Texas State Rep. Eddie Lucio III recently added a provision to a bill that would lower the boom on illegal gambling that takes players and profits away from charitable bingo. Under Lucio’s amendment, communities that ignore illegal gaming would not be allowed to claim the prize fees they might otherwise receive from charitable bingo.
Attorney and charitable bingo lobbyist Steve Bresnen said, “If law enforcement is doing their job, enforcing the law, there’s no reason to take the money from them. If they aren’t, the money stays with the charities. Without illegal gaming, charitable bingo will thrive.”
The Texas Lottery Commission oversees charitable bingo. Lucio’s amendment would require the commission to determine if illegal gambling is occurring in the state. If so, local law enforcement would be responsible for shutting it down. However, if it does not, groups running charitable bingo in those communities would no longer send prize fees collected to those cities or counties but would direct that money to the charity’s general fund.
Lucio’s proposal was attached to state Rep. Senfronia Thompson’s House Bill 2577, which would set up a bingo advisory committee, curb illegal gambling and require refunds of certain licensing and registration fees. Thompson’s measure now heads to the Senate.
State-regulated bingo was approved in 1981 to raise funds for Texas charities. Since then the games have raised more than $1 billion. According to a report from the Charitable Bingo Operations Division of the Lottery Commission, in 2016, Texas charitable bingo sales surpassed $761 million, with more than $579 million paid to players. In addition, $19.1 million was sent to the state’s general revenue fund and $13.9 million to cities and counties that share in prize fees.
Charitable bingo competes with casinos in nearby states as well as the Texas Lottery. For years the industry has battled moves to expand gambling in Texas, including allowing video machines at horse racetracks and legalizing eight-liners, electronic slot-like devices that are legal if they pay out non-cash prizes worth less than $5. Gas stations and other establishments are occasionally raided by law enforcement officials who confiscate the machines. “In many areas of Texas, charitable bingo competes against illegal gambling conducted in game rooms using machines that simulate slot machines and people paying the winners in cash,” Lucio said.
The Texas legislative session will end on Memorial Day, May 29.
