I stayed at a small hotel while on my travels and during my stay was severely bitten by "bed bugs". The manager of the hotel had knowledge of an infestation in not just my room, but several rooms on my floor. He however neglected to mention anything as if everything was perfectly fine. The morning after the bug bites happened, I went to the front desk to demand to speak with the manager. I requested a room change, and if not that, a refund. I was denied both, saying that it was not there problem and that they would do nothing. Is there a law stating that a they must take responsibility or at least inform guest of possible harm?
Yes, if they knew about it the are especially in trouble. It is a problem that needs to be resolved. Hotels have no excuse because they can take more conscientious measures to eradicate them.
I think that is actionable. It may not be a crime, but it is a civil suit. You can report it to the board of health CDPHE and I suspect there is some sort of hotel license agency you can report to.
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