It’s been five years since the battle began over gaming tax revenue allocation between two of Colorado’s gaming towns–Cripple Creek in Teller County and Black Hawk in Gilpin County. Officials in Gilpin County said the current method for allocating gambling tax dollars is unconstitutional. They want a larger share because the biggest casinos that generate the most tax revenue are located there, in Black Hawk. If Gilpin wins, Cripple Creek and Teller County would lose a combined .5 million a year in tax revenue.
But the Colorado Gaming Division, the state gambling commission, the courts and state legislators have supported Cripple Creek and Teller County. All have said the current system of allocating revenue, based on gross adjusted proceeds, is what Colorado voters approved in 1990.
But although Denver District Court Judge Bruce Jones last March accused Gilpin of “an intentional effort to mislead the court” and “creative legal drafting to conceal the fact that the issue had been previously addressed by the gaming commission,” Gilpin refuses to back down. In fact, the county recently took its case to the Colorado Court of Appeals. Cripple Creek City Attorney Lee Phillips said if Gilpin loses this appeal, their last legal recourse is to take the case to the Colorado Supreme Court, but, Phillips said, it’s unlikely the court would hear the case.
Meanwhile, Cripple Creek has asked the legislature to examine how historic preservation funds are being used in gaming towns—a move observers see as an attack on Black Hawk. In recent years, Black Hawk officials have been accused of ignoring state preservation guidelines and using the funds for renovating the homes of elected leaders and paying for city infrastructure.
Recently Cripple Creek gained a competitive edge by becoming the first gaming district and overall downtown area in Colorado to offer 24/7 alcohol consumption.
Century Casino General Manager Eric Rose, speaking for the Cripple Creek Casino Association, noted, “We are very excited to see extended hours of alcohol sales approved in Cripple Creek. We have seen an immediate increase in casino revenues due to the additional service and convenience of 24-hour alcohol sales. No more last call certainly allows more freedom for our guests who want to stay out later, or are just getting off from work themselves.”
Cripple Creek Police Chief Mike Rulo said, “The impact on law enforcement and other emergency services has been minimal. We have increased foot patrols in the gaming district to gauge the impact of the extended hours of alcohol service, and continue to collaborate effectively with casino staff to ensure the safety of our citizen and visitors.”
