Even though the U.S. has experienced a wave of states legalizing sports betting after the Supreme Court removed the ban on sports wagering in 2018, Texas remains a different tale. The prospect of legal sports betting in Texas continues to be an intense debate. This is especially a product of lawmakers being challenged with competing views on the potential benefits and drawbacks of legalizing sports betting. There have been several high-profile legislative pushes in Texas in recent years, but so far, Texas continues to remain one of few states where sports betting is not yet legal. However, this status could change since various proponents continue to push for legislative approval.
The current state of sports betting in Texas
As of 2024, sports betting continues to be illegal in Texas. This is despite various efforts to change this. The current laws in Texas does not permit any form of sports gambling, neither in-person or online. There have been legislative attempts to bring this issue to voters, but currently, if a resident wants to place legal sports bets, they must do so outside the state.
If you want to stay updated on the latest information about laws and regulations related to sports betting in Texas, or if you are curious to stay put on sports betting in Texas in the sense of current sports betting sites available, you can stay updated online. Here, you can both read the latest updates on the regulatory framework, while also find an overview of the current online sports betting sites available to people living in Texas. You can also stay updated on the latest news on U.S. politics in general, as legislative changes in one state can create spill-over effects in other states.
Big progress in 2023
In 2023, steps towards legalizing sports betting were taken. The Texas House made history since they passed the House Joint Resolution 102 (HJR 102) and its companion, House Bill 1942 (HB 1942). This would have allowed Texans to vote on whether to legalize sports betting through a constitutional amendment. This ended up being the first time sports betting measures has passed both chambers of the Texas Legislature.
The proposal was supported by a coalition of Texas professional sports teams and betting platforms. They cited that they needed to regulate the vast illegal sports betting market, which is still currently existing in the state. But despite this progress in 2023, the bills stalled in the Texas Senate. Lt. Gov. Dan Patrick has become a vocal opponent of gambling expansion, and his opposition coupled with general lack of support among Senate Republicans, has stalled efforts to move forward the legalization. Proponents of the legalization, including Rep. Jeff Leach, have argued that sports betting would bring both regulation and generate revenue for the state through taxes on betting operators.
Legislative proposals and their challenges
HB 1942, being the key piece of legislation, outlined a framework for regulating sports betting in Texas. With this bill, the Texas Lottery Commission would be responsible for overseeing the process. It would allow up to 15 licenses for online sports betting platforms, and professional sports franchises such as Dallas Cowboys and Texas Rangers would be eligible to partner with these platforms. Additionally, operators would be subject to a 15% tax on adjusted gross wagering revenue, which is an increase from the 10% original proposal.
However, the process of passing a law to legalize sports betting in Texas has not been straightforward. Since the state at current does not allow sports betting at all, any changes to the legal framework would require constitutional amendment. In other words, this would need approval from two-thirds of both the Texas House and Senate, before any changes would be up for public vote. Even though the House has shown it is able to meet this threshold, the Senate continues to be a big hurdle.
Public opinion and the role of Texas voters
There is no doubt that the political challenges remain significant. However, there seems to be a shift in public opinion in favor of legalizing sports betting. According to a recent poll, 47% of Texans were found to be supporting legalizing online sports gambling, compared to 37% who said they were against it. Supporters especially argue that voters should have the final say on whether sports betting should be allowed, and several lawmakers are echoing this sentiment in decent debates.
During a House debate in 2023, Rep. Leach, who is one of the leading proponents of the sports betting bill, emphasized the importance of letting the decision rest on the people of Texas. If legislation would eventually pass the Senate and receive approval from voters, Texas would join over 30 other states that has already legalized sports betting since the federal ban was removed in 2018. It is especially the potential for significant tax revenue and the ability to protect consumers in an existing illegal market which is making legalizing sports betting an appealing proposition for many states.
Concluding remarks
The future of sports betting in Texas remains unclear. The support from the public and from certain sectors is growing, but there are still some political hurdles standing in the way. However, the 2023 vote in the Texas House continues to be a hopeful milestone, which indicates that it could be possible for sports betting to become legalized in Texas in the near future.
