Does Colorado Conversational AI Service Operator Requirements (HB 26-1263) require Transparency & Disclosure?

Colorado • enacted

Yes — 2 provisions

Requirements at a glance

This regulation imposes 12 specific requirements for Transparency & Disclosure across 2 provisions:

Minor Artificiality Disclosure and Cadence

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Obligation:
Transparency
pending
Effective:
Jan 1, 2027
Risk tier:
limited-risk
Scope:
Operators that know an account holder or user of a conversational AI service is a minor, i.e. a consumer under eighteen (§ 6-1-1701(15.3), § 6-1-1708(2))
upcoming
The disclosure duty is written as prompt-responsive first — it "must be provided in response to user prompts regarding whether the service is artificially generated and not human" — and then specifies the delivery form by product type: a persistent visible disclaimer on screen products, an intermittent audio disclaimer on screenless products, or beginning-of-interaction plus a three-hour cadence. Colorado gives minors the same three-hour interval as adults, unlike Washington ESHB 2225, which drops the minor cadence to one hour.

Requirements

RequirementDetails
Artificiality disclosureClearly and conspicuously disclose to the minor account holder or minor user that they are interacting with artificial intelligence that is artificially generated and not human (§ 6-1-1708(2)(a))
Prompt-responsive deliveryThe disclosure must be provided in response to user prompts regarding whether the service is artificially generated and not human (§ 6-1-1708(2)(a))
Screen productsA persistent visible disclaimer for a product with a screen interface (§ 6-1-1708(2)(a)(I))
Screenless productsAn intermittent audio disclaimer for a product without a screen interface (§ 6-1-1708(2)(a)(II))
CadenceProvided at the beginning of each interaction and at least once every three hours in a continuous interaction (§ 6-1-1708(2)(a)(III))

Penalties

ViolationFine
Enforcement routeCurrent § 6-1-1706 assigns Part 17 enforcement exclusively to the Attorney General; from 2027-01-01, § 6-1-1706(1)-(2) directs Attorney General enforcement through the Colorado Consumer Protection Act. Application of the future developer/deployer cure wording to an operator is unresolved.
Civil penaltyHB 26-1263 sets no separate dollar figure. The general CCPA ceiling under § 6-1-112(1)(a) is up to USD 20,000 per violation, separately per consumer or transaction, in an Attorney General civil action. Future § 6-1-1706(3) has a 60-day cure notice when the Attorney General deems cure possible for a developer or deployer, subject to its knowing/repeated-violation exception; application to a distinct operator remains unresolved.
Private right of actionPart 17 creates no new private right of action; future § 6-1-1706(4) preserves existing state and federal rights and remedies.

General Consumer Disclosure and Licensed-Professional Representation Bar

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Obligation:
Transparency
pending
Effective:
Jan 1, 2027
Risk tier:
limited-risk
Scope:
Operators of any conversational AI service, as to every user regardless of age (§ 6-1-1708(3), § 6-1-1708(5))
upcominghigh-impact
The general disclosure is unconditional — there is no reasonable-person trigger, so a plainly artificial service still discloses. Colorado's daily-reset cadence is distinctive: the disclosure is owed at the beginning of the user's first interaction for each day of interaction, then either every three hours in a continuous interaction or as a persistent visible disclosure. The false-representation bar at § 6-1-1708(5) covers four named professions — licensed health-care professionals, licensed legal professionals, licensed, certified, or registered mental health professionals, and qualified dietitians as described in § 6-1-707(1)(b) — and reaches advertising and interface copy as well as model outputs. Section 6-1-1708(7) preserves constitutional information access, does not require disclosure of trade secrets or confidential information, and does not authorize content moderation inconsistent with the United States Constitution.

Requirements

RequirementDetails
Artificiality disclosureClearly and conspicuously disclose to a user that the conversational AI service is artificial intelligence (§ 6-1-1708(3))
Daily first-interaction timingProvide the disclosure at the beginning of a user's first interaction with the service for each day of interaction (§ 6-1-1708(3)(a))
Three-hour or persistent cadenceThe disclosure must appear at least once every three hours in a continuous interaction, or appear as a persistent disclosure visible to the user (§ 6-1-1708(3)(b))
Prompt-responsive deliveryThe disclosure must be provided in response to user prompts regarding whether the service is artificially generated and not human (§ 6-1-1708(3)(c))
No professional-equivalence claimsDo not use any term, letter, or phrase in advertising, the interface, or outputs stating that output data is provided by, endorsed by, or equivalent to services provided by a licensed health-care professional, a licensed legal professional, or a licensed, certified, or registered mental health professional (§ 6-1-1708(5)(a)-(c))
Dietitian claimsThe same bar covers claims of equivalence to a qualified dietitian as described in § 6-1-707(1)(b) (§ 6-1-1708(5)(d))
Savings clausesNothing in the section limits constitutional information access, requires disclosure of trade secrets or protected confidential information, or authorizes content moderation inconsistent with the United States Constitution (§ 6-1-1708(7)(a)-(c))

Penalties

ViolationFine
Enforcement routeCurrent § 6-1-1706 assigns Part 17 enforcement exclusively to the Attorney General; from 2027-01-01, § 6-1-1706(1)-(2) directs Attorney General enforcement through the Colorado Consumer Protection Act. Application of the future developer/deployer cure wording to an operator is unresolved.
Civil penaltyHB 26-1263 sets no separate dollar figure. The general CCPA ceiling under § 6-1-112(1)(a) is up to USD 20,000 per violation, separately per consumer or transaction, in an Attorney General civil action. Future § 6-1-1706(3) has a 60-day cure notice when the Attorney General deems cure possible for a developer or deployer, subject to its knowing/repeated-violation exception; application to a distinct operator remains unresolved.
Private right of actionPart 17 creates no new private right of action; future § 6-1-1706(4) preserves existing state and federal rights and remedies.
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