Sports Betting in Texas: What You Need to Know
Currently, sports betting in Texas is not legal, with strict gambling laws rooted in the state’s founding constitution. However, there have been several strong pushes to legalize sports betting in the Lone Star State, with attempts to pass legislation in 2019, 2021, and 2023.
The Sports Betting Alliance, supported by some of the richest players and biggest names in sports, such as the Dallas Cowboys and Houston Astros, has been lobbying aggressively for legalization. Despite these efforts, one of the primary issues blocking the legalization of sports betting in Texas is the requirement for a public referendum to ratify any bill, even if it clears the House and Senate. This means the next opportunity for legalization will not come until 2025.
The Push for Change
Texas sports betting is not yet legal, but that hasn’t stopped big names in the state from pushing hard for change. Major players, including the Dallas Cowboys and Houston Astros, are leading the charge to legalize online and retail betting. The Sports Betting Alliance, backed by pro sports teams and sportsbook operators, has been lobbying aggressively.
Attempts to pass legislation have been made in 2019, 2021, and again in 2023, but Texas’ strict stance on gambling, rooted in its constitution, has made it difficult. Influential figures like Mark Cuban and various sports organizations continue to advocate for change, keeping the future of Texas sports betting highly anticipated.
History of Sports Betting in Texas
Texas has made several attempts to legalize sports betting since the 2018 overturning of PASPA (the Professional and Amateur Sports Protection Act). Lawmakers introduced various bills, but opposition from key figures like Lieutenant Governor Dan Patrick has consistently blocked progress. Despite bipartisan support and backing from major sports teams, efforts to legalize sports betting have stalled in the state legislature. Below, we’ve compiled a history of attempts to legalize sports betting in Texas.
2019 to 2020
- May 14, 2018: The US Supreme Court overturns PASPA, allowing states, including Texas, to pass sports betting legislation.
- January 25, 2019: Representative Eddie Lucio III introduces HJR 61 and HB 1275, the first sports betting bills in Texas after the PASPA decision. Neither bill makes it to a vote.
- November 10, 2020: Representative Joe Deshotel proposes HB 477, allowing retail gambling at nine locations in Texas, including sports betting.
2021
- January 16, 2021: Representative Harold Dutton introduces HB 1121, which includes a 6.25% tax rate and application fees for sportsbooks.
- February 8, 2021: Five Texas sports franchises and major sports betting operators form the Sports Betting Alliance to support legalization.
- May 31, 2021: The Texas legislative session ends without any progress on sports betting, as all bills fail to receive a vote.
2022
- April 22, 2022: Democratic nominee for Texas Governor, Beto O’Rourke, publicly voices his support for legalized casino gambling and sports betting.
- November 11, 2022: Senator Carol Alvarado pre-files SJR 17, a proposal to amend the constitution to allow casino gambling.
2023
- February 6, 2023: HB 1942, a sports betting bill, is introduced with support from major Texas sports teams.
- May 11, 2023: HJR 102, a resolution proposing a constitutional amendment to legalize sports betting, passes the Texas House but is blocked in the Senate by Lieutenant Governor Dan Patrick.
Legality of Sports Betting in Texas
Texas currently prohibits both retail and online sports betting, but recent movements show growing support for legalization. Major sports teams, legislative efforts, and partnerships with sportsbooks indicate a shift in momentum. As neighboring states profit from legal betting, Texans are eager for changes that could expand their gambling options.
Retail Sports Betting
Sports betting is currently illegal in Texas, with no retail or online options available. However, pressure is mounting to change that. Major teams like the Houston Astros and Austin FC are advocating for new laws to allow sportsbooks at stadiums. They’ve partnered with big names like BetMGM and PointsBet to push for retail betting.
Texas shares borders with Louisiana, New Mexico, and Arkansas, all of which allow sports betting. Many Texans often cross state lines to place bets legally. While in-person horse racing betting is legal at Texas racetracks, the push for sports betting at stadiums could pave the way for the first legal retail betting options in the state.
Online Sports Betting
Online sports betting remains illegal in Texas, though there has been a recent movement toward legalization. In 2023, sports betting bill HB 1942, backed by major sports teams, was introduced in the state legislature. While it passed in the House, Lt. Gov. Dan Patrick blocked it in the Senate, citing a lack of GOP support.
Despite bipartisan efforts, strong conservative opposition continues to stall any major progress. Texas Republicans, including Gov. Greg Abbott, have historically opposed legal sports betting. However, pressure from neighboring states where sports betting is legal and increasing public support may eventually force change.
In the meantime, Texans can participate in daily fantasy sports on platforms like DraftKings and FanDuel, which have accepted contest entries for Texas players since 2018. Numerous social betting sites also accept registrations from players in the Lone Star State, although these do not offer wagers for real money.
Future of Texas Sports Betting
The future of sports betting in Texas hinges on the growing momentum for legalization. Major players like the Dallas Cowboys and Houston Astros are advocating for change. Despite previous legislative efforts faltering, optimism remains as public support for sports betting increases.
With surrounding states like Louisiana and New Mexico reaping the benefits of legal sports betting, Texas faces pressure to follow suit. The upcoming 2025 legislative session presents the next significant opportunity for lawmakers to push for a sports betting bill. If Texas legalizes sports betting, it could unlock one of the largest markets that US online sportsbooks would likely dominate, creating immense revenue potential.
As influential figures like Mark Cuban voice support for legalization, the path to a thriving sports betting industry in Texas appears increasingly possible. Advocates must continue rallying support among lawmakers and the public, signaling a pivotal shift in the state’s gambling landscape. Texans remain eager for change, ready to embrace a vibrant sports betting market when the time comes.