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

Responsible AI Workflows for Transforming UX Research

The article discusses how AI can transform UX research by improving efficiency and enabling deeper insights, while emphasizing the importance of human oversight to avoid biases and inaccuracies. It...

Revolutionizing Banking with Agentic AI

Agentic AI is transforming the banking sector by automating complex processes, enhancing customer experiences, and ensuring regulatory compliance. However, it also introduces challenges related to...

AI-Driven Compliance: The Future of Scalable Crypto Infrastructure

The explosive growth of the crypto industry has brought about numerous regulatory challenges, making AI-native compliance systems essential for scalability and operational efficiency. These systems...

ASEAN’s Evolving AI Governance Landscape

The Association of Southeast Asian Nations (ASEAN) is making progress toward AI governance through an innovation-friendly approach, but growing AI-related risks highlight the need for more binding...

EU AI Act vs. US AI Action Plan: A Risk Perspective

Dr. Cari Miller discusses the differences between the EU AI Act and the US AI Action Plan, highlighting that the EU framework is much more risk-aware and imposes binding obligations on high-risk AI...

The Hidden Risks of AI Integration in the Workplace

As organizations rush to adopt AI, many are ignoring the critical risks involved, such as compliance and oversight issues. Without proper governance and human management, AI can quickly become a...

Investing in AI Safety: Capitalizing on the Future of Responsible Innovation

The AI safety collaboration imperative is becoming essential as the artificial intelligence revolution reshapes industries and daily life. Investors are encouraged to capitalize on this opportunity by...

AI Innovations in Modern Policing

Law enforcement agencies are increasingly leveraging artificial intelligence to enhance their operations, particularly in predictive policing. The integration of technology offers immense potential...

Kenya’s Pivotal Role in UN’s Groundbreaking AI Governance Agreement

Kenya has achieved a significant diplomatic success by leading the establishment of two landmark institutions for governing artificial intelligence (AI) at the United Nations. The Independent...