The Texas House overwhelmingly approved bills allowing resort casino and legal sports betting on Wednesday. Both initiatives, however, fell shy of the two-thirds majority required to move them to the Senate. Another round of House voting could come as early as today.
Two constitutional amendments allowing gambling in Texas made it to a House vote on Wednesday. Bill HJR 155 (and its companion bill HB 2483) would pave the way for eight resort casinos. It would also allow retail sports betting at casino locations. Bill HJR 155 was approved 92-51, falling short of the two-thirds required for constitutional amendments.
Bill HJR 102 (and its companion bill HB 1942) would pave the way for legalized online sports betting in Texas. Bill HJR 102 was approved by a vote of 97-42.
Technically, both bills passed their second House readings to “engrossment,” which is the process of including all the amendments approved just prior to the vote. Gambling proponents are hoping that each bill will receive the 100 votes they need to move to the Senate before the end of the week.
Overwhelming House support — but still contentious
Texas has a conservative legislature, and one that has historically taken a dim view of gambling. But both the ease of unregulated, illegal, gambling and the preponderance of legal cross-border gambling now challenge the prevailing wisdom of outright bans.
The Texas House is far more open to legalizing casinos and online betting sites in the state than the Senate. That said, there was still contention on the House floor during Wednesday’s session.
One issue of contention concerns the Kickapoo Traditional Tribe of Texas. The tribe currently operates the only legal casino in the state. It is restricted, however, to just Class I and Class II gaming. HJR 155 would allow Las Vegas-style Class III gaming at destination resorts, which could threaten the Kickapoo’s livelihood. During a point of order, it was decided that this issue was outside the scope of HJR 155 and could not be rectified by amendment.
Another rift surfaced when Representative Matt Schaefer introduced an amendment that would bar any casino operator with interests in China. The amendment would have effectively barred any casino operator with properties in Macau. This was an obvious dig at the Las Vegas Sands, one of the main proponents of HJR 155. Schafer was not mollified when his amendment was further amended to exclude casino operators with interests in mainland China.
The biggest hurdles yet to come
After his amendment presentation, Rep. Schaefer said, “This bill is not going anywhere. This bill is dead.” And Schafer may be right. The House is the lowest hurdle these Texas sports betting proposals face.
Both the casino and online sports betting initiatives will have a third reading in the House this week. It is possible that both proposals will reach the 100-vote approval threshold. But the Senate — and time — may be harder to conquer.
It is still doubtful whether the Senate can find the votes to approve either bill. The Senate has yet to hold a hearing on either the casino or sports betting initiatives. Meanwhile, the clock is ticking. The last day of the Texas Legislative session is May 29. And even if the planets align and the bills pass the legislature, they still will need the support of Texas voters in November.
