This creative tax is a good bet for Colorado’s water future. Here’s why.

Here’s a pop quiz: What are two finite resources in the West?

If you answered money and water, you win. This is especially true when it comes to money for water in the state of Colorado, where hurdles for raising new funds are particularly high.

It’s a rare opportunity when new money bubbles up for water projects in the Centennial State. But that is exactly what is happening as a result of a bill approved this week with strong bipartisan support in the Legislature.

The bill, HB 1327, proposes to raise new money to protect and conserve water in Colorado by legalizing sports betting and imposing a 10% tax on its revenue. But legislative approval isn’t the final play. State legislators are handing off the measure to voters for a final decision at the ballot box this fall.

Down payment on much larger need

The measure could raise roughly $10 million to $20 million a year – a down payment on the $100 million that Colorado’s Water Plan is estimated to need annually for the next 30 years to secure the state’s water into the future. Colorado’s population is projected to double by 2050. But at current usage rates, the state’s water supply will not keep up unless Colorado establishes a dedicated public funding source to protect it. Colorado leaders are making a safe bet to ensure a more resilient water future for our thriving communities, agriculture, businesses, recreation and wildlife Click To Tweet

Since the water plan was developed in 2015, Environmental Defense Fund and partners have been looking for creative ways to fund and implement it. Nearly a year ago, a Supreme Court ruling authorized states to legalize sports betting. Since then, 40 states and the District of Columbia have proposed or enacted laws to legalize, study or regulate sports betting, according to the National Conference of State Legislatures.

Deep bench

EDF has been a key player on a large, diverse team of supporters of the Colorado measure, including the Colorado Cattlemen’s Association, Colorado Municipal League, Colorado River District, Denver Metro Chamber of Commerce, Denver Water, Conservation Colorado and Western Resource Advocates.

Revenue would go to a Water Plan Implementation Cash Fund governed by the Colorado Water Conservation Board to support a variety of water projects, including conservation, river health, storage, water education and outreach.

New Colorado law may help ensure a more resilient water future for our thriving communities, agriculture, businesses, recreation and wildlife.

Funds from the measure would make an immediate impact across the state. For instance, in Durango, $500,000 would fund the first phase of restoration of the watershed damaged in the 416 fire, which burned 54,000 acres of mostly Forest Service lands last year. Steamboat Springs could begin a $4 million floodplain restoration. Both projects would protect vulnerable water supplies.

Winning voter support

Regardless of party affiliation or geographic location, Colorado leaders realize the importance of creating secure water supplies now and in the future for our thriving communities, agriculture, businesses, recreation and wildlife.

We are hopeful voters recognize the urgent need to protect our most precious resource, water, and that this measure will be a slam dunk at the ballot box this fall.