Colorado Passes Business Efficiency Bill as Legislature Eyes AI Regulation
Colorado's legislature passed Senate Bill 137 this week, a measure backed by the state's business community to streamline government rules. The bill requires state agencies to review their regulations at least every five years and establish criteria to measure their effectiveness. Gov. Jared Polis is expected to sign it.
The Colorado Chamber of Commerce called the passage "a significant win" after years of pushing for regulatory reform. The AFL-CIO also supported the bill, though the labor group emphasized it wanted to protect state workers and existing programs from being cut in the name of efficiency.
The bill gives agencies more autonomy to manage their own rules instead of consulting with the state's Department of Regulatory Agencies, known as DORA, which also backed the measure.
Small Business Wins and Losses Mount
The National Federation of Independent Business welcomed the regulatory review requirement but noted that progress on pro-business legislation has been mixed. The group opposes House Bill 1005, which would make it easier for workers to unionize by lowering the approval threshold from 75% to a simple majority. Polis vetoed a similar bill last year and is likely to do so again.
The federation also opposes Senate Bill 116, which would remove inflation indexing from a business property tax exemption, creating what it calls additional financial strain for small businesses.
Credit Card Fees on Sales Tax Face Final Hurdle
The legislature passed Senate Bill 134 to eliminate credit card processing fees on sales tax payments. The bill is narrower than a failed proposal last year that would have covered both taxes and tips.
Colorado merchants paid $218 million in swipe fees on sales tax alone in 2024, according to payment consulting firm CMSPI. Overall, the state's businesses paid $2.1 billion in swipe fees that year.
The Colorado Restaurant Association backed the bill as relief amid rising operational costs. Banks and credit card companies opposed it, though financial institutions managing less than $60 billion in assets are exempt from the restrictions.
Polis is reviewing the bill and "considering the impact of national regulations," his office said. Nearly all modern point-of-sale systems can separate the sales tax fee from other charges because payment processors already track that data.
Colorado Rewrites AI Disclosure Rules After Business Pushback
Senate Bill 189 repeals and replaces the state's 2-year-old AI law after business groups argued the original measure would drive innovation out of Colorado. The new bill, introduced May 1, passed the Senate and a House committee within five days.
The revised law requires companies to notify consumers upfront when "automatic decision making technology" affects employment, housing, healthcare, education, or financial decisions. If someone contests an AI decision, the company must provide additional information upon request.
The Colorado attorney general's office can give violators three years to fix violations under the new language. The Colorado Technology Association supported the compromise but asked lawmakers to make the correction period permanent to protect companies from inadvertent violations.
Senate Majority Leader Robert Rodriguez said the new bill shifts focus from comprehensive disclosure to preventing discrimination. "Sometimes when everybody's not happy then you're in a good place," he said at a committee hearing.
The original Senate Bill 205 takes effect June 30 if the new bill fails. For professionals working with AI systems in business decisions, understanding these disclosure requirements is critical. Generative AI and LLM Courses can help teams understand how automatic decision-making systems work and comply with emerging regulations.
Copper Wire Theft Spikes, New Law Targets Scrap Buyers
CenturyLink has logged 99 cases of stolen copper wires and damaged telecom equipment in Colorado this year, up from 78 cases last year. Thieves cut wires from neighborhood pedestals and sell them to scrap recyclers for quick cash as copper prices remain elevated.
Each damaged pedestal costs CenturyLink about $6,000 to replace. Cutting fiber-optic cables-which have little resale value-also disrupts internet service for entire neighborhoods, though thieves still target them alongside copper.
The legislature passed House Bill 1101 to penalize junk shops and salvage yards that buy stolen infrastructure materials. Buyers must now pay sellers by check and are prohibited from using cash unless the transaction is under $300 or includes documentation such as a photo of the seller. Polis signed the bill Thursday.
CenturyLink is adding GPS tracking devices to copper lines and installing hidden cameras around pedestals to monitor theft and share location data with law enforcement. The company cited Denver's success reducing catalytic converter theft-from over 3,000 cases annually to about 100-after the city passed similar restrictions on scrap recyclers.
IT and development teams implementing security measures can benefit from understanding GPS tracking and surveillance integration. AI for IT & Development covers how emerging technologies support infrastructure protection.
Space and Environmental Funding Flows to Colorado Companies
Lunar Outpost, a Golden-based moon rover manufacturer, raised $30 million in Series B funding led by Denver-based Industrious Ventures. The company plans to hire 50 people over the next year and accelerate production of its robotics and mobility platforms for lunar missions.
Lunar Outpost holds eight contracts with NASA and was the first commercial company to land a rover on the moon. This week it unveiled Pegasus, a new lunar terrain vehicle.
The National Science Foundation awarded $45 million to the Colorado-Wyoming Advanced Sensing and Computation for Environmental Decision-making (ASCEND) Engine, a multistate initiative led by Fort Collins accelerator Innosphere. The funding supports development of technologies to respond to wildfires, drought, and other extreme weather hazards through high-resolution forecasting and protection of power and water systems.
The ASCEND Engine connects more than 40 businesses, research universities, federal laboratories, startups, and investors across the region.
SBA Opens Drought Relief Loans for Colorado Businesses
The U.S. Small Business Administration is offering loans up to $2 million to Colorado companies affected by drought conditions. Interest rates start as low as 4% for small businesses, with no payments required for 12 months after the first disbursement and no interest accruing during that period.
Eligible counties include Adams, Arapahoe, Bent, Cheyenne, Crowley, Douglas, El Paso, Elbert, Kiowa, Kit Carson, Las Animas, Lincoln, Logan, Morgan, Otero, Pueblo, Yuma, and Washington.
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