Colorado Politics

Colorado legislature should not reverse lottery modernization | OPINION

By Bill Clayton

Four years ago, the Colorado General Assembly passed bipartisan legislation to modernize the state’s lottery system and strengthen funding for Colorado’s outdoor projects and open spaces. Lawmakers recognized a simple reality: consumer behavior has evolved. Most Coloradans no longer rely on cash for everyday transactions. If the lottery was to remain viable and sustainable, it needed to adapt accordingly.

The legislature gave clear statutory direction. The Colorado Lottery Commission followed it.

Over the course of nearly four years, the commission conducted research, consulted national experts in responsible gaming, engaged stakeholders, held public hearings and complied fully with Colorado’s open rulemaking requirements. The process was deliberate, transparent and grounded in public input. The resulting rules permitted iLottery and cashless purchases while incorporating safeguards designed to promote responsible play and consumer protection.

Now, Senate Bill 26-117 seeks to overturn both the rules and the 2022 law that authorized modernization. The bill would reinstate a cash-only requirement and prohibit online lottery sales altogether.

Supporters of the reversal have suggested the rules were adopted “under the radar.” The record does not support that claim. The modernization bill was debated publicly and passed with bipartisan support. The subsequent rulemaking process followed established administrative procedures, including notice, hearings, expert testimony and extended opportunities for public comment. The commission acted within its statutory authority and fulfilled its legislative mandate.

Concerns have also been raised about financial responsibility. However, lottery purchases made by credit card are treated as cash advances, subject to higher limits and safeguards. Moreover, Colorado’s responsible gaming framework is widely regarded as one of the strongest in the nation. The modernization effort was built around maintaining — and in some respects strengthening — those protections.

At its core, this debate is about more than payment methods. It is about regulatory stability and the integrity of the legislative process. When lawmakers pass a bipartisan reform, and an agency spends years implementing it through a transparent and lawful process, reversing course should require clear evidence of harm or failure. That case has not been made.

Modernizing the lottery was not about expanding gambling indiscriminately. It was about aligning public policy with modern consumer practices while preserving funding for Colorado’s treasured outdoor areas. The commission carried out that responsibility as directed.

Colorado should be cautious about undoing years of careful work without compelling justification. Public confidence in governance depends on consistency, transparency, and adherence to the rule of law — especially when the policy in question was the product of bipartisan consensus.

Bill Clayton is current vice chair of the Colorado Lottery Commission, on which he has served since December 2018.

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