A group of more than two dozen Colorado legislators are attempting to push through legislation to prevent the Colorado Lottery Commission from implementing its plan to start allowing online lottery ticket sales.
The commission approved rule changes in November to set up online sales through a centralized lottery-run app and to start allowing credit cards as a purchase method.
Those new measures are yet to be implemented. Senate Bill 117 would legally block the state lottery from doing so. Filed last week, the bill has 25 sponsors at the time of writing across the two chambers of the state’s General Assembly.
“The bill reinstates the prohibition on the lottery or any licensed lottery retailer from selling lottery tickets or instant scratch game tickets on a credit or other noncash basis and requires the lottery to sell such tickets for cash only, including checks, money orders, and debit cards,” reads its text. “The bill also prohibits the online sale of any lottery ticket or instant scratch game ticket, regardless of payment method. The bill requires the lottery commission to adopt rules implementing the bill.”
The bill is set for a hearing in the Senate Finance Committee next Tuesday, March 3.
Legislators felt ignored, said senator
One of the sponsors of the bill is Sen. Jeff Bridges, who told local media at the time of the lottery approving the changes that he and other lawmakers felt ignored in their complaints, and that he did not think it was a good idea for the people of Colorado. Retailers who sell lottery tickets are also opposed to the idea of allowing residents to buy them directly online.
Bridges and some of the other sponsors of the new bill wrote a letter to the commission in which they asserted that such a major policy change should have been evaluated more thoroughly and introduced via legislation rather than through regulatory tweaks.
“Given the General Assembly’s concerns about practices that increase the potential for problem gambling, we believe potential costs of this policy decision may not have been fully considered,” the lawmakers wrote, as reported by the Denver Gazette in an editorial this week that called the lottery’s plans “a bad bet.”
Bridges has also reportedly voiced concerns that online lottery games in other states, particularly e-instant products, too closely resemble the kind of online casino games that are illegal in Colorado.
“If they [the lottery commission] want to come back and have a further conversation, we look forward to it,” added Bridges to Denver 7. “But it’s not something that is good for the people of Colorado. It’s not something that I think the legislature will let stand.”
Lottery calls modernization ‘necessary and critical’
SBC Americas reached out to the Colorado Lottery Commission seeking comment on the bill.
“The Lottery opposes bill SB 16-117,” said a spokesperson for the commission. “The Lottery remains confident in its ability to deliver what players have been asking for: the ability to play the Lottery online and more payment choices.
“The rules were approved by the Lottery Commission in accordance with its authority and took effect on Nov. 20. The Commission adopted these rules as part of a critical modernization effort necessary for the Lottery to continue to meet the funding requirements for its beneficiaries.”
The spokesperson stressed that the commission puts player safety at the forefront of its work. The lottery does not currently permit online or credit card sales and will not do so until a comprehensive player health program is established, they added. A launch date has not been fully determined.
Governor voiced support for lottery’s change
Per local media, Gov. Jared Polis’ office supports the lottery commission’s decision, citing it as a move to increase convenience and modernize the lottery’s system in line with many other states.
Given that context, it’s uncertain whether SB 26-118 would be signed into law by Polis even if it passed the General Assembly.
The contention in Colorado over iLottery and credit cards comes after other states such as Massachusetts have legalized the online lottery vertical in recent times. Meanwhile, the use of credit cards for online gambling continues to be a disputed issue. Numerous states already restrict their use for sports betting and others including Virginia and Maine have advanced legislation this year to do so.
