New Colorado Law Limits Retention of I-9 Identification Documents

Effective June 3, 2026, Colorado employers have new requirements for handling identification documents used during the Form I-9 employment verification process.

Under a law signed by Governor Jared Polis, employers may not keep an employee's original identification documents beyond a limited period. Knowingly keeping an employee's identification documents can now result in criminal penalties.

What Employers Can Do

Employers may:

• Request government-issued identification documents to complete the Form I-9.
• Temporarily hold the documents to verify employment eligibility.
• Make and retain copies of the documents if they choose. Remember if you choose to make copies, you must do so consistently for all employees to avoid discrimination claims.
  • Copies of I-9 documents is also required for E-Verify participants when an employee presents documentation from List A.
  • Copies of I-9 documents is also required if the employer use the alternative method for remote employees (to use the alternative method, employers must participate in E-Verify and be in good standing).

However, employers must return the original documents within 10 hours unless another state or federal law specifically allows or requires the documents to be retained, such as under a signed judicial warrant.

New Employee Notice Requirement

Colorado employers must also:

• Provide employees with a written notice explaining that employers cannot keep their identification documents.
• Give the notice in English or the employee's primary language.
• Obtain the employee's signed acknowledgment that they received the notice.
• Keep the signed acknowledgment with the employee's employment records.

What Employers Should Do Now

• Review your onboarding process to ensure original I-9 documents are returned to employees within 10 hours.
• Create a written notice explaining the new law and include an acknowledgment signature line.
• Translate the notice into the primary languages spoken by your Colorado workforce, if needed.
• Include the notice as part of your new hire paperwork when completing the Form I-9.
• Keep the signed acknowledgment in the employee's personnel file. Remember, the Form I-9 and any supporting documents should continue to be stored separately from the personnel file.

Who Must Comply?

This law applies to all employers with employees working in Colorado, even if the company is headquartered or incorporated in another state and even if the employee works remotely.

If you have any questions or need assistance, contact us for guidance and support. MRA members can contact the MRA 24/7 HR Hotline at 866-744-6854 or email the Hotline at infonow@mranet.org.