On May 23, 2024, Colorado passed groundbreaking legislation aimed at regulating the use of artificial intelligence in critical decision-making processes, marking a significant step in addressing AI-driven discrimination in various sectors impacting American lives.
Colorado Takes Lead in Regulating AI’s Role in American Life
On May 23, 2024, Colorado became the first state to advance legislation aimed at regulating the role of artificial intelligence (AI) in making critical decisions affecting Americans’ lives. Governor Jared Polis signed the bill, albeit with reservations, signaling initial steps towards addressing AI-driven discrimination in sectors such as hiring, housing, and medical care.
The bill requires companies using AI for significant decisions to annually assess and report potential biases within their systems. Additionally, it mandates that companies notify customers when AI is utilized and provide an option to appeal decisions made by these algorithms. However, only the state attorney general can file lawsuits under the new law, not private citizens.
Despite support from major AI firms, smaller companies express concerns about the bill’s impact on innovation and operational feasibility. The legislation highlights the complex challenges of balancing technological advancement with ethical considerations in AI.
