Texas Faces Challenges in Legalizing Sports Betting
Texas is once again at the forefront of the sports betting debate. Legislators have reintroduced bills to legalize sports betting, but significant challenges remain in the Senate for 2025. House Joint Resolution 134, filed by Rep. Sam Harless, proposes a constitutional amendment to allow voters to decide on legalizing sports wagering. This resolution focuses on retail sports betting at professional sports venues and racetracks, but it does not explicitly prohibit digital wagering. The Texas Sports Betting Alliance, which includes professional sports teams, racetracks, and platforms like FanDuel and DraftKings, supports the bill. They highlight the risks of unregulated betting and the lost tax revenue.
In 2023, a similar proposal passed the Texas House with 101 votes but stalled in the Senate. Governor Greg Abbott has expressed openness to sports betting legislation and would not oppose it. A University of Houston poll found that 60% of Texans support legalized sports betting, including 59% of Republicans. However, Lt. Governor Dan Patrick remains a significant roadblock as he controls the Senate and requires substantial Republican support to bring gambling bills forward. Despite lobbying efforts from entities like Las Vegas Sands and public support for legal gambling, prospects remain uncertain due to Patrick’s opposition.
If approved by two-thirds in both chambers, the resolution could appear on the November 2025 ballot as a constitutional amendment. Legal bets might begin in late 2026 or 2027 if voters approve it. Texas is one of 11 states without legalized sports betting since the U.S. Supreme Court struck down PASPA in 2018 and lacks commercial casino gambling due to longstanding restrictions. Current legislation is vague about which entities could become licensed operators but suggests professional sports teams, PGA Tour stops, and Class I racetracks could offer betting services.
Opposition comes from groups like the Texas Republican Party, Kickapoo Traditional Tribe of Texas, Texans Against Gambling, and concerns about social costs from organizations like the Texas Public Policy Foundation (TPPF). TPPF warns of potential increases in mental health issues and crime associated with gambling expansion based on experiences from other states like Ohio. Some lawmakers are hesitant to push for legalization without Senate movement; parallel efforts continue for “destination resort” casinos led by Las Vegas Sands’ lobbying campaign. A University of Houston poll shows stronger support (73%) for casino legalization than for sports betting; however, a casino bill fell short in the House with only 92 votes in 2023.
Mississippi’s Struggle with Online Sports Betting
Mississippi is also grappling with the legalization of online sports betting. The bill for online sports betting remains active but faces significant opposition in the Senate. Recent legislative actions have highlighted deep divisions between the House and Senate regarding gambling expansion. The House Gaming Committee added online sports betting language to two Senate bills just before a crucial April deadline. This procedural move was made after the Senate Gaming Committee refused to consider the original House-passed legislation. House Gaming Chairman Casey Eure has been a long-time advocate for mobile sports betting, emphasizing its importance.
Known as the Mississippi Mobile Sports Wagering Act, it passed the House with strong bipartisan support (88-10 vote). The bill would allow existing casinos to partner with up to two online sportsbooks each, enabling statewide mobile sports wagering. Currently, sports betting is only legal at physical casino locations since 2018. Proponents argue that Mississippi loses $40 million to $80 million annually in potential tax revenue due to illegal gambling. Data shows a significant increase (77% year-over-year) in attempts to access legal mobile sportsbooks since the NFL season began.
Key provisions of the proposed legislation include a proposed 12% tax on sports wagers, with revenue directed to infrastructure repair funds across all counties. A $6 million fund is proposed to protect smaller casinos from potential losses due to mobile betting. Restrictions such as banning credit card betting and requiring age verification (minimum age of 21) are also included. Senate Gaming Chairman David Blount opposes expansion, citing concerns about tourism and industry growth not being supported by mobile betting. Blount argues that smaller casino operators fear revenue loss if bets can be placed from home rather than at casinos.
The insertion of sports betting language into a Tidelands Act-related bill has complicated efforts related to coastal development issues supported by the casino industry. Amended bills are set for full House consideration but face uncertain prospects in the Senate. Speaker Jason White criticized Lt. Governor Delbert Hosemann for appointing committee chairmen who may not reflect public will. If legislation fails this year, it continues a multi-year struggle between chambers over online sports betting legalization. Mississippi would remain one of twenty states with some form of legal sports betting but without a mobile component driving most wagering elsewhere. The legislative session concludes on April 6, leaving limited time for compromise.
Conclusion: The Future of Sports Betting in the USA
The journey towards legalizing sports betting in the USA is fraught with challenges and opposition. While states like Texas and Mississippi are making strides, significant hurdles remain. The potential for increased tax revenue and the regulation of an already thriving illegal market are strong arguments for legalization. However, concerns about social costs and the impact on existing industries continue to fuel debate. As more states consider legalization, the landscape of sports betting in the USA is poised for significant change.