If two initiatives make it onto the November ballot, gambling could significantly expand in Colorado. The two measures, which have been submitted to the Colorado Secretary of State, would allow slots, table games and video lottery terminals at the Aurora racetrack and at two future horse racetracks in Pueblo and Mesa counties.
Former state Senator Bob Hagedorn and former state Rep. Vickie Armstrong filed the initiatives. “Both measures provide that Arapahoe Park Horse Racetrack, which already has wagering on horse races, pay an up-front fee of $25 million to the state in addition to the approximately $100 million every year in new state revenue projected to be generated by new gaming. That money will be dedicated to K through 12 education and administered through a newly established fund, which will protect it from being used for other purposes,” Hagedorn said.
In addition, each measure would permit expanded gaming at one racetrack in Pueblo County and one racetrack in Mesa County, where there currently are no tracks. The counties would qualify to apply for expanded gaming when they have had in operation for five years a licensed and approved horse racetrack that includes wagering.
Backing the campaign is Rhode Island-based Twin River Worldwide Holdings Inc., which owns Mile High Racing and Entertainment, operators of Arapahoe Park Racetrack. It also owns Twin River Casino in Lincoln, Rhode Island which is being threatened by Massachusetts’ decision to allow three the Colorado effort “will be managed at the local level but we always knew we would look at opportunities outside of the market to continue to strengthen our position and to mitigate any potential losses that might come in Massachusetts.”
Craig Law, owner and manager of the event center, said gambling is allowed through off-track betting with Arapahoe Park. He said a casino “definitely would play well. I think Pueblo is kind of a gambling community. It’s another form of entertainment.” A casino would bring construction and permanent jobs and ancillary businesses, and also boost sales tax, Law added. “There’s no better time to get out there. It would be an infusion, and I think Pueblo really needs it.”
In Pueblo, one potential site would be the greyhound park at the Southern Colorado Gaming & Event Center. In Mesa County, a racino is being considered in Grand Junction. Diane Schwenke, president of the Grand Junction Area Chamber of Commerce, said, “As long as it’s up to the local residents, the local leadership,” a casino could benefit the area. “The Western Slope has not seen the economic recovery that the rest of the state has. So we’re looking at diversifying beyond the energy base. It’s important that we look at all options, and this is one we will look at,” Schwenke said.
Opponents include the Colorado Gaming Association, which represents the casinos in Cripple Creek, Black Hawk and Central City. CGA Executive Director Lois Rice said, “This is just another attempt for the racetracks to become casinos. We’re opposed because the way the initiative is written it gives the owner of Arapahoe Park a five-year monopoly on Front Range gaming in Colorado.” In addition, she said, the casinos “would be giant, Las Vegas-style casinos. We’re not against expansion, but we want any company that is coming into Colorado to follow the same rules that we follow.”
Under the initiative, the minimum size for a casino would be 2,500 slot machines. The largest casino in the state is Ameristar Casino Resort Spa Black Hawk in Black Hawk with 1,500 slot machines, Rice said. She noted Monarch Casino Black Hawk was planning to add a hotel and spa, “but they have put their expansion plans on hold until they see what happens with this initiative.”
The town of Cripple Creek also is concerned about the initiatives since more than 80 percent of its budget comes from the casinos, said Paul Harris, finance director. “It would be extremely difficult for all three of the gaming towns if the Front Range racetracks were to play,” he said. A $4.75 million project will begin in mid-May to improve casino-flanked Bennett Avenue, Harris said. “We are always against expanded gaming in the state because of the economic impacts. It would be devastating to our main source of revenue to the community.”
Still, said Cathy Garcia, president of Action 22, a regional lobbying group for southern Colorado, “If communities in southern Colorado vote to go into gambling casinos, we would look at supporting it. Times have changed. The whole state may say ‘since we have marijuana, let’s go all the way.'”
