The Colorado House and Senate in the last days of the legislative session approved of a bill that would put sports betting on the November ballot. Governor Jared Polis is seen as likely to sign the bill.
House Bill 1327 was introduced late in the four-month session, in mid-April, but with strong bipartisan support moved briskly through both chambers. It passed the House within a week and later the Senate voted 27-8 for the bill after less than an hour of discussion.
Not all lawmakers see the positives of sports book, however. Senator Larry Crowder, declared, “Why do you want to make people that much poorer?” He added, “To make this so convenient that it’s right there on your phone in your possession all the time. I’m just not sure that’s a good direction for the people of this state. What’s next?”
Senator John Cooke, a former sheriff who sponsored the bill, retorted, “Right now, there’s already gambling on people’s phones and their computers, it’s called the black market.”
Because the bill would attach a 10 percent tax to sports book it requires the approval of the voters, who must approve any new tax. It would allow the three gambling towns of Black Hawk, Central City and Cripple Creek to offer sports betting, and would, say sponsors, freeze out the black market.
It would not be allowed at the state’s only racetrack.
The bill would allow mobile sports betting, which is considered by many to be the most financially viable model. However, the mobile betting would be tied to existing brick and mortar casinos in the three gaming towns that possess “master licenses.” Such mobile betting would be done through a third party, such as DraftKings. Geolocation tools would ensure that bettors outside of Colorado could not place bets.
Betting on college and high school sports would be prohibited. As would wagers on fantasy sports and video games not sanctioned by a sports governing body as electronic competition.
To regulate sports betting, the bill authorizes creation of a new department within the division of gaming.
Money collected from the 10 percent tax would be set aside to help pay for developing water resources in the state, to fight gambling addiction and for some educational programs.
