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Local & State AI Laws

Navigate NYC, Colorado, and State AI Regulations

Compliance guide for NYC LL144, Colorado AI Act, California CPRA, and emerging state AI laws. Avoid multi-state compliance conflicts.

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Major Local AI Laws

NYC Local Law 144 (Hiring Bias)

New York CityJuly 5, 2023 (Active)

$500-$1,500 per day per violation

Requires annual bias audits for AI hiring tools, candidate notifications, and public disclosure of audit results.

Annual bias audit by independent auditor
Notify candidates of AI use 10 days before
Publish audit results publicly
Alternative selection process available
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Colorado AI Act (SB24-205)

ColoradoFebruary 1, 2026

$20,000 per violation

First comprehensive state AI law. Requires risk assessments, impact statements, and disclosures for high-risk AI systems.

Risk management policy and program
Impact assessments for high-risk AI
Consumer disclosures and opt-out rights
Algorithmic discrimination prevention
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California CPRA (AI Provisions)

CaliforniaJanuary 1, 2023 (Active)

$2,500-$7,500 per violation

CPRA includes automated decision-making provisions. Consumers can opt out of AI profiling and request human review.

Disclose automated decision-making
Provide opt-out mechanism
Allow human review of AI decisions
Privacy policy updates
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Illinois BIPA (Biometric AI)

Illinois2008 (Active)

$1,000-$5,000 per violation + lawsuits

Strictest biometric privacy law. Applies to AI facial recognition, voice analysis, and biometric authentication.

Written consent before biometric collection
Public retention and destruction policy
No selling biometric data
Reasonable security measures
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Local AI Laws FAQ

Which local AI laws apply to my business?

Depends on: (1) Where your business operates (physical location), (2) Where your customers are located, (3) What your AI does (hiring, credit, healthcare, etc.). NYC LL144: NYC-based hiring. Colorado AI Act: Colorado consumers + high-risk AI. CPRA: California consumers. Use HAIEC Law Finder for personalized assessment.

Do I need to comply with NYC LL144 if I am not in NYC?

Yes, if you use AI hiring tools for positions based in NYC, even if your company is elsewhere. The law applies to the job location, not company headquarters. Remote positions can be NYC-based if employee works from NYC.

What is a "high-risk AI system" under Colorado AI Act?

AI making consequential decisions about: employment, education, financial services, healthcare, housing, insurance, legal services. Examples: AI resume screening, credit scoring, medical diagnosis, tenant screening. If your AI impacts these areas, it is likely high-risk.

How do I handle conflicting state AI laws?

Comply with the strictest applicable law. Example: If operating in NYC, Colorado, and California, you need NYC bias audits + Colorado impact assessments + California opt-outs. HAIEC multi-state dashboard tracks all requirements and deadlines in one place.

What are the penalties for violating local AI laws?

NYC LL144: $500-$1,500/day per violation (adds up to $500K+/year). Colorado AI Act: $20,000 per violation. California CPRA: $2,500-$7,500 per violation. Plus: lawsuits, reputational damage, loss of business licenses.

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