Colorado Delays AI Law Implementation to June 2026 Amid Regulatory Disputes

Colorado has delayed the implementation of its comprehensive Artificial Intelligence Act (CAIA) from February 1, 2026, to June 30, 2026, after lawmakers failed to reach consensus on proposed amendments during a special legislative session called by Governor Jared Polis. The law targets high-risk AI systems used in consequential decisions related to healthcare, employment, and government services, requiring disclosures from developers and deployers and granting consumers rights such as notification, data correction, and appeal. The delay offers additional time for lawmakers to consider changes amid pressure from industry groups, labor advocates, consumer protection organizations, and concerns about the law's complexity and impact on innovation. The Trump administration's recent AI Action Plan discourages federal funding for states with stringent AI regulations, adding federal-level pressure on Colorado's legislative process. Despite the delay, the law will be enforced by the Colorado attorney general, with violations subject to significant penalties. Similar regulatory challenges are observed in the EU, where enforcement decisions on the AI Act have also been postponed due to preparatory delays.