House Committee of Reference Report

Committee on Business Affairs & Labor

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March 12, 2026

After consideration on the merits, the Committee recommends the following:

HB26-1210   be amended as follows, and as so amended, be referred to the Committee of the Whole with favorable recommendation:

Page 1, Line 1Amend printed bill, strike everything below the enacting clause and

Page 1, Line 2substitute:

Page 1, Line 3"SECTION 1.  In Colorado Revised Statutes, 6-1-105, add

Page 1, Line 4(1)(qqqq) as follows:

Page 1, Line 56-1-105.  Unfair or deceptive trade practices - definitions.

Page 1, Line 6(1)  A person engages in a deceptive trade practice when, in the

Page 1, Line 7course of the person's business, vocation, or occupation, the person:

Page 1, Line 8(qqqq)  Violates part 19 of this article 1.

Page 1, Line 9SECTION 2.  In Colorado Revised Statutes, add part 19 to article

Page 1, Line 101 of title 6 as follows:

Page 1, Line 11PART 19

Page 1, Line 12PROHIBITING INDIVIDUALIZED PRICE

Page 1, Line 13AND WAGE SETTING USING SURVEILLANCE DATA

Page 1, Line 146-1-1901.  Definitions.

Page 1, Line 15As used in this part 19, unless the context otherwise

Page 1, Line 16requires:

Page 1, Line 17(1)  "Biometrics" has the same meaning as "biometric

Page 1, Line 18identifier", as defined in section 6-1-1303, and includes biometric

Page 1, Line 19identifiers associated with a worker.

Page 1, Line 20(2)  "Consumer" has the meaning set forth in section

Page 1, Line 216-1-732 (1)(d).

Page 1, Line 22(3)  "Individualized" means specific to or inferred about an

Page 1, Line 23individual or group, band, class, or tier of individuals with

Page 1, Line 24particular personal characteristics, online behaviors, or

Page 1, Line 25biometrics.

Page 1, Line 26(4) (a)  "Individualized price setting" means using a PWSA

Page 1, Line 27or the output of a PWSA in determining a price offered to a

Page 2, Line 1consumer.

Page 2, Line 2(b)  "Individualized price setting" does not include the use

Page 2, Line 3of location data or an internet protocol address solely for the

Page 2, Line 4purpose of determining the jurisdiction where an individual is

Page 2, Line 5located if the location data or internet protocol address is

Page 2, Line 6used solely for the purpose of:

Page 2, Line 7(I)  Limiting offered products or services to those

Page 2, Line 8available in that jurisdiction;

Page 2, Line 9(II)  Displaying prices in the appropriate currency;

Page 2, Line 10(III)  Calculating jurisdiction-specific taxes; or

Page 2, Line 11(IV)  Complying with jurisdiction-specific disclosure or

Page 2, Line 12other regulatory requirements.

Page 2, Line 13(5) (a)  "Individualized wage setting" means using a PWSA

Page 2, Line 14or the output of a PWSA in determining a wage offered to a

Page 2, Line 15worker.

Page 2, Line 16(b)  "Individualized wage setting" does not include:

Page 2, Line 17(I)  A person's decision not to hire an individual who has

Page 2, Line 18not previously worked for or through the person or the person's

Page 2, Line 19affiliates or subsidiaries; or

Page 2, Line 20(II)  Pay equity studies, compensation reviews, or other

Page 2, Line 21activities necessary to comply with federal and state

Page 2, Line 22antidiscrimination and pay equity laws.

Page 2, Line 23(6)  "Insurer" has the meaning set forth in section 10-1-102.

Page 2, Line 24(7)  "Online behaviors" means:

Page 2, Line 25(a)  An individual's actions, habits, preferences,

Page 2, Line 26affiliations, financial circumstances, or interests that are

Page 2, Line 27observable, measurable, or inferred through electronic

Page 2, Line 28surveillance, data scraping, data purchase, web browsing

Page 2, Line 29history, geolocation, or purchase history; or

Page 2, Line 30(b)  Inferences associated with a group, band, class, or tier

Page 2, Line 31of individuals with similar observable and measurable actions,

Page 2, Line 32habits, preferences, affiliations, financial circumstances, or

Page 2, Line 33interests.

Page 2, Line 34(8)  "Personal characteristics" includes personal data, as

Page 2, Line 35defined in section 6-1-1303 (17)(a), including publicly available

Page 2, Line 36information; sensitive data, as defined in section 6-1-1303 (24);

Page 2, Line 37genetic information, as defined in section 10-3-1104.6 (2)(c); and

Page 2, Line 38both mutable and immutable qualities, features, attributes, or

Page 2, Line 39traits of an individual.

Page 2, Line 40(9)  "Price" means the amount charged to a consumer in

Page 2, Line 41relation to a transaction, including all related costs and fees

Page 2, Line 42and other material terms of the transaction that have a direct

Page 2, Line 43bearing on the amount paid by the consumer.

Page 3, Line 1(10)  "Price or wage setting algorithm" or "PWSA" means

Page 3, Line 2any technology, software, program, machine-based system, or

Page 3, Line 3computational process that:

Page 3, Line 4(a)  Uses statistical modeling, data analytics, artificial

Page 3, Line 5intelligence, or other data processing techniques to analyze

Page 3, Line 6surveillance data; and

Page 3, Line 7(b)  Is a substantial factor in setting, offering, or

Page 3, Line 8determining a price or a wage offered to an individual.

Page 3, Line 9(11)  "Substantial factor" means more than a de minimis or

Page 3, Line 10incidental factor that informs the price or wage offered to an

Page 3, Line 11individual.

Page 3, Line 12(12) (a)  "Surveillance data" means data obtained through

Page 3, Line 13observation, inference, or surveillance of a consumer or

Page 3, Line 14worker that is related to personal characteristics, online

Page 3, Line 15behaviors, or biometrics of the individual or a group, band,

Page 3, Line 16class, or tier to which the individual belongs.

Page 3, Line 17(b)  "Surveillance data" includes information gathered,

Page 3, Line 18purchased, or otherwise acquired.

Page 3, Line 19(13)  "Wage" means the material terms offered to a worker

Page 3, Line 20in exchange for labor, including the amount to be paid for the

Page 3, Line 21labor, whether paid by time rate, piece rate, salary, bonuses,

Page 3, Line 22commissions, and other incentives and task assignments that

Page 3, Line 23have a direct impact on earnings.

Page 3, Line 24(14) (a)  "Worker" means an individual performing work for

Page 3, Line 25wages or other compensation and includes an employee, as

Page 3, Line 26defined in section 8-4-101, and any other individual performing

Page 3, Line 27work on behalf of or for the benefit of an employer or other

Page 3, Line 28person.

Page 3, Line 29(b)  "Worker" does not include a worker engaged by:

Page 3, Line 30(I)  The federal government;

Page 3, Line 31(II)  A public entity, as defined in section 24-10-103 (5); or

Page 3, Line 32(III)  The state, as defined in section 24-10-103 (7).

Page 3, Line 336-1-1902.  Prohibition against individualized price or wage

Page 3, Line 34setting - publication of procedures.

Page 3, Line 35(1)  Individualized price setting.

Page 3, Line 36(a)  A person shall not engage in individualized price

Page 3, Line 37setting.

Page 3, Line 38(b)  A person has not engaged in individualized price

Page 3, Line 39setting if the person can demonstrate that:

Page 3, Line 40(I)  Differential prices are justified based on differences in

Page 3, Line 41cost in providing a good or service to different consumers,

Page 3, Line 42including based on consumer selections, delivery distance, or

Page 3, Line 43delivery time;

Page 4, Line 1(II)  Differential prices are justified by temporal

Page 4, Line 2differences, including price fluctuations based on supply and

Page 4, Line 3demand;

Page 4, Line 4(III)  A public discounted price is offered on equal terms

Page 4, Line 5pursuant to publicly disclosed eligibility criteria to:

Page 4, Line 6(A)  All consumers who meet the publicly disclosed

Page 4, Line 7eligibility criteria, including criteria related to volume

Page 4, Line 8purchases, signing up for a mailing list, registering for

Page 4, Line 9promotional communications, or participating in a promotional

Page 4, Line 10event; or

Page 4, Line 11(B)  All members of a broadly defined and publicly

Page 4, Line 12recognized group of consumers, including teachers, active or

Page 4, Line 13retired military personnel, senior citizens, students, or

Page 4, Line 14residents of a certain area based on publicly disclosed

Page 4, Line 15eligibility criteria;

Page 4, Line 16(IV)  A discounted price is offered on equal terms pursuant

Page 4, Line 17to publicly disclosed terms and conditions to all members,

Page 4, Line 18enrollees, or participants in a loyalty, membership, or rewards

Page 4, Line 19program. For purposes of this section:

Page 4, Line 20(A)  A "loyalty, membership, or rewards program" is a

Page 4, Line 21loyalty, rewards, or club card program established for the

Page 4, Line 22genuine purpose of providing benefits to consumers that

Page 4, Line 23voluntarily participate in that program regardless of whether

Page 4, Line 24those benefits are provided directly by a business or through a

Page 4, Line 25loyalty program partner; and

Page 4, Line 26(B)  A "loyalty program partner" is a third party that

Page 4, Line 27provides loyalty, membership, or rewards program benefits to

Page 4, Line 28consumers who consent to participate in a loyalty, membership,

Page 4, Line 29or rewards program offered by a different seller;

Page 4, Line 30(V)  The person operates as an insurer complying with

Page 4, Line 31section 10-3-1104.9 and associated rules and only inputs

Page 4, Line 32risk-relevant data into a price or wage setting algorithm that

Page 4, Line 33informs decisions related to the amount a consumer must pay

Page 4, Line 34for an insurance policy or contract;

Page 4, Line 35(VI)  Differential prices are offered or provided to a

Page 4, Line 36consumer as a good faith credit, refund, rebate, or discount

Page 4, Line 37issued in response to:

Page 4, Line 38(A)  A consumer's complaint, inquiry, or expression of

Page 4, Line 39dissatisfaction regarding a good or service;

Page 4, Line 40(B)  A service disruption, error, or other failure to deliver

Page 4, Line 41a good or service as promised or expected;

Page 4, Line 42(C)  A billing dispute or discrepancy;

Page 4, Line 43(D)  A request for account retention or cancellation; or

Page 5, Line 1(E)  Other customer service interaction in which the

Page 5, Line 2person provides a credit, refund, rebate, or discount to address

Page 5, Line 3a consumer's concerns or to maintain the consumer relationship;

Page 5, Line 4(VII)  Differential prices are offered pursuant to the

Page 5, Line 5following established need-based discount programs that are

Page 5, Line 6publicly disclosed and structured to provide reduced pricing or

Page 5, Line 7financial assistance based on objective eligibility criteria

Page 5, Line 8related to income or financial need:

Page 5, Line 9(A)  Hospital discounted care;

Page 5, Line 10(B)  Sliding scale fees; or

Page 5, Line 11(C)  Charity care or medical financial assistance policies;

Page 5, Line 12or

Page 5, Line 13(VIII)  A refusal to extend credit on specific terms or the

Page 5, Line 14refusal to enter into a financial transaction with a specific

Page 5, Line 15consumer is based on data provided in a consumer report

Page 5, Line 16covered by the federal "Fair Credit Reporting Act", 15 U.S.C.

Page 5, Line 17sec. 1681 et seq.

Page 5, Line 18(2)  Individualized wage setting.

Page 5, Line 19(a)  A person shall not engage in individualized wage

Page 5, Line 20setting.

Page 5, Line 21(b)  A person has not engaged in individualized wage

Page 5, Line 22setting if the person can demonstrate that:

Page 5, Line 23(I)  The person offers individualized wages based solely on

Page 5, Line 24data specific to the individual worker that is directly related

Page 5, Line 25to the tasks the worker was hired to perform, including data

Page 5, Line 26associated with a worker's performance or generation of new

Page 5, Line 27business; and

Page 5, Line 28(II)  The person discloses in plain language before hiring a

Page 5, Line 29worker to perform work, and to all workers whose wages are

Page 5, Line 30set in whole or in part through a price or wage setting

Page 5, Line 31algorithm, what data is considered and how the price or wage

Page 5, Line 32setting algorithm considers the data. To the extent these

Page 5, Line 33disclosures duplicate disclosures required under equal pay,

Page 5, Line 34wage and hour, or other existing laws, a person's obligations

Page 5, Line 35under this subsection (2)(b)(II) may be fulfilled by complying

Page 5, Line 36with applicable law.

Page 5, Line 37(3)  Publication of procedures. A person that uses a price or

Page 5, Line 38wage setting algorithm shall develop and publish reasonable

Page 5, Line 39procedures:

Page 5, Line 40(a)  To ensure the accuracy of all data considered by the

Page 5, Line 41price or wage setting algorithm;

Page 5, Line 42(b)  For workers to request and receive information

Page 5, Line 43regarding what data is considered by the price or wage setting

Page 6, Line 1algorithm and how the price or wage setting algorithm

Page 6, Line 2considers the data when setting particular wages; and

Page 6, Line 3(c)  To allow a worker to correct or challenge the

Page 6, Line 4accuracy of data considered by the price or wage setting

Page 6, Line 5algorithm.

Page 6, Line 66-1-1903.  Rule-making authority.

Page 6, Line 7The attorney general may adopt rules as necessary for

Page 6, Line 8the purpose of implementing and enforcing this part 19.

Page 6, Line 9SECTION 2.  Act subject to petition - effective date -

Page 6, Line 10applicability. (1)  This act takes effect at 12:01 a.m. on the day following

Page 6, Line 11the expiration of the ninety-day period after final adjournment of the

Page 6, Line 12general assembly (August 12, 2026, if adjournment sine die is on May 13,

Page 6, Line 132026); except that, if a referendum petition is filed pursuant to section 1

Page 6, Line 14(3) of article V of the state constitution against this act or an item, section,

Page 6, Line 15or part of this act within such period, then the act, item, section, or part

Page 6, Line 16will not take effect unless approved by the people at the general election

Page 6, Line 17to be held in November 2026 and, in such case, will take effect on the

Page 6, Line 18date of the official declaration of the vote thereon by the governor.

Page 6, Line 19(2)  This act applies to conduct occurring on or after the applicable

Page 6, Line 20effective date of this act.".