Texas lawmakers are actively deliberating the legalization of gambling, including casino gaming and sports betting. In November of 2024, Joint Resolution 16 (SJR16) was introduced and now has continued to be considered in the 2025 legislative session. This resolution aims to amend the Texas Constitution to authorize casino gaming at destination resorts and sports wagering. The resolution also established the Texas Gaming Commission to regulate casinos/gambling. The proposed changes are intended to foster economic development, create jobs, and generate tax revenue for education and public safety programs.
DraftKings and FanDuel have been pushing lawmakers on sports betting for several years considering the huge fan bases through out the state. The demand is there and that is the reason online casino's have seen extraordinary growth. GGBET Casino, which offers online slots, poker, roulette and other common games, benefits from customers not able to use their money in their own states or countries.
Texas maintains stringent regulations on gambling, primarily governed by Section 47.02 of the Texas Penal Code. This statute criminalizes:
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Betting on Games or Contests: Making a bet on the partial or final result of a game or contest, or on the performance of a participant in such events.
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Political Bets: Placing a bet on the result of any political nomination, appointment, or election, or on the degree of success of any nominee, appointee, or candidate.
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Playing Gambling Games: Playing and betting for money or other items of value at any game played with cards, dice, balls, or any other gambling device.
However, there are exceptions to these prohibitions. For instance, the state lottery and certain types of animal racing are permitted. This is a lucrative business for the state. The Texas Comptroller has stated that the lottery is a "$63 billion-a-year business".
Additionally, a defense to prosecution exists if the gambling occurs in a private place, no person receives any economic benefit other than personal winnings, and the risks of losing and chances of winning are the same for all participants.
Despite these exceptions, Texas remains one of the strictest states regarding gambling activities. Currently, Texas residents can only legally gamble by traveling to neighboring states such as Louisiana, Oklahoma, and New Mexico. Those state benefit greatly from Texas Gamblers. According to Axios, Texans are betting billions of dollars illegally and in other states.
Arguments For and Against
Proponents of legalization highlight significant economic benefits. A study estimates that legalizing online sports betting in Texas could generate approximately $363 million annually in direct tax revenue, supporting public services such as education, healthcare, and infrastructure. When talking about infrastructure, you can see examples of what has been built close to the Texas border in Durant, Oklahoma and in Louisiana.
Additionally, the Texas Public Policy Foundation reports that legalizing casino gambling could result in over $2.6 billion in annual economic output, with non-gaming tax revenues expected to total $24.3 million per year.
Public opinion also favors legalization. A recent University of Houston survey indicates that 73% of Texans support legalizing destination resort casinos, 60% back online sports betting, and 56% approve of sportsbooks at professional sports venues.
Despite the economic arguments, concerns persist regarding the social implications of expanded gambling. The Texas Public Policy Foundation warns that increased gambling could lead to higher rates of addiction, mental health issues, and crime. Additionally, critics argue that gambling is economically regressive, as it may not contribute to long-term economic growth and could hinder it.
What's Next?
As of February 2025, SJR16 has been referred to the State Affairs Committee for further consideration. The resolution's progress will depend on legislative debates, public input, and potential amendments. If approved, it would require a two-thirds majority in both legislative chambers and voter approval in a statewide referendum.
