Second Regular Session
Seventy-third General Assembly
STATE OF COLORADO
INTRODUCED
LLS NO. 22-0960.01 Ed DeCecco x4216
SENATE BILL 22-216
Senate Committees House Committees
Appropriations
A BILL FOR AN ACT
C
ONCERNING THE REALLOCATION OF THE LIMITED GAMING TAX101
REVENUES FOR FISCAL YEARS FOLLOWING A SIGNIFICANT102
DECREASE IN THE REVENUES, AND, IN CONNECTION THEREWITH ,103
MAKING AN APPROPRIATION .104
Bill Summary
(Note: This summary applies to this bill as introduced and does
not reflect any amendments that may be subsequently adopted. If this bill
passes third reading in the house of introduction, a bill summary that
applies to the reengrossed version of this bill will be available at
http://leg.colorado.gov/
.)
Joint Budget Committee. Section 1 of the bill creates the state
historical society strategic initiatives fund, which is to be used by the state
historical society for programs and activities that strengthen the state
SENATE SPONSORSHIP
Hansen and Zenzinger, Rankin
HOUSE SPONSORSHIP
Herod and McCluskie,
Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing statute.
Dashes through the words indicate deletions from existing statute. historical society's financial position and expand its impact on the people
of the state. Section 2 requires the state treasurer to transfer $3 million of
the state share of the limited gaming tax revenues to the state historical
society strategic initiatives fund.
Section 2 also resets the base portion of the state share of the
limited gaming tax revenues deposited in the local government limited
gaming impact fund for the fiscal year 2021-22 to clarify the amount after
a 2-year hiatus of this allocation.
Section 3 modifies the manner in which limited gaming tax
revenues are allocated between the limited gaming fund and the extended
limited gaming fund (i.e., the portion of limited gaming tax revenues
derived from increased hours of operation, expanded wagering, and
additional games of chance) in order to more equitably address recovery
in the years immediately following a significant decrease in the revenue.
Specifically, the bill:
! Adjusts the allocation for the state fiscal year 2021-22 to
accommodate the significant unanticipated post-pandemic
increase in the limited gaming tax revenues; and
! Establishes a mechanism to temporarily modify the
allocation in years following a significant decrease in the
limited gaming tax revenues.
Section 4 appropriates money to the department of higher
education for use by history Colorado.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, add 24-80-215 as2
follows:3
24-80-215. State historical society strategic initiatives fund -4
creation - repeal. (1) T
HE STATE HISTORICAL SOCIETY STRATEGIC5
INITIATIVES FUND IS HEREBY CREATED IN THE STATE TREASURY . THE FUND6
CONSISTS OF MONEY TRANSFERRED TO THE FUND FROM THE LIMITED7
GAMING FUND PURSUANT TO SECTION 44-30-701 (2)(a)(V.5)(A). THE8
STATE TREASURER SHALL CREDIT ALL INTEREST AND INCOME DERIVED9
FROM THE DEPOSIT AND INVESTMENT OF MONEY IN THE FUND TO THE10
FUND.11
(2) S
UBJECT TO ANNUAL APPROPRIATION BY THE GENERAL12
SB22-216-2- ASSEMBLY, THE STATE HISTORICAL SOCIETY MAY EXPEND MONEY FROM1
THE FUND FOR PROGRAMS AND ACTIVITIES THAT STRENGTHEN THE2
SOCIETY'S FINANCIAL POSITION AND EXPAND ITS IMPACT ON THE PEOPLE3
OF THE STATE.4
(3) (a) O
N JUNE 30, 2027, THE STATE TREASURER SHALL TRANSFER5
ANY UNEXPENDED MONEY IN THE FUND TO THE GENERAL FUND .6
(b) T
HIS SECTION IS REPEALED, EFFECTIVE JULY 1, 2027.7
SECTION 2. In Colorado Revised Statutes, 44-30-701, amend8
(2)(a)(III)(A); and add (2)(a)(V.5) as follows:9
44-30-701. Limited gaming fund - created - repeal.10
(2) (a) Except as provided in subsection (2)(b) or (2)(c) of this section,11
at the end of the 2012-13 state fiscal year and at the end of each state12
fiscal year thereafter, the state treasurer shall transfer the state share as13
follows:14
(III) (A) At the end of the 2017-18 state
2021-22 STATE fiscal year15
and each state fiscal year thereafter, five million
SIX HUNDRED16
EIGHTY-NINE THOUSAND NINE HUNDRED THIRTY -EIGHT dollars, as17
annually increased by an amount equal to the percentage increase in the18
state share as described in subsection (1)(d)(I) of this section from the19
previous fiscal year to the local government limited gaming impact fund20
created in section 44-30-1301, plus an amount equal to the projected21
direct and indirect costs to administer the local government limited22
gaming impact grant program set forth in section 44-30-1301 (2)(a) for23
the upcoming fiscal year; except that such transfer shall be made at the24
beginning of the state fiscal year, and any unspent money from such25
transfer reverts to the local government limited gaming impact fund.26
(V.5) (A) F
OR THE STATE FISCAL YEAR 2021-22, THREE MILLION27
SB22-216
-3- DOLLARS TO THE STATE HISTORICAL SOCIETY STRATEGIC INITIATIVES FUND1
CREATED IN SECTION 24-80-215.2
(B) T
HIS SECTION IS REPEALED, EFFECTIVE JULY 1, 2027.3
SECTION 3. In Colorado Revised Statutes, 44-30-702, amend4
(7)(a)(III)(B), (7)(a)(IV), and (7)(b); and add (7)(a)(V), (7)(a)(VI),5
(7)(a)(VII), (7)(a)(VIII), (7)(a.5), (7)(c), (7)(d), and (7)(e) as follows:6
44-30-702. Revenues attributable to local revisions to gaming7
limits - extended limited gaming fund - identification - separate8
administration - distribution - legislative declaration - definitions.9
(7) Reduction in revenues - operation of hold-harmless provisions -10
continuity of funding - recovery. (a) Legislative declaration. The11
general assembly finds, determines, and declares that:12
(III) Pursuant to that authority, it is reasonable for the general13
assembly to address the effects of the global pandemic and economic14
recession of 2020 in a way that:15
(B) Equitably allocates the limited gaming tax revenues in fiscal16
years immediately following this severe funding decline among all17
recipients; and
18
(IV) The allocation provisions of section 9 (7) of article XVIII of19
the state constitution do not DID NOT contemplate the unprecedented20
significant decline in limited gaming revenues caused by the global21
pandemic, and,
IN 2020, the general assembly desires
DESIRED to address22
the original implementing statutory formula for the allocation of gaming23
revenues, consistent with the state constitution in a manner that modifies24
MODIFIED the statutory annual adjustment provisions to retain the25
constitutional allocation, thus reflecting the proportionate allocation to the26
beneficiaries of limited gaming tax revenues;27
SB22-216
-4- (V) THIS REALLOCATION, HOWEVER, DID NOT ANTICIPATE THE1
RAPIDITY AND EXTENT OF THE GROWTH OF THE LIMITED GAMING2
REVENUES POST-PANDEMIC, WHICH WAS DUE IN PART TO THE VOTERS3
APPROVAL IN 2020 OF THE MODIFICATIONS TO SECTION 9 (7) OF ARTICLE4
XVIII
OF THE STATE CONSTITUTION IN THE INITIATIVE COMMONLY5
REFERRED TO AS "AMENDMENT 77", WHICH PERMITTED THE GAMING6
TOWNS TO INCREASE OR REMOVE BET LIMITS AND APPROVE NEW CASINO7
GAMES WITH LOCAL VOTER APPROVAL ;8
(VI) T
HEREFORE, IT IS NECESSARY TO ADJUST THE ALLOCATION9
FOR THE STATE FISCAL YEAR 2021-22 AS SET FORTH IN SUBSECTION (7)(c)10
OF THIS SECTION TO ACHIEVE THE PURPOSES SET FORTH IN SUBSECTION11
(7)(a)(III)
OF THIS SECTION;12
(VII) F
URTHER, THE GLOBAL PANDEMIC AND ECONOMIC13
RECESSION OF 2020 DEMONSTRATED THAT THE EXISTING METHODOLOGY14
FOR DETERMINING THE LIMITED GAMING TAX REVENUES ATTRIBUTABLE TO15
EXTENDED LIMITED GAMING IS SUSCEPTIBLE TO DISTORTION WHEN THERE16
IS A SIGNIFICANT DECLINE IN THE LIMITED GAMING TAX REVENUES AND IN17
THE FISCAL YEARS THEREAFTER WHEN THE REVENUES ARE RESTORED ;18
(VIII) T
O EQUITABLY ALLOCATE LIMITED GAMING TAX REVENUES19
IN FISCAL YEARS FOLLOWING A SIGNIFICANT DECLINE AND TO AVOID20
LONG-TERM ECONOMIC DAMAGE TO ANY OF THE BENEFICIARIES OF THOSE21
REVENUES, IT IS NECESSARY FOR THE GENERAL ASSEMBLY TO ENACT22
LEGISLATION THAT WILL FACILITATE THE OPERATION OF SECTION 9 (7) OF23
ARTICLE XVIII OF THE STATE CONSTITUTION.24
(a.5) A
S USED IN THIS SUBSECTION (7), UNLESS THE CONTEXT25
OTHERWISE REQUIRES:26
(I) "E
XTENDED LIMITED GAMING FUND RECIPIENTS " MEANS THE27
SB22-216
-5- RECIPIENTS OF LIMITED GAMING TAX REVENUES ATTRIBUTABLE TO1
EXTENDED LIMITED GAMING UNDER SECTION 9 (7) OF ARTICLE XVIII OF2
THE STATE CONSTITUTION.3
(II) "F
ISCAL YEAR WITH A SIGNIFICANT DECREASE IN TOTAL4
LIMITED GAMING TAX REVENUE " MEANS:5
(A) A
FISCAL YEAR IN WHICH THE TOTAL LIMITED GAMING TAX6
REVENUE COLLECTIONS HAVE DECLINED BY FIVE PERCENT OR MORE FROM7
THE IMMEDIATELY PRECEDING FISCAL YEAR ; OR8
(B) I
F SUBSECTION (7)(a.5)(II)(A) OF THIS SECTION DOES NOT9
APPLY, THE SECOND OF TWO CONSECUTIVE FISCAL YEARS WITH A10
CUMULATIVE DECLINE OF TOTAL LIMITED GAMING TAX REVENUE11
COLLECTIONS THAT IS SIX PERCENT OR MORE FROM THE FISCAL YEAR12
IMMEDIATELY PRECEDING THE FIRST OF THE TWO CONSECUTIVE FISCAL13
YEARS.14
(III) "L
IMITED GAMING FUND RECIPIENTS" MEANS THE RECIPIENTS15
LISTED IN SECTION 9 (5)(b)(II) OF ARTICLE XVIII OF THE STATE16
CONSTITUTION.17
(IV) "R
ECENT TOTAL LIMITED GAMING TAX REVENUES PEAK "18
MEANS TOTAL LIMITED GAMING TAX REVENUE COLLECTIONS FOR THE19
FISCAL YEAR THAT IS:20
(A) P
RIOR TO THE FISCAL YEAR WITH A SIGNIFICANT DECREASE IN21
TOTAL LIMITED GAMING TAX REVENUES ; AND22
(B) T
HE LAST FISCAL YEAR IN WHICH TOTAL LIMITED GAMING TAX23
REVENUE COLLECTIONS INCREASED FROM THE IMMEDIATELY PRECEDING24
FISCAL YEAR.25
(b) (I) Notwithstanding any provision of subsection (3)(b) or
26
(4)(d) of this section to the contrary, beginning in FOR state fiscal year27
SB22-216
-6- 2020-21, and continuing through each subsequent fiscal year until the1
fiscal year immediately following the fiscal year in which total limited2
gaming tax revenue collections have again equaled or exceeded the3
amount of total limited gaming tax revenues collected in state fiscal year4
2018-19, any annual THE growth or decline in total net gaming tax5
distributions shall be IS allocated between the limited gaming fund6
recipients listed in section 9 (5)(b)(II) of article XVIII of the state7
constitution and the recipients of limited gaming tax revenues attributable8
to extended limited gaming under section 9 (7) of article XVIII of the9
state constitution FUND RECIPIENTS based on the relative percentages in10
which each group of recipients shared in the decrease in total net gaming11
tax distributions from state fiscal year 2018-19 to state fiscal year12
2019-20. The commission may make any adjustments necessary to ensure13
that the final distributions to all recipients comply with constitutional14
requirements while achieving the intent of this subsection (7). So long as15
this subsection (7) remains in effect, the annual adjustments required16
under subsections (3)(b) and (4)(d) of this section are temporarily17
superseded by the specific allocations to implement the constitutional18
annual adjustment made pursuant to this subsection (7).19
(II) As used in this subsection (7)(b), "limited gaming tax20
revenues attributable to extended limited gaming" means that portion of21
total limited gaming tax revenues allocated pursuant to subsection22
(7)(b)(I) of this section to recipients of revenues derived from extended23
limited gaming under section 9 (7) of article XVIII of the state24
constitution.25
(c) (I) F
OR PURPOSES OF DETERMINING THE LIMITED GAMING TAX26
REVENUES ATTRIBUTABLE TO EXTENDED LIMITED GAMING , THE ADJUSTED27
SB22-216
-7- BASE FOR STATE FISCAL YEAR 2021-22 IS EQUAL TO ONE HUNDRED1
THIRTEEN MILLION NINE HUNDRED SEVENTY -THREE THOUSAND TWELVE2
DOLLARS, WHICH IS EQUAL TO THE ADJUSTED BASE FOR STATE FISCAL3
YEAR 2018-19 INCREASED BY TWO AND ONE-HALF PERCENT, WITH THAT4
SUM INCREASED BY THREE PERCENT , WITH THAT SUM INCREASED BY5
THREE PERCENT. ALL LIMITED GAMING TAX REVENUES FOR STATE FISCAL6
YEAR 2021-22 IN EXCESS OF THIS ADJUSTED BASE ARE LIMITED GAMING7
TAX REVENUES ATTRIBUTABLE TO EXTENDED LIMITED GAMING FOR STATE8
FISCAL YEAR 2021-22.9
(II) T
HE ADJUSTED BASE THAT IS ESTABLISHED IN SUBSECTION10
(7)(c)(I)
OF THIS SECTION CONSTITUTES THE ADJUSTED BASE THAT IS USED11
IN THE CALCULATION SET FORTH IN SUBSECTION (4)(d) OF THIS SECTION12
FOR PURPOSES OF DETERMINING THE LIMITED GAMING TAX REVENUES13
ATTRIBUTABLE TO EXTENDED LIMITED GAMING FOR STATE FISCAL YEAR14
2022-23,
AND FUTURE CALCULATIONS UNDER SUBSECTION (4)(d) OF THIS15
SECTION ARE DERIVED FROM THIS INITIAL AMOUNT AS SUBSEQUENTLY16
ADJUSTED.17
(d) I
F THERE IS A FISCAL YEAR WITH A SIGNIFICANT DECREASE IN18
TOTAL LIMITED GAMING TAX REVENUES , THEN:19
(I) B
EGINNING WITH THE NEXT FISCAL YEAR AND CONTINUING FOR20
EACH CONSECUTIVE FISCAL YEAR THEREAFTER WITH TOTAL LIMITED21
GAMING TAX REVENUES THAT ARE LESS THAN OR EQUAL TO THE RECENT22
TOTAL LIMITED GAMING TAX REVENUES PEAK , THE ANNUAL GROWTH OR23
DECLINE IN TOTAL GAMING TAX DISTRIBUTIONS IS ALLOCATED BETWEEN24
THE LIMITED GAMING FUND RECIPIENTS AND THE EXTENDED LIMITED25
GAMING FUND RECIPIENTS BASED ON THE RELATIVE PERCENTAGES IN26
WHICH EACH GROUP OF RECIPIENTS SHARED IN THE DECREASE IN TOTAL27
SB22-216
-8- NET GAMING TAX DISTRIBUTIONS FROM THE FISCAL YEAR WITH THE1
RECENT TOTAL LIMITED GAMING TAX REVENUES PEAK TO THE FISCAL YEAR2
WITH A SIGNIFICANT DECREASE IN TOTAL LIMITED GAMING REVENUE .3
(II) (A) F
OR PURPOSES OF DETERMINING THE LIMITED GAMING TAX4
REVENUES ATTRIBUTABLE TO EXTENDED LIMITED GAMING , FOR THE NEXT5
FISCAL YEAR IN WHICH TOTAL LIMITED GAMING REVENUES EXCEED THE6
RECENT TOTAL LIMITED GAMING TAX REVENUES PEAK , THE ADJUSTED7
BASE FOR THE FISCAL YEAR IS EQUAL TO THE RECENT TOTAL LIMITED8
GAMING TAX REVENUES PEAK INCREASED BY THREE PERCENT OR THE9
ACTUAL PERCENTAGE INCREASE OF TOTAL LIMITED GAMING REVENUES10
FOR THE FISCAL YEAR ABOVE THE RECENT TOTAL LIMITED GAMING11
REVENUES PEAK, WHICHEVER PERCENTAGE IS LESS. FOR THIS NEXT FISCAL12
YEAR, ALL LIMITED GAMING TAX REVENUES IN EXCESS OF THIS ADJUSTED13
BASE ARE LIMITED GAMING TAX REVENUES ATTRIBUTABLE TO EXTENDED14
LIMITED GAMING FOR THE FISCAL YEAR.15
(B) T
HE ADJUSTED BASE THAT IS ESTABLISHED IN SUBSECTION16
(7)(d)(II)(A)
OF THIS SECTION CONSTITUTES THE ADJUSTED BASE THAT IS17
USED IN THE CALCULATION SET FORTH IN SUBSECTION (4)(d) OF THIS18
SECTION FOR PURPOSES OF DETERMINING THE LIMITED GAMING TAX19
REVENUES ATTRIBUTABLE TO EXTENDED LIMITED GAMING FOR THE FISCAL20
YEAR IMMEDIATELY FOLLOWING THE FISCAL YEAR SET FORTH IN21
SUBSECTION (7)(d)(II)(A) OF THIS SECTION, AND FUTURE CALCULATIONS22
UNDER SUBSECTION (4)(d) OF THIS SECTION ARE DERIVED FROM THIS23
INITIAL AMOUNT AS SUBSEQUENTLY ADJUSTED .24
(e) T
HE COMMISSION MAY MAKE ANY ADJUSTMENTS TO THE25
ALLOCATIONS SET FORTH IN THIS SUBSECTION (7) NECESSARY TO ENSURE26
THAT THE FINAL DISTRIBUTIONS TO ALL RECIPIENTS COMPLY WITH27
SB22-216
-9- CONSTITUTIONAL REQUIREMENTS WHILE ACHIEVING THE INTENT OF THIS1
SUBSECTION (7). SO LONG AS THIS SUBSECTION (7) REMAINS IN EFFECT,2
THE ANNUAL ADJUSTMENTS REQUIRED UNDER SUBSECTIONS (3)(b) AND3
(4)(d)
OF THIS SECTION ARE TEMPORARILY SUPERSEDED BY THE SPECIFIC4
ALLOCATIONS TO IMPLEMENT THE CONSTITUTIONAL ANNUAL ADJUSTMENT5
MADE PURSUANT TO THIS SUBSECTION (7).6
SECTION 4. Appropriation. (1) For the 2022-23 state fiscal7
year, $1,500,000 is appropriated to the department of higher education for8
use by history Colorado. This appropriation is from the state historical9
society strategic initiatives fund created in section 24-80-215, C.R.S. To10
implement this act, the state historical society may use this appropriation11
for programs and activities that strengthen the history Colorado's financial12
position and expand its impact on the people of the state.13
(2) For the 2022-23 state fiscal year, $800,000 is appropriated to14
the department of higher education for use by history Colorado. This15
appropriation is from the museum and preservation operations account of16
the state historical fund created in section 44-30-1201 (5)(c)(I)(B), C.R.S.17
To implement this act, history Colorado may use this appropriation as18
follows:19
(a) $150,000 for central administration;20
(b) $160,000 for collections and curatorial services;21
(c) $70,000 for the history Colorado center;22
(d) $345,000 for statewide programming; and23
(e) $75,000 for the office of archaeology and historic24
preservation.25
SECTION 5. Safety clause. The general assembly hereby finds,26
SB22-216
-10- determines, and declares that this act is necessary for the immediate1
preservation of the public peace, health, or safety.2
SB22-216
-11-