Colorado Governor Rejects Bill to Limit Surveillance Pricing

WHO:

Truthout - Jared Polis vetoed legislation that would have banned rent-setting algorithms that push up housing costs.

The Colorado Sun - Polis has now rejected 12 bills passed by the legislature this year, surpassing his previous record set in 2025.

The Guardian - Colorado Governor Jared Polis vetoed a bill.

The Guardian - Pat Garofalo, director of state and local policy at the American Economic Liberties Project, criticized the veto.

The Guardian - The Federal Trade Commission (FTC) documented examples of surveillance pricing.

WHAT:

The Colorado Sun - Polis vetoed three bills, including one that would have prohibited credit card companies from imposing swipe fees on sales taxes starting in 2028.

The Colorado Sun - Senate Bill 134 passed the Senate by an 18-17 vote and the House by a 44-20 vote.

The Colorado Sun - In 2024, Colorado merchants paid $2.1 billion in swipe fees, with local businesses paying $218 million just on sales tax.

The Guardian - Governor Polis vetoed a bill that would have banned companies from using surveillance pricing to set workers’ wages and prices for consumer goods.

The Guardian - The proposed measure was described as the strongest in the nation against algorithmic pricing.

The Guardian - The bill would have prevented companies from using algorithms to set custom prices or wages based on individual data.

The Guardian - Maryland became the first state to approve a law banning surveillance pricing in grocery stores in April.

The Guardian - Colorado’s bill would have applied to all sorts of companies across industries and covered wages.

The Guardian - The vetoed bill was the second time in 12 months that Polis blocked legislation focused on surveillance pricing.

WHERE:

The Guardian - The veto took place in Colorado.

The Guardian - Maryland was mentioned as the first state to ban surveillance pricing.

WHEN:

The Guardian - The veto occurred on a Tuesday.

The Guardian - Maryland's law banning surveillance pricing was approved in April.

The Guardian - A bipartisan group of 16 state attorneys general wrote to the FTC on 18 May.

WHY:

The Colorado Sun - Polis stated that the credit card swipe fees bill presented too much legal risk to Colorado’s business environment and consumers, with limited upside for small businesses.

The Guardian - Governor Polis stated the legislation was overly broad and would inadvertently capture innocuous uses of technology.

The Guardian - Critics argued the bill would disrupt competitive markets and open the door to unnecessary litigation.

The Guardian - Consumer advocates expressed disappointment, stating the veto favored corporations using invasive surveillance data.

HOW:

The Colorado Sun - The Electronic Payments Coalition spent $6 million in March and April on ads opposing Senate Bill 134.

The Guardian - The bill proposed banning the use of algorithms powered by artificial intelligence or other data-processing techniques for setting prices or wages.

The Guardian - Colorado’s measure included exemptions for certain discounts tied to loyalty programs and transparent markdowns for students and senior citizens.

(UPDATED June 4, 2026 08:21 UTC)

Jared Polis has vetoed legislation that aimed to ban rent-setting algorithms, marking his twelfth rejection of bills passed by the legislature this year, surpassing his previous record set in 2025. Among the vetoed bills was one that would have stopped credit card companies from imposing swipe fees on sales taxes starting in 2028, a move Polis argued posed too much legal risk to Colorado's business environment. The Electronic Payments Coalition heavily opposed Senate Bill 134, spending $6 million on ads in March and April to influence public opinion against it.

--

(UPDATED June 4, 2026 06:38 UTC)

Colorado Governor Jared Polis has vetoed a bill that aimed to ban companies from using surveillance pricing to set wages and consumer prices, a measure that was touted as the strongest in the nation against algorithmic pricing. Critics, including Pat Garofalo from the American Economic Liberties Project, have expressed disappointment, arguing that the veto favors corporations that rely on invasive surveillance data, while Polis defended his decision by stating the legislation was overly broad. This veto marks the second time in less than a year that Polis has blocked similar legislation, as Maryland recently became the first state to approve a law banning surveillance pricing in grocery stores.