Published on: April 23, 2026, 03:10h.
Updated on: April 23, 2026, 03:10h.
- Colorado’s lawmakers are in the process of revising sports betting regulations
- A proposed bill would prevent sportsbooks from restricting savvy bettors
- Amendments have ensured that proposition bets will stay in place
Current legislation in Colorado aims to transform the state’s sports betting landscape to benefit bettors, and it has now reached the full Senate for consideration.
Senate Bill 131, spearheaded by Sens. Matt Ball (D-Denver) and Byron Pelton (R-Logan), aims to curb what lawmakers deem “unfair practices” by Colorado sportsbooks. The bill is cosponsored in the House by Reps. Steven Woodrow (D-Denver) and Dan Woog (R-Boulder), and it recently passed through the Senate Appropriations Committee with a vote of 5-2.
The dissenting votes were cast by Vice Chair Jeff Bridges (D-Denver) and Sen. Scott Bright (R-Adams), who temporarily filled in for Pelton during the committee session.
SB131 emerged from the Senate Finance Committee in March and has now been brought to the Senate floor for discussion, where it was read without proposals for amendments this morning.
Retention of Proposition Bets
At the Appropriations Committee meeting on Tuesday, a proposal was put forth to keep proposition bets. The committee approved Amendment Number L7, addressing concerns about revenue impact.
By allowing prop bets, which pertain to individual player performances or specific game elements, the fiscal impact of SB131 on Colorado is estimated to decrease from a loss of $2.42 million to $800,000 for the 2026-27 period. Notably, the state will still face tax revenue losses due to the bill’s provisions limiting the number of deposits allowed per person to five within a 24-hour timeframe.
One of the pivotal aspects of SB131 is its restriction on sportsbooks from capping the bets of savvy bettors, defined as those who consistently win. The proposal stipulates that sportsbooks can only limit betting activity if it indicates suspicious behavior or a gambling addiction. While a maximum bet limit per line is permissible, individual account limits cannot be enforced.
Additionally, SB131 will prohibit sportsbooks from delivering mobile alerts and text messages that promote betting or deposits. Oddsmakers will also be required to refrain from advertising “enhanced payout promotions or betting instructions” in their marketing strategies.
Ban on Sports Betting Advertising
For those uninterested in sports betting, the new Colorado legislation aims to reduce the overwhelming advertising by sportsbooks.
Television broadcasts in the state will no longer be permitted to feature advertisements from sports betting entities from 8 AM to 10 PM daily. This restriction will also apply to all live sports events.
In 2023, sports betting platforms in Colorado registered over $6.3 billion in online wagers, reflecting a remarkable 130% increase since 2020. Colorado imposes a 10% tax on the gross revenue generated by sportsbooks, which is the net amount after winning bets are paid out.