Texas state Rep. Eddie Lucio III recently filed HB 1275, a bill that would legalize online sports betting. The measure would require approval of two-thirds of the House and Senate, then the proposed constitutional amendment would be on the statewide ballot this Novem211
ber. If it passes, sports betting would launch on January 1, 2020.
Under the bill, licenses would cost $250,000 with renewal fees of $200,000. Only five licenses would be available. Sports betting handle would be taxed at 6.25 and paid monthly by the permit holder. Players in Texas would be able to wager on professional sports events and U.S. collegiate events, except for games that take place in Texas or involve a Texas-based team.
According to a 2017 study commissioned by the American Gaming Association, Texas could have the fourth largest sports betting market in the U.S., behind California, Florida, and New York. Eilers & Krejcik Gaming said Texas would be the second-largest sports betting market in the U.S. An Oxford Economics study indicated sports wagering handle could reach $9 billion through retail-only sports books and generate $18 billion if online and mobile betting are included. New Mexico is the only neighboring state that offers legal spots betting.
Governor Greg Abbott is on record opposing any expansion of legal gambling in Texas. In fact, in 2015, Abbott asked state lottery officials to stop collecting information about potential sports betting games because “state laws on gaming are to be viewed strictly as prohibitive to any expansion of gambling.” University of Houston Political Science Professor Brandon Rottinghaus recently told the Houston Chronicle, “We’re more likely to see tofu replacing chili as the state’s official dish before we see a major gaming expansion in Texas, assuming the Republicans still control state government.’
Current Texas law bans casino gambling and fantasy sports, but does allow bingo, lottery and betting on horseraces.
