Colorado Amendment 50 (2008)
Encyclopedia
Colorado Amendment 50 was a citizen’s initiative
Initiative
In political science, an initiative is a means by which a petition signed by a certain minimum number of registered voters can force a public vote...

 that amended the Colorado state constitution
Constitution of the State of Colorado
The Constitution of the State of Colorado is the foundation of the laws and government of the U.S. state of Colorado. The current, and only, Colorado State Constitution was drafted 1876-03-14, approved by Colorado voters 1876-07-01, and took effect upon the statehood of Colorado on 1876-08-01...

 to:
  • allow residents of Central City
    Central City, Colorado
    Central City is a home rule municipality in Clear Creek and Gilpin counties in the U.S. state of Colorado, and the county seat of Gilpin County. The city population was 515 in the 2000 United States Census...

    , Black Hawk
    Black Hawk, Colorado
    The historic City of Black Hawk is a Home Rule Municipality located in Gilpin County, Colorado, United States. The city population was 118 at U.S. Census 2000, making Black Hawk the least populous city in Colorado...

    , and Cripple Creek
    Cripple Creek, Colorado
    The City of Cripple Creek is a Statutory City that is the county seat of Teller County, Colorado, United States. Cripple Creek is a former gold mining camp located southwest of Colorado Springs near the base of Pikes Peak. The Cripple Creek Historic District, which received National Historic...

     to vote to extend casino
    Casino
    In modern English, a casino is a facility which houses and accommodates certain types of gambling activities. Casinos are most commonly built near or combined with hotels, restaurants, retail shopping, cruise ships or other tourist attractions...

     hours, approve additional games, and increase the maximum bet limit;
  • give most of the gaming tax revenue that results from new gaming limits to Colorado community colleges
    Colorado Community College System
    The Colorado Community College System consists of 14 community colleges across the state of Colorado. Created by legislation in 1967, it serves more than 116,000 students annually...

     and to the gaming cities and counties;
  • require statewide voter approval for any gaming tax increase if new gaming limits are adopted by any gaming town; and
  • exempt the revenue raised from new gaming limits from state and local revenue spending limits


As of August 2008, Ameristar Casino in Black Hawk had given $2 million to Coloradans for Community Colleges, part of the $7 million in contributions that had been made by supporters of the amendment. Much of the contributions were expected to pay for advertising aimed at potential voters.

The amendment passed with 58.6% of the vote.

Gaming limits

Since 1991 Colorado has permitted limited stakes gaming in Central City
Central City, Colorado
Central City is a home rule municipality in Clear Creek and Gilpin counties in the U.S. state of Colorado, and the county seat of Gilpin County. The city population was 515 in the 2000 United States Census...

 and Black Hawk
Black Hawk, Colorado
The historic City of Black Hawk is a Home Rule Municipality located in Gilpin County, Colorado, United States. The city population was 118 at U.S. Census 2000, making Black Hawk the least populous city in Colorado...

 in Gilpin County
Gilpin County, Colorado
Gilpin County is the second least extensive of the 64 counties of the State of Colorado of the United States. Gilpin County was named after Colonel William Gilpin, the first Governor of the Territory of Colorado. The county population was 4,757 at U.S. Census 2000. The county seat is Central City...

, and Cripple Creek
Cripple Creek, Colorado
The City of Cripple Creek is a Statutory City that is the county seat of Teller County, Colorado, United States. Cripple Creek is a former gold mining camp located southwest of Colorado Springs near the base of Pikes Peak. The Cripple Creek Historic District, which received National Historic...

 in Teller County
Teller County, Colorado
Teller County is the 22nd most populous of the 64 counties of the State of Colorado of the United States. The county population was 20,555 at U.S. Census 2000. The county seat is Cripple Creek, and the most populous city is Woodland Park...

. The state constitution currently places the following limits on gaming:
  • single bets cannot exceed $5
  • only slot machines, blackjack
    Blackjack
    Blackjack, also known as Twenty-one or Vingt-et-un , is the most widely played casino banking game in the world...

    , and poker
    Poker
    Poker is a family of card games that share betting rules and usually hand rankings. Poker games differ in how the cards are dealt, how hands may be formed, whether the high or low hand wins the pot in a showdown , limits on bet sizes, and how many rounds of betting are allowed.In most modern poker...

     games are allowed
  • casinos must close between 2:00 a.m. and 8:00 a.m.


Amendment 50 allows Central City, Black Hawk, and Cripple Creek to vote to change the existing gaming limits. Each town may vote to extend the hours of operation of casinos, to add the games of roulette and/or craps, and to increase the amount that can be wagered on any single bet from $5 up to a maximum of $100. The towns may vote on changing any of all of these limits.

Distribution of revenue

Casinos pay taxes on income from gaming and also pay various fees and fines. Last year, the state collected $112 million from gaming, an effective tax rate of 14 percent. After paying to enforce gaming laws, approximately one-quarter of the gaming money goes back to the gaming cities and counties, about one-quarter goes to historic preservation and restoration projects across the state, and half of the revenue is allocated to the state legislature
Colorado General Assembly
The Colorado General Assembly is the state legislature of the State of Colorado.-Constitutional definition:The Colorado Constitution establishes a system of government based on the separation of powers doctrine with power divided among three "departments": executive, legislative and judicial...

 to spend on programs. These programs currently include assistance to local governments for gaming impacts, tourism promotion, economic development programs, energy efficiency, and renewable energy projects, and highway projects.

Amendment 50 distributes new money from increased gaming activity differently from existing law. First, the casinos keep 86 percent. The 14 percent in tax revenue is then used to pay to enforce gaming laws related to any changes in the limits. Second, some of the new money provides annual increases to the programs and local governments that currently get gaming money. The rest is distributed as follows:
  • 78% for financial aid and classroom instruction at Colorado community, junior, and district colleges based on each school's number of students
  • 12% to Gilpin
    Gilpin County, Colorado
    Gilpin County is the second least extensive of the 64 counties of the State of Colorado of the United States. Gilpin County was named after Colonel William Gilpin, the first Governor of the Territory of Colorado. The county population was 4,757 at U.S. Census 2000. The county seat is Central City...

     and Teller
    Teller County, Colorado
    Teller County is the 22nd most populous of the 64 counties of the State of Colorado of the United States. The county population was 20,555 at U.S. Census 2000. The county seat is Cripple Creek, and the most populous city is Woodland Park...

     Counties, based on the proportion of the new money raised within each county, to help address the impacts of gaming
  • 10% to Central City
    Central City, Colorado
    Central City is a home rule municipality in Clear Creek and Gilpin counties in the U.S. state of Colorado, and the county seat of Gilpin County. The city population was 515 in the 2000 United States Census...

    , Black Hawk
    Black Hawk, Colorado
    The historic City of Black Hawk is a Home Rule Municipality located in Gilpin County, Colorado, United States. The city population was 118 at U.S. Census 2000, making Black Hawk the least populous city in Colorado...

    , and Cripple Creek
    Cripple Creek, Colorado
    The City of Cripple Creek is a Statutory City that is the county seat of Teller County, Colorado, United States. Cripple Creek is a former gold mining camp located southwest of Colorado Springs near the base of Pikes Peak. The Cripple Creek Historic District, which received National Historic...

    , based on the proportion of the new money raised within each town, to help address the impacts of gaming

Estimated distribution of new gaming money under Amendment 50 in millions of dollars
Amendment 50 Recipients Year 1 Year 2 Year 3 Year 4 Year 5
Additional money to current recipients $2 $3 $4 $4 $5
Community colleges $29 $32 $46 $52 $63
Black Hawk, Central City, and Cripple Creek $4 $4 $6 $7 $8
Gilpin and Teller Counties $4 $5 $7 $8 $10

Editorial opinions

An editorial in the September 29, 2008 edition of The Denver Post
The Denver Post
-Ownership:The Post is the flagship newspaper of MediaNews Group Inc., founded in 1983 by William Dean Singleton and Richard Scudder. MediaNews is today one of the nation's largest newspaper chains, publisher of 61 daily newspapers and more than 120 non-daily publications in 13 states. MediaNews...

advocated voting against the proposed amendment, noting that it would "help an exceptional cause — Colorado's under-funded community colleges — but it would do so at a cruel and unfortunate cost." The paper noted that it had endorsed the expansion of gambling into these mountain communities in the early 1990s, only to have "seen the character of the once-charming towns destroyed".

An editorial in the Oct. 5, 2008 edition of the The Aurora Sentinel endorsed the measure, pointing out the gambling industry had grown up in Colorado and state residents deserved to reap the benefits of that. Even if the benefits of this measure didn't hit so close to home in Aurora, the initiative is a good idea to preserve the economic health of this important tourism industry. The paper noted that the city's own community college badly needs the revenue.

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External links

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