State-Level AI Legislation: Virginia’s Veto and Colorado’s Revisions

US State AI Legislation: Recent Developments in Virginia, Colorado, and Texas

The landscape of artificial intelligence (AI) regulation in the United States is rapidly evolving, with significant legislative actions occurring in various states. Recently, Virginia’s Governor Glenn Youngkin vetoed a bill aimed at regulating high-risk AI systems, while Colorado reconsiders its existing laws, and Texas introduces modifications to its proposed legislation.

Virginia Vetoes AI Regulation Bill

Governor Glenn Youngkin of Virginia vetoed HB 2094, a bill that sought to impose regulatory measures on AI systems classified as “high-risk.” The bill had narrowly passed the state legislature and aimed to implement obligations similar to those in the Colorado AI Act. Youngkin’s concerns centered around the belief that such regulations could hinder the growth of Virginia’s AI industry and its overall economic development. He emphasized that existing laws related to discrimination, privacy, data usage, and defamation could adequately protect the public from AI-related risks.

Colorado’s AI Legislation Under Review

In Colorado, although the Governor Jared Polis signed the AI Act last year, there are ongoing discussions regarding its effectiveness. The AI Impact Task Force has issued recommendations for assessing and improving the law ahead of its effective date in February 2026. Their report categorizes potential changes into four distinct areas:

  • Consensus Exists: Minor changes that require implementation.
  • Additional Time Needed: Areas needing more stakeholder engagement, such as clarifying the definition of “consequential decisions.”
  • Interconnected Issues: Topics requiring resolution before consensus can be reached, including the definition of “algorithmic discrimination.”
  • Firm Disagreement: Issues where consensus is lacking, such as whether to include opportunities for remediation in cases of non-compliance.

Texas Proposes Modifications to AI Governance

Meanwhile, Texas is also navigating the complexities of AI legislation. The proposed Texas Responsible AI Governance Act has undergone recent modifications, notably removing the concept of algorithmic discrimination. The current draft prohibits the development or deployment of AI systems with the “intent to discriminate,” asserting that mere disparate impact is insufficient to demonstrate intent.

This proposed law aligns closely with Utah’s AI legislation, which requires notification when individuals interact with AI, although this requirement is limited to government agencies. Furthermore, it aims to prevent the intentional development of AI systems designed to “incite harm or criminality.”

Implications for AI Regulation

The veto of HB 2094 in Virginia signifies the ongoing challenges states face in achieving comprehensive AI regulation. As states like Colorado and Texas adapt their legislation, the path to a unified approach to AI governance remains uncertain. Currently, several states, including New York, California, Illinois, and Tennessee, have enacted or are working on AI legislation that addresses various aspects of AI technologies, scheduled to take effect between 2024 and 2026.

As the regulatory landscape continues to shift, stakeholders—including legislators, researchers, and industry leaders—must remain vigilant and proactive in shaping the future of AI governance. The complexity of these issues underscores the necessity for ongoing dialogue and collaboration among all parties involved.

More Insights

Revolutionizing Drone Regulations: The EU AI Act Explained

The EU AI Act represents a significant regulatory framework that aims to address the challenges posed by artificial intelligence technologies in various sectors, including the burgeoning field of...

Revolutionizing Drone Regulations: The EU AI Act Explained

The EU AI Act represents a significant regulatory framework that aims to address the challenges posed by artificial intelligence technologies in various sectors, including the burgeoning field of...

Embracing Responsible AI to Mitigate Legal Risks

Businesses must prioritize responsible AI as a frontline defense against legal, financial, and reputational risks, particularly in understanding data lineage. Ignoring these responsibilities could...

AI Governance: Addressing the Shadow IT Challenge

AI tools are rapidly transforming workplace operations, but much of their adoption is happening without proper oversight, leading to the rise of shadow AI as a security concern. Organizations need to...

EU Delays AI Act Implementation to 2027 Amid Industry Pressure

The EU plans to delay the enforcement of high-risk duties in the AI Act until late 2027, allowing companies more time to comply with the regulations. However, this move has drawn criticism from rights...

White House Challenges GAIN AI Act Amid Nvidia Export Controversy

The White House is pushing back against the bipartisan GAIN AI Act, which aims to prioritize U.S. companies in acquiring advanced AI chips. This resistance reflects a strategic decision to maintain...

Experts Warn of EU AI Act’s Impact on Medtech Innovation

Experts at the 2025 European Digital Technology and Software conference expressed concerns that the EU AI Act could hinder the launch of new medtech products in the European market. They emphasized...

Ethical AI: Transforming Compliance into Innovation

Enterprises are racing to innovate with artificial intelligence, often without the proper compliance measures in place. By embedding privacy and ethics into the development lifecycle, organizations...

AI Hiring Compliance Risks Uncovered

Artificial intelligence is reshaping recruitment, with the percentage of HR leaders using generative AI increasing from 19% to 61% between 2023 and 2025. However, this efficiency comes with legal...