Texas Unlikely to Legalize Sports Betting Before 2027 Due to Growing Opposition

The ongoing efforts to legalize sports betting in Texas are facing significant challenges, largely due to intensified lobbying and campaign contributions aimed at legalizing casinos in the state. These actions have invigorated Texas’ anti-gaming community, making it increasingly unlikely that the Lone Star State will legalize sports betting in the near future.

Lobbying Efforts and Their Impact

A recent report from Eilers & Krejcik Gaming, a Southern California advisory firm, highlights the growing opposition to gambling in Texas. The firm, which regularly analyzes the sports betting landscape across the U.S., has removed the efforts of Las Vegas Sands Corp., which has been persistently pushing for the legalization of casinos in Texas over the past decade.

Las Vegas Sands has invested millions of dollars into these initiatives, but their efforts have consistently failed to gain traction. Despite these setbacks, the company is once again spearheading a push for a casino bill as Texas approaches its biennial legislative session. The persistence of these efforts appears to have backfired, strengthening the resolve of the state’s anti-gaming faction.

Political Contributions and Casino Aspirations

The Texas Tribune reported in May that Miriam Adelson, who holds a 53 percent ownership stake in Las Vegas Sands, contributed $9 million to the Texas Defense Fund political action committee. This committee played a crucial role in ing Republican incumbents in the Texas House during the primary elections. Additionally, Adelson made headlines in December with her $3.5 billion acquisition of a 73 percent stake in the NBA’s Dallas Mavericks.

This acquisition is seen as part of a broader strategy to integrate a future hotel-casino resort operated by Las Vegas Sands with the team’s plans for a new arena in the Dallas area. Mark Cuban, co-owner of the Mavericks, emphasized the importance of the casino component to the project, noting that “the 10 percent of the people who gamble pay for everything else.” Cuban, who retained a 27 percent stake in the team, highlighted the financial necessity of this move during a sports economics forum in Dallas.

The concept of destination gaming was also promoted by Sands Senior Vice President Andy Abboud at a recent event hosted by the North Texas Commission, a collaboration between Dallas-area businesses and local governments. The commission is currently forming an exploratory committee to assess the potential benefits of this initiative.

Opposition and Legislative Challenges

However, these efforts have only served to embolden Texas’ anti-gaming faction, primarily led by Republicans in the Texas State Senate. According to Eilers & Krejcik analyst Chris Krafcik, the increased lobbying and financial contributions have strengthened the resolve of those opposed to gambling expansion in the state. Krafcik pointed out that while the Texas House ed an online sports betting bill in 2023, it was ultimately blocked in the Senate. This development s his assertion that “the Senate is the chamber that matters, and things there are not moving in the right direction.”

Krafcik further noted that the Texas Republican Party has taken a firm stance against any expansion of gambling. The party has instructed lawmakers to oppose any budget that includes funding derived from legal gambling, signaling a strong commitment to maintaining the state’s current stance on the issue.

Given these obstacles, Krafcik now predicts that Texas will not legalize sports betting until at least 2027, with the earliest possible launch occurring in time for the NFL season opener in the fall of 2028.

Source:

“Indy Gaming: Why Texas is, for now, not likely to legalize sports betting.”, thenevadaindependent.com, August 21, 2024.