Online Gambling License in Colorado

The Colorado Limited Gaming Control Commission is a five-member regulatory body in charge of regulating commercial gambling operations in Colorado. The CLGCC licenses casinos and enforces the state’s gambling laws. Its activities include overseeing the operations of casinos, sports betting, and fantasy sports operators and ensuring legal compliance.

The other gambling regulatory body in Colorado is the Tribal Gaming Commission from the Ute Mountain Ute and the Southern Ute Indian Tribes. It is allowed to independently regulate their own gaming operations. One of the CLGCC’s responsibilities is monitoring the Tribal Gaming Commission.

The Commission works in collaboration with law enforcement to prevent illegal gambling operations. Its duties include holding hearings, enforcing the Limited Gaming Act, suggesting changes to the law, conducting studies, issuing licenses, and collecting fees. Also, it offers support for problem gambling through a handful of resources for individuals affected by addiction.

Types of Gambling Regulated by the CLGCC

The Colorado Limited Gaming Control Commission regulates “limited gaming” activities in the state, specifically allowing certain types of gambling activities in licensed casinos. This commission oversees gaming primarily in three historic mining towns: Black Hawk, Central City, and Cripple Creek. Here are the types of gambling it regulates:

Fantasy Sports

Fantasy sports became legal in Colorado in 2016 with the Fantasy Contests Act. Operators must register with the Commission and adhere to rules governing operations. For a brand to be able to offer Fantasy Sports betting services, it must have an active license from the Division of Professions and Occupations. This division also regulates the fees and rules and approves license applications.

The current legislature defines large and small Fantasy Contest Operators. The main difference between them is whether they serve more or less than 7,500 customers. Submit Fantasy operator applications by mail to the Division of Gaming’s Lakewood address or by email. The corresponding license fee is $7,500 for a large operator, whereas there is no significant fee for a small operator, except for the $40 fingerprinting fee.

Sports Betting

The Colorado Limited Gaming Control Commission and the Colorado Division of Gaming are the main authorities in regulating sports betting. They issue and renew licenses online and in person. There are 3 types of licenses that the Commission issues concerning sports betting.

• Master License – required for all operators conducting sports betting in Black Hawk, Central City and Cripple Creek. The license holder must be the sole owner of the physical premises.
• Sports Betting Operator License – required for all operators who contract with a master license holder for the purposes of conducting a sports betting operation.
• Internet Sports Betting Operator License  – required for all operators who provide internet sports betting services through a branded website.

The CLGCC works with the Department of Revenue to approve official sports betting event catalogs and fixed odds wagering lists.

The first one features a list of over 4,500 types of bets across all sports, esports and fantasy sports activities, as well as a list of the rejected wager requests. The fixed odds wagering is a horse racing wager catalog created by the CLGCC and the Colorado Racing Commission that covers the approved wagers and information on the authorized sports betting content providers in the state – SIS Content Services and Betmakers MTS. Both of these catalogs undergo regular updates.

Limited Gaming Operations

Covering all other casino games, the Commission, alongside the Division of Gaming, regulates and licenses operators offering other casino game and casino-like services, classifying them together as “limited gaming operations”. 

The Commission issues several types of licenses:

• Gaming Support License – issued to individuals – casino employees: dealers, slot technicians, security, cashiers, etc. The legal age for obtaining this license is 18, and the list of requirements includes being a person of good standing and with a clean criminal record without any professional or personal connection to an administrative role holder in the state.
• Key License – issued to executives and employees who have the power to influence business decisions, usually casino management employees and individuals with substantial interest (5% or more in interest). The list of requirements is the same as the Gaming Support License.
• Business License to be a Manufacturer or Distributor – issued to operators that manufacture and distribute slots and their components.
• Business License to be a Retailer – issued to individuals who permit or conduct gaming on their premises.
• Business License to be an Operator – issued to individuals who permit slot machines on their premises.
• Business License to be an Associated Equipment Supplier – issued to individuals who import or distribute associated gambling equipment.

CLGCC’s Regulatory Framework

The Department of Revenue’s Division of Gaming established the Colorado Limited Gaming Control Commission. Section 44-30-302 of the Colorado Revised Statutes outlines its main duties and responsibilities

License fees and requirements are listed here. Fees range from $3,700 for renewals to $15,400 based on ownership interest.

As per Amendment 50, the Gaming Division establishes the tax rates and the tax allocation annually. With voter approval, the Commission may raise tax rates up to 40% of gross proceeds. AGP tax rates start at 0.25% for up to $2 million and increase to 20% for AGP over $13 million.

FAQs about the Colorado Limited Gaming Control Commission