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So Many Texas Gambling Bills, March 22 Public Hearing

Written by Jennifer Newell
Last updated on
Jennifer Newell

This is the year that Texas lawmakers decided to throw almost every kind of gambling bill at the wall to see what sticks. There are bills about commercial casinos, tribal gaming, sports betting, and poker rooms. Most of them have companion bills so both houses in the state legislature have the chance to move them forward.

The way it appears in mid-March, all of the bills are alive.

Better yet, some of the bills are set for a public hearing on March 22.

Let’s start with the bills that have the most promise for live poker in Texas, ones that could directly impact poker rooms and card clubs throughout the state. A law legalizing these rooms at the state level is necessary, as all of the clubs currently operate in grey areas of the law. Further, some local governments and city councils have taken it upon themselves to decide that they don’t want cardrooms. And they have ordered shutdowns and raids, even taken the clubs to court in some cases.

Everything is up in the air. And it is a mess – or has the potential to be – at a moment’s notice or on the whim of a city councilperson or local sheriff.

A statewide bill legalizing poker rooms is necessary for everyone’s safety and security, as well as for a thriving business to grow.

Wu Finds Companion Author

When we checked in last month, there was a bill introduced by State Representative Gene Wu to clarify gambling laws, specifically to classify membership/social clubs as private residences, thereby legalizing those poker games. Since then, there has been progress, including a companion bill in the Senate introduced by Borris Miles.

HB1601 introduced by Rep. Gene Wu (D) January 25

—March 7:  first read and referred to Licensing & Administrative Procedures Committee

SB2100 introduced by Sen. Borris Miles (D) March 9

“Relating to defenses to prosecution of the criminal offenses of gambling, keeping a gambling place, and possession of a gambling device, equipment, or paraphernalia and county regulation of poker clubs; providing civil penalties; authorizing an occupational license; authorizing a fee; creating a criminal offense.”

New Lobbying Group Sponsors Bill

The latest bill regarding poker is the result of poker players and poker club owners banding together to create a lobbying organization in Texas. The effort – called Texans for Texas Hold’em – is led by Doug Polk, one of the owners of The Lodge in Round Rock, Texas, near Austin.

The Lodge teamed up with the owners of Champions Club in Houston, San Antonio Card House in San Antonio, and Texas Card House with five locations from Dallas to Austin and Houston. They created a poker bill to clarify the meaning of “private place” in the state’s gambling law, along with other phrases like “economic benefit” and “personal winnings,” all of which have been roughly translated and used by different jurisdictions to mean different things. They worked with State Representative Ryan Guillen to introduce a House bill, and he brought in Senator Jose Menendez to bring in a companion bill.

HB2345 introduced by Rep. Ryan Guillen (D) February 15

—March 9:  first read and referred to Licensing & Administrative Procedures Committee

SB1681 introduced by Sen. Jose Menendez (D) March 9

—March 16:  first read and referred to State Affairs Committee

“Relating to definitions for the purposes of gambling criminal offenses.”

Casino and Sports Betting Bills

As with any state, it seems, sports betting is more likely to be legalized than casinos or poker rooms. However, casino advocates and lobbyists have been throwing money into Texas to legalize land-based casinos for years, more so in recent than years than ever in the past.

These bills appear to be tied, though, with several of them scheduled for a public hearing on March 22. Most of them have made progress, regardless of their scheduling.

Daily Fantasy Sports

While Rep. Guillen is working to legalize poker rooms, he also wants to change the language of the current gambling laws to permit daily fantasy sports contests. This is separate from sports betting and casinos, and Guillen is making progress, as his bill is one of those slated for the upcoming public hearing.

HB2142 introduced by Rep. Ryan Guillen (D) February 9

—March 9:  first read and referred to State Affairs Committee

—March 22:  scheduled public hearing

*no companion bill

“Relating to definitions for purposes of gambling criminal offenses.”

Sports Betting Bills

These bills are intertwined. One set of bills from Texas State Representative Jeff Leach and Senator Lois Kolkhorst will propose a constitutional amendment to legalize sports wagering. The other set of bills by the same team details the change to current gambling laws that will decriminalize sports betting, establish permits and licenses, and lay out the fees and penalties. All of the bills go hand-in-hand and are set for the March 22 public hearing.

The first set calls for the constitutional amendment.

HJB102 introduced by Rep. Jeff Leach (R) February 6

—March 3:  first read and referred to State Affairs Committee

—March 22:  scheduled public hearing

SJR39 introduced by Sen. Lois Kolkhorst (R) February 6

—March 1:  first read and referred to State Affairs Committee

“Proposing a constitutional amendment authorizing the legislature to legalize wagering in this state on certain sporting events.”

The second set  of bills outlines the proposed sports betting regime.

HB1942 introduced by Rep. Jeff Leach (R) February 6

—March 8:  first read and referred to State Affairs Committee

—March 22:  scheduled public hearing

SB715 introduced by Sen. Lois Kolkhorst (R) February 6

—March 1:  first read and referred to State Affairs Committee

“Relating to the regulation of sports wagering; requiring occupational permits; authorizing fees; imposing a tax; decriminalizing wagering on certain sports events; creating criminal offenses; providing administrative penalties.”

Casino Bills

The issue of casinos is one that has been proposed for years but rarely made it to bill form. Las Vegas Sands is one of the most staunch supporters of Texas land-based casinos in major cities, sending lobbyists to the halls of the Texas legislature by the dozens. The primary opposition to Texas casinos comes from Native American tribes that operate casinos just over the Oklahoma border.

This year, more than a few lawmakers are willing to discuss some bills.

The primary bill is one proposing five casinos, one each in Dallas, El Paso, Galveston, Harris, and Bexar Counties. Interestingly, though, there is no companion bill for this.

HJR105 introduced by Rep. Harold Dutton Jr (D) February 7

—March 3:  first read and referred to State Affairs Committee

*no companion bill

“Proposing a constitutional amendment authorizing the operation of five casinos in this state by licensed persons in certain counties that have approved casino gaming to provide funding for public education; providing for the requirement of occupational licenses, the authorization of fees, the imposition of a tax, and the provision of criminal penalties.”

Then there is a set of bills specific to authorizing the Kickapoo Traditional Tribe to establish a gaming compact with Texas.

HJR84 introduced by Rep. Eddie Morales (D) January 19

—March 3:  first read and referred to State Affairs Committee

SJR30 introduced by Sen. Roland Gutierrez (D) January 20

—March 17:  first read and referred to State Affairs Committee

“Proposing a constitutional amendment authorizing the Kickapoo Traditional Tribe of Texas to conduct gaming by executing a gaming compact with this state; providing for occupational licensing under the compact; limiting certain taxes and fees.”

Texas Gaming Commission

The two bills calling for the creating of the Texas Gaming Commission to oversee and regulate all of the state’s proposed gambling are not exactly companion bills. The Senate joint resolution started its path in November of last year and had a tribal gaming component. The newer one introduced in the House adds in more greyhound and horse racing components and calls for a public vote on the issue.

Both bills, however, have been relegated to the same committee, where they await action. For the sake of simplicity, we’ll list the summary of the most recent bill only.

SJR17 introduced by Sen. Carol Alvarado (D) November 2022

—February 15:  first read and referred to State Affairs Committee

HJR97 introduced by Rep. Charlie Geren (R) February 2023

—March 3:  first read and referred to State Affairs Committee

“Proposing a constitutional amendment to foster economic development and job growth, provide tax relief and funding for education and public safety programs, and reform and support the horse racing industry by authorizing casino gaming at destination resorts, creating the Texas Gaming Commission, authorizing sports wagering, requiring a license to conduct casino gaming, and requiring the imposition of a gaming and sports wagering tax and license application fees.”

Public Hearing March 22

As many bill status updates have mentioned it, there is a public hearing set for the House State Affairs Committee on March 22. There will be a live broadcast of it from the time it starts at 10:30am CT on that Wednesday.

 

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