Colorado voters may be asked to let more money flow to water projects by allowing the state to keep all of the sports betting tax revenue it collects, if a measure referring the issue to the November ballot is approved by lawmakers. House Bill 1436 … collects a 10% tax on the proceeds of licensed sports betting. Some of the money is used to cover the cost of regulating betting and the rest, up to $29 million total, is funneled toward water projects. In the event tax collections exceed $29 million, the legislature decides how to refund the money under the Taxpayer’s Bill of Rights.