Colorado legislators moved closer to major changes to the state’s sports betting laws after House members sent an amended measure back to the Senate, but the bill is up against the clock.
On Monday, the Colorado House advanced Senate Bill 26-131 by a 50-13 vote, sending Sen. Matt Ball’s measure back to the Senate for a vote on a procedural amendment. The House considered SB 26-131 after both the House Finance Committee and House Appropriations Committee approved the bill in less than four days last week.
Senate members will need to move quickly on approving the bill’s change as Colorado’s legislative session adjourns May 13.
Next steps for CO sportsbook bill
The bill’s latest amendment, which makes changes to the allocation of funding from the sports betting fund to the water implementation cash fund for “all remaining unexpended and unencumbered money,” must be approved by Senate members. If it is, the bill will be sent to Gov. Jared Polis for a potential signature.
Under the legislation, the amount “must be no less than the amount transferred to the water plan implementation cash fund in the previous state fiscal year.” Lawmakers also recently added an amendment to allow a sport governing body to request to restrict or limit a “certain type of wager with respect to sporting events of the sports governing body.” This provision is common in many other states, whether by law or regulation.
Polis has the option to sign, vote, or take no action on the measure both before and after adjournment. If the governor takes no action, the bill will be enacted as law.
Colorado close to statewide credit card ban
A marquee provision is the measure’s ban on credit cards to fund deposits for online sports betting accounts. If enacted, Colorado would be the third state to impose a legal ban on credit cards to fund sports betting accounts in 2026:
- Last month, Virginia Gov. Abigail Spanberger signed House Bill 515. The measure amends state code to prevent Virginia’s gaming regulator from allowing licensed sportsbooks to accept credit card deposits or withdrawals from players.
- Meanwhile, Maine Gov. Janet Mills signed Legislative Document 2007 in April, implementing a ban on sweepstakes casinos and credit cards for online gambling. Maine already imposed a legislative ban on credit cards for retail slots and table games.
Bill prevents sportsbooks from imposing bet limits
The Colorado sports betting measure also would take unique action on betting limits.
Ball’s bill includes a provision that prohibits an internet sports betting operator from “limiting the size and frequency of deposits or bets because an individual obtains a financial benefit as a result of placing the bet or due to the individual’s betting activities.”
The provision likely would draw even more sharp and professional bettors to Colorado than the sizable number who do business there. The measure does provide exceptions for betting limits for unusual play if the “betting activities constitute a suspicious betting activity or are indicative of a gambling disorder.” The exceptions are included as responsible gaming and integrity standards for Colorado’s online sports betting market.
Lawmakers in Ohio and New Jersey also introduced gambling measures with provisions tied to betting limits. The measure introduced in Ohio, the Save Ohio Sports Act, proposes a $100 limit per wager. New Jersey’s Assembly Bill 4002 requires licensed sportsbooks in the state to notify customers when their accounts are limited.
Both measures are being considered by lawmakers in their respective states.
More sweeping changes to Colorado sports betting
SB 26-131 also proposes other changes to Colorado’s regulated gaming market:
- Sportsbooks are prohibited from delivering push notifications or texts to solicit wagers or deposits
- A limit of six separate deposits for a sportsbook account holder in 24 hours
- Operators are prohibited from using “bonus bet” or “no sweat” language in marketing for sports betting
- Marketing affiliates and sportsbooks are also barred from targeting people under the age of 21
Under the bill, the ban on targeting people under the age of 21 in ads “does not apply to public venues where the demographics of attendees cannot be determined.” The bill would effectively continue to allow sportsbooks to advertise at facilities like stadiums.
Lawmakers remove prop ban provision
A previous version of the bill included a provision that prohibited sportsbooks from offering prop markets. The ban encompassed player props, penalties, injuries and officiating.
The provision was removed after a fiscal note projected a $2.4m decline in sports betting revenue in the next year with a prop ban implemented.
An updated projection in the fiscal note estimates an $800,000 decline in revenue with no prop ban implemented in the state.
