A Denver district judge has dismissed a lawsuit filed by Gilpin County that alleged gambling regulators have for years misallocated casino- tax revenue.
Judicial review of final decisions of the Colorado Limited Gaming Control Commission “requires filing in the Colorado Court of Appeals,” Judge Catherine Lemon wrote in her Aug. 19 dismissal.
Gilpin County manager Roger Baker said the county, home to the gambling cities of Black Hawk and Central City, will probably take the case to the appeals court.
The county claimed in its lawsuit that it has been underpaid by about $14 million since 1992 — money that instead went to Teller County, the other Colorado county with casino gambling.
Colorado distributes a percentage of gaming funds to counties and cities in proportion to gross gambling revenue — which is total bets minus payouts — generated in their jurisdictions. Gilpin County argues that the funds should be allocated based on tax revenue.
Casinos pay taxes on a graduated scale, with properties that generate higher revenue paying higher tax rates. Since the largest operators are in Black Hawk, Gilpin County casinos generate about 90 percent of the state’s gambling-tax revenue. As such, Gilpin County believes it should receive 90 percent of funds allocated to counties. Instead, it garners about 80 percent. The funds are intended to help mitigate the impacts of gaming.
Andy Vuong: 303-954-1209, avuong@denverpost.com or
