Colorado Politics

Colorado Democrats introduce bills on pricing, data privacy

Democratic lawmakers have introduced a trio of bills dealing with data privacy and the retail and wholesale prices of goods.

Sponsors said the bills would help Colorado consumers and small businesses tackle affordability woes. They are among a slew of proposals that seek to add requirements on companies, even as business leaders have asked legislators to pause adding new regulations.

The first bill, set to be introduced in the coming weeks, will prohibit corporations from using consumers’ private data to set pricing and wages. A similar measure from last year, House Bill 1264, failed to pass through committee.

Last year, attempts to revise the bill to satisfy both business and consumer rights groups stalled. Rep. Javier Mabrey, D-Denver, a prime sponsor of the measure, then asked the House Judiciary Committee to kill the bill, while pledging to work on the policy next session.

“Our phones have become extensions of our brains,” he said during a news conference on Monday. “We put our most intimate personal thoughts into them: text messages, Google searches, location data.”

He added: “And guess what? The biggest companies in the world are selling that. They’re selling it to corporations, who are using it to decide how much they will charge us for everything — plane tickets, groceries, you name it.”

Mabrey is sponsoring this year’s proposal, alongside Assistant Majority Leader Jennifer Bacon, D-Denver, and Aurora Democratic Sens. Iman Jodeh and Mike Weissman.

A second measure, introduced on the first day of the session, expands on a bill passed last year that mandates retailers to disclose the total price of their goods and services, including any additional costs or fees. This year’s bill, House Bill 1012, requires retailers, such as Instacart and DoorDash, that sell goods for delivery to disclose a comparison between the in-store price of a product and the price it is sold for delivery.

The bill also makes it illegal under the Colorado Consumer Protection Act for a retailer to charge “unreasonably excessive” prices to a “captive consumer” or a person with no other option for purchasing the product, such as people at airports or event venues.

“Corporations know that consumers don’t have a choice but to pay unfair, inflated prices, and our legislation says enough is enough,” said Rep. Yara Zokaie, D-Fort Collins, one of the bill’s sponsors. “HB26-1012 would not only limit companies from price gouging ‘captive consumers’, but it would also require food delivery apps to be transparent about in-store pricing so consumers can identify upcharges. This bill builds on efforts to crack down on price gouging and increase price transparency to make Colorado a more affordable place to live.”

House Bill 1012 is cosponsored by Rep. Kyle Brown, D-Louisville, and Sens. William Lindstedt, D-Broomfield, and Mike Weissman, D-Aurora.

A third bill, expected to be introduced in February, would prohibit wholesalers from charging small businesses more than large retail corporations for goods.

“This bill helps independent grocers keep up with mega-corporations like Amazon and Walmart by leveling the playing field when it comes to wholesale deals,” said Sen. Judy Amabile, D-Boulder, a sponsor of the forthcoming bill. “It preserves legitimate price differences based on volume, logistics, or other real cost-savings, but ensures that independent grocers have the same access to discounts as the big guys. As a former small business owner, I know firsthand the impact this can have to bring down costs and help independent grocers stay competitive.” 

The bill is also sponsored by Lindstedt and Brown.


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