Federal law overview
No single federal AI law governs all uses, but existing laws apply: FCRA governs AI in credit decisions; ECOA and the Fair Housing Act govern AI in lending and housing; ADA and EEOC guidance govern AI in employment screening; the FTC Act applies to deceptive AI marketing. The Colorado AI Act (SB 21-169) is the first comprehensive state AI act with provisions for high-risk AI systems, effective June 30, 2026.
Generic AI prompt template
I am a [BUSINESS TYPE] operating in [STATES] using [AI TOOL / SYSTEM] for [USE CASE — e.g., screening job applicants / evaluating loan applications / customer service]. Help me audit this AI use for regulatory compliance by: (1) identifying the federal laws that apply to this use case, (2) identifying any state AI laws in [STATES] that may apply (especially Colorado if applicable), (3) flagging the highest-risk compliance gaps based on the description, (4) recommending the documentation I should maintain to demonstrate compliance, and (5) identifying which regulatory agency would have enforcement authority over a complaint.
State-specific guides — AI Tool Deployment Legality
5 states live now. All 50 states in progress — updated annually.
- Alabama (coming soon)
- Alaska (coming soon)
- Arizona (coming soon)
- Arkansas (coming soon)
- California
- Colorado (coming soon)
- Connecticut (coming soon)
- Delaware (coming soon)
- Florida
- Georgia (coming soon)
- Hawaii (coming soon)
- Idaho (coming soon)
- Illinois
- Indiana (coming soon)
- Iowa (coming soon)
- Kansas (coming soon)
- Kentucky (coming soon)
- Louisiana (coming soon)
- Maine (coming soon)
- Maryland (coming soon)
- Massachusetts (coming soon)
- Michigan (coming soon)
- Minnesota (coming soon)
- Mississippi (coming soon)
- Missouri (coming soon)
- Montana (coming soon)
- Nebraska (coming soon)
- Nevada (coming soon)
- New Hampshire (coming soon)
- New Jersey (coming soon)
- New Mexico (coming soon)
- New York
- North Carolina (coming soon)
- North Dakota (coming soon)
- Ohio (coming soon)
- Oklahoma (coming soon)
- Oregon (coming soon)
- Pennsylvania (coming soon)
- Rhode Island (coming soon)
- South Carolina (coming soon)
- South Dakota (coming soon)
- Tennessee (coming soon)
- Texas
- Utah (coming soon)
- Vermont (coming soon)
- Virginia (coming soon)
- Washington (coming soon)
- West Virginia (coming soon)
- Wisconsin (coming soon)
- Wyoming (coming soon)
Frequently asked questions
What is the Colorado AI Act? +
Colorado SB 21-169 (effective June 30, 2026) requires developers and deployers of 'high-risk' AI systems to implement risk management programs, disclose AI use to affected individuals, and provide appeal rights for consequential decisions in employment, education, lending, and healthcare.
Does the Colorado AI Act apply to my business? +
If you deploy AI for consequential decisions (employment, lending, housing, education, healthcare) and your decisions affect Colorado residents, the Act likely applies. Consult a technology lawyer familiar with Colorado's law before the June 30, 2026 enforcement date.
Are there federal AI regulations? +
No comprehensive federal AI law exists as of 2026. But sector-specific laws apply: the FCRA governs AI in credit reporting; ECOA covers AI in lending; the ADA and EEOC guidance covers AI in hiring; the FTC can pursue deceptive or unfair AI practices. The CFPB has issued guidance on adverse action notices for AI-based credit decisions.
What should an AI policy documentation package include? +
At minimum: (1) a description of the AI system and its training data, (2) the business purpose and decision process, (3) a bias impact assessment, (4) the appeals process for adverse decisions, (5) records of disclosures to affected individuals. Colorado's AI Act specifies these requirements formally.
https://clearvaluelending.com/paperwork/ai-tool-deployment-legality