The state of Colorado, in its pursuit to legalize sports betting by spring this year, has started accepting applications for the first group of licenses to be issued by next month. Gaming Commission of Colorado on Thursday set strict rules for sports betting licensure.
According to the information provided by Dan Hartman, director of the Department of Revenue’s Gaming Enforcement Division, the state has received applications of above 50 contenders since November, names of which have not been disclosed. This list of applications includes 28 from exiting casinos, 13 from internet applications, and ten from betting operators interested in running retail sportsbooks. However, the Colorado Limited Gaming Control Commission will only be granting licenses to a maximum of 33 physical and online sportsbooks.
The first group of licensees is likely to get approval in February, although they can start accepting bets only after the new sports gambling law comes into effect on May 1.
The government will implement a tax of 10% on the total earning of a casino. The state anticipates amassing total annual revenue of around $29 million as taxes only from this sector, which will mainly be used to fund the water plan of the state.
The gaming commission very promptly started formulating rules for the licensure as soon as voters by a narrow margin approved Proposition DD in November. This law allows placing of bets on the result of sporting events at offline and online sportsbooks in Colorado.