE DEVELOPER A NOTICE OF MATERIAL UPDATES, INTENTIONAL AND SUBSTANTIAL MODIFICATIONS, AND CHANGES TO THE INTENDED USE OF, LIMITATIONS FOR, OR RISK MITIGATION FOR THE COVERED ADMT WITHIN A REASONABLE TIME.
Notes
Can utilize public release notes if coupled with a direct notice to the respective deployer.

Recordkeeping

BindingApplies to: BothExpress
Trigger and timing

Trigger: Creation of an ADMT operational compliance record or the completion of an automated decision

Timing: Retained for at least 3 years

Source: 6-1-1702(4) and 6-1-1703

Evidence
A DEVELOPER SHALL RETAIN, FOR NOT LESS THAN THREE YEARS AFTER THE CREATION OF A RECORD REQUIRED OR CREATED UNDER THIS SECTION... RECORDS REASONABLY NECESSARY TO DEMONSTRATE COMPLIANCE... A DEPLOYER SHALL RETAIN, FOR NOT LESS THAN THREE YEARS AFTER THE DATE OF A CONSEQUENTIAL DECISION... RECORDS REASONABLY NECESSARY TO DEMONSTRATE COMPLIANCE
Notes
Records include version identifiers, changelogs, system modifications, and developer documentation updates.

Candidate Notice

BindingApplies to: DeployerExpress
Trigger and timing

Trigger: Prior to utilising an automated decision framework to influence an individual's evaluation

Timing: Pre-deployment / point of interaction

Source: 6-1-1704(1)

Evidence
PRIOR TO A DEPLOYER USING A COVERED ADMT TO MATERIALLY INFLUENCE A CONSEQUENTIAL DECISION, THE DEPLOYER SHALL PROVIDE A CLEAR AND CONSPICUOUS NOTICE TO A CONSUMER THAT THE DEPLOYER USED OR WILL USE A COVERED ADMT IN A CONSEQUENTIAL DECISION AFFECTING THE CONSUMER
Notes
Can be satisfied by a prominent public notice link proximate to the transaction or candidate application portal.

Explainability

BindingApplies to: DeployerExpress
Trigger and timing

Trigger: An automated decision results in an adverse selection outcome for the candidate

Timing: Within 30 days after making the decision

Source: 6-1-1704(3)

Evidence
IF A DEPLOYER USES A COVERED ADMT TO MATERIALLY INFLUENCE A CONSEQUENTIAL DECISION THAT RESULTS IN AN ADVERSE OUTCOME FOR A CONSUMER, THE DEPLOYER SHALL PROVIDE WITHIN THIRTY DAYS AFTER MAKING THE DECISION: (a) A PLAIN LANGUAGE DESCRIPTION OF THE CONSEQUENTIAL DECISION AND THE ROLE THE COVERED ADMT PLAYED...
Notes
Must also provide instructions on how to request system information, developer data, data types, and consumer rights descriptions.

Human Review

BindingApplies to: DeployerExpress
Trigger and timing

Trigger: A candidate experiences an adverse outcome and submits an explicit challenge or request

Timing: Post-decision, upon explicit consumer request

Source: 6-1-1705(1)(a)(II)

Evidence
WHEN A CONSUMER EXPERIENCES AN ADVERSE OUTCOME... THE CONSUMER MAY REQUEST AND THE DEPLOYER SHALL PROVIDE... AN OPPORTUNITY FOR MEANINGFUL HUMAN REVIEW AND RECONSIDERATION OF THE CONSEQUENTIAL DECISION, TO THE EXTENT COMMERCIALLY REASONABLE.
Notes
Meaningful human review requires the human evaluator to have override authority and not blindly default to automated system outputs.

Accessibility Accommodation

BindingApplies to: BothExpress
Trigger and timing

Trigger: Providing mandated notices or transparency disclosures under the act

Timing: Ongoing

Source: 6-1-1704(8)

Evidence
A DEPLOYER OR DEVELOPER SHALL PROVIDE THE NOTICES AND DISCLOSURES REQUIRED BY THIS PART 17 IN A MANNER THAT IS REASONABLY ACCESSIBLE TO CONSUMERS WITH DISABILITIES AND CONSUMERS WITH LIMITED ENGLISH PROFICIENCY
Notes
Must stay consistent with broader state and federal accessibility laws.

Bias Audit

MentionedApplies to: BothExpress
Trigger and timing

Trigger: Civil enforcement or discrimination litigation involving an ADMT system choice

Timing: During judicial liability allocation

Source: 6-1-1707

Evidence
A DEVELOPER OR DEPLOYER MAY BE HELD LIABLE IN AN ACTION ALLEGING UNLAWFUL DISCRIMINATION UNDER STATE ANTI-DISCRIMINATION LAWS... FAULT SHALL BE ALLOCATED AMONG DEPLOYERS AND DEVELOPERS BASED ON THEIR RELATIVE FAULT
Notes
The source mentions anti-bias testing elements or legal evaluations implicitly as factors determining relative fault, but does not create a freestanding external, independent, periodic, or pre-deployment bias audit requirement.

Actor split

Who the record says is responsible

Primary liability role: Both

Employer / employment agency duties

Documentation · BindingTransparency Disclosure · BindingRecordkeeping · BindingCandidate Notice · BindingExplainability · BindingHuman Review · BindingAccessibility Accommodation · BindingBias Audit · Mentioned

Vendor support context

Vendors and HR technology providers delivering ADMT systems into Colorado must equip corporate deployers with extensive technical documentation. This documentation must clearly address intended use-cases, training data groups, functional limitations, and human oversight manuals. Developers must proactively provide deployers with immediate direct notifications or public release notes detailing any subsequent material updates or alterations made to the system architecture.

Hiring and employment use cases

Affected use cases

ScreeningExpressly coveredExpress

OUTPUT, INCLUDING PREDICTIONS, RECOMMENDATIONS, CLASSIFICATIONS, RANKINGS, SCORES... EMPLOYMENT OR AN EMPLOYMENT OPPORTUNITY THAT CREATES OR MAY CREATE AN EMPLOYER-EMPLOYEE RELATIONSHIP

Source: 6-1-1701(2)(a) & 6-1-1701(6)(b)

Directly maps to tech platforms scoring or sorting incoming candidate pools.
RankingExpressly coveredExpress

USES COMPUTATION TO GENERATE OUTPUT, INCLUDING PREDICTIONS, RECOMMENDATIONS, CLASSIFICATIONS, RANKINGS, SCORES

Source: 6-1-1701(2)(a)

AssessmentExpressly coveredExpress

PREDICTIONS, RECOMMENDATIONS, CLASSIFICATIONS, RANKINGS, SCORES, OR OTHER INFORMATION THAT IS USED TO MAKE, GUIDE, OR ASSIST A DECISION

Source: 6-1-1701(2)(a)

Workforce AnalyticsInferred coveredInferred

A DECISION THAT DENIES, TERMINATES, REVOKES, OR MATERIALLY REDUCES OR RESTRICTS A CONSUMER'S ACCESS TO, ELIGIBILITY FOR, SELECTION FOR, COMPENSATION FOR... EMPLOYMENT

Source: 6-1-1701(1) & 6-1-1701(6)(b)

TerminationExpressly coveredExpress

A DECISION THAT DENIES, TERMINATES, REVOKES, OR MATERIALLY REDUCES OR RESTRICTS A CONSUMER'S ACCESS TO

Source: 6-1-1701(1)(a)

ChatbotContextualExpress

TECHNOLOGY THAT COMMUNICATES WITH CONSUMERS IN NATURAL LANGUAGE... IF: (A) THE TECHNOLOGY IS NOT CONTRACTED... TO BE USED IN A CONSEQUENTIAL DECISION

Source: 6-1-1701(2)(b)(III)

Natural language communication systems are excluded from compliance requirements only if they are subject to strict acceptable use policies prohibiting use in high-stakes determinations.

Primary source

Source

Regulator or body

Colorado Attorney General

Source documents

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Senate Bill 26-189: Concerning the Use of Automated Decision-Making Technology in Consequential Decisions — The Warden Watch