Colorado lawmakers passed a compromise bill, SB 189, to replace the 2024 Colorado AI Act and take effect in 2027, according to Governing. The measure narrows the original law’s scope and delays implementation after litigation and federal attention; Governing reports that the Department of Justice intervened in a lawsuit by xAI challenging the 2024 law and a court stay delayed enforcement. Reporting by HR Dive and Governing shows the revisions add phased-in employer-size thresholds and narrower impact-assessment requirements; HR Dive describes earlier proposals such as SB 318 that sought small-business exemptions and longer ramps. Loren Furman of the Colorado Chamber of Commerce called the compromise model-building for other states, per the Colorado Chamber article.
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