Colorado § 44-30-1503 - Licenses - rules.

§ 44-30-1503. Licenses - rules.

(1) (a) The commission shall issue, deny, suspend, revoke, and renew sports betting licenses pursuant to subsection (3) of this section and rules adopted by the commission and may assess fines and penalties for violations of this part 15. The commission's licensing rules must include requirements relating to the financial responsibility of the licensee, the licensee's source of revenue for its sports betting operations, the character of the licensee, the trustworthy operation of the sports betting activity sought to be licensed, and other matters necessary to protect the public interest and trust in sports betting. Suspension is limited to circumstances in which the licensee's actions appear contrary to the public interest or tend to undermine public trust in the integrity of sports betting.

(b) The commission's rules must require that licenses be prominently displayed in areas visible to the public.

(2) (a) A license shall be revoked upon a finding that the licensee has:

(I) Provided misleading information to the division or commission;

(II) Been convicted of a felony or any gambling-related offense;

(III) Become a person whose character is no longer consistent with the protection of the public interest and trust in sports betting; or

(IV) Except as required by section 44-30-1516, intentionally refused to pay cash winnings in the licensee's possession to a person entitled to receive the cash winnings under this part 15.

(b) A license may be suspended, revoked, or not renewed for any of the following causes:

(I) A delinquency in remitting money rightfully owed to players, contractors, or others involved in sports betting;

(II) Failure to ensure the trustworthy operation of sports betting; or

(III) Any intentional violation of this part 15 or any rule adopted pursuant to this part 15.

(3) Licensees may include individuals, firms, associations, or corporations, whether for profit or nonprofit, but the following are ineligible for a license under this part 15:

(a) A person who has been convicted of a gambling-related offense, notwithstanding section 24-5-101;

(b) A person who is or has been a professional gambler or gambling promoter;

(c) A person who has engaged in bookmaking or any other form of illegal gambling, including any sports betting operation whose wagering activities did not result in prosecution but that the commission finds violated state or federal law;

(d) A person who is not of good character and reputation, notwithstanding section 24-5-101;

(e) A person who has been convicted of a crime involving misrepresentation, notwithstanding section 24-5-101;

(f) A firm or corporation in which a person described in subsections (3)(b) to (3)(e) of this section has a proprietary, equitable, or credit interest of ten percent or more;

(g) An organization in which a person described in subsections (3)(b) to (3)(e) of this section is an officer, director, or managing agent, whether compensated or not; or

(h) An organization in which a person described in subsections (3)(b) to (3)(e) of this section is to participate in the management or promotion of sports betting.

(4) In addition to the persons specified in subsection (3) of this section as ineligible for a license, the commission may determine the following to be ineligible for a license under this part 15:

(a) A person who has been convicted of a felony or a crime involving fraud, notwithstanding section 24-5-101;

(b) A firm or corporation in which a person described in subsection (4)(a) of this section has a proprietary, equitable, or credit interest of ten percent or more;

(c) An organization in which a person described in subsection (4)(a) of this section is an officer, director, or managing agent, whether compensated or not; or

(d) An organization in which a person described in subsection (4)(a) of this section is to participate in the management or promotion of sports betting.

(5) Repealed.

Source: L. 2019: Entire part added, (HB 19-1327), ch. 347, p. 3218, § 12, effective August 2. L. 2022: (2)(a)(IV) amended, (HB 22-1412), ch. 405, p. 2876, § 10, effective July 1, 2023. L. 2024: (5) repealed, (HB 24-1450), ch. 490, p. 3431, § 97, effective August 7.