8/6/2019 "Gambling in Texas" by James Bernsen, Part 1 of 4

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Gambling in Texas

A Four Part Series

This is a four-part series in the Texas Republic News on various issues related to gambling legislation. The

Series:Tuesday, March 10: Part One The Legislative AgendaWednesday, March 11: Horse Racing and Slot MachinesThursday, March 12: Indian Casinos and their ImplicationsFriday, March 13: Is Gambling a Good Bet for Texas?

Part One The Legislative Agenda

By James Aalan BernsenTexasRepublicNews.com

Efforts are once again underway in the legislature to bring casino-style gambling toTexas. Its an idea that has failed in recent legislative sessions, but backers are hopingtheyve found the right formula for success in 2009.

There are many appealing arguments on the side of pro-gambling groups. Keepinggambling money that is now going to Louisiana and Oklahoma in Texas is one popularidea. Reviving the states horse-raising industry by allowing slot machines at racetracksis another. Some advocates want to help struggling Indian tribes develop their economiesthrough gambling.

Opponents generally cite moral grounds for their hostility to gambling legislation.There are, however, many fiscal arguments against gambling as well. Although gamblingproponents always promise large tax revenues from gambling, a statewide survey showsthat such promises are almost never fulfilled.

For example, gambling proponents are currently claiming that introducing gamblingto Texas can bring in $2 billion in tax revenue to the state. However, the entire State ofNevada only receives $1 billion in revenue each year.

Another argument against gambling is the reduced power of the state to control

gambling particularly Indian gambling proliferation once it is legalized (this will bediscussed in Part III of our series). Many opponents also point to statistics which appearto show increases in unemployment, crime and the use of public welfare programs relatedto gambling.

Ultimately, gambling is a complex and risky business, and while a libertarian,open approach may sound appealing to many Texans at first, a closer look at laws and

8/6/2019 "Gambling in Texas" by James Bernsen, Part 1 of 4

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8/6/2019 "Gambling in Texas" by James Bernsen, Part 1 of 4

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the House. To deflect criticism, Straus has peremptorily recused himself from any role inconsidering such legislation.

However, Straus created the committees which will oversee gambling issues,assigned members to them and selected which bills are referred to which committees. So

far, most of the gambling legislation filed in the Texas House has been referred tocommittee. That filed in the Texas Senate, where Lt. Gov. David Dewhurst presides, hasnot been referred.

To his credit, Straus did not pack any of the committees dealing with gambling. TheLicensing and Administration Committee, through which most gambling goes, retainsroughly the same percentage of members for and against gambling as the previouscommittee under Speaker Tom Craddick. In both cases, the committee leaned slightlytowardexpanding gambling.

Current Legislation.

Full-blown Casinos: House Bill 1724 by Jose Menendez (R-San Antonio) and JimPitts (R-Waxahachie), as well as its Senate version by Sen. Rodney Ellis (D-Houston)would establish full-blown casino gambling in the State of Texas, including theestablishment of the Texas Gaming Commission. This legislation also requires aconstitutional amendment, and the appropriate Joint Resolutions have been filed.

Indian Casinos only: House Bill 1308 by Rep. Norma Chavez (D-El Paso) isessentially the same bill that failed on a tie last session, and would allow Indian gamblingonly.

Rather than making gambling legal, it creates a defense to prosecution whichbasically would prevent officials from enforcing the law against an activity which isillegal under the state constitution. Unlike most traditional gambling legislation, whichgoes through the Licensing and Administrative Procedures Committee, this bill wasreferred to the House Criminal Jurisprudence Committee.

Grey Area Bills: HB 357 by Rep. Chente Quintanilla (D-El Paso) would allow thesale of lottery tickets at establishments which sell alcohol. This bill is rumored to be avehicle to which electronic lottery tickets or Keno games could be introduced, whichcould open up a loophole for video slot machines.

HB 2325 by Rep. Richard Raymond (D-Laredo) would allow local option elections todetermine the legal status of 8-liners, a type of gambling machine which the TexasAttorney Generals office has declared to be illegal gambling.

Additionally, gambling proponents may target a variety of bills to slip in legislation toget a nose under the tent according to Rob Kohler, a consultant to the Baptist GeneralConventions Christian Life Commission, which is tracking the issue.

One of the things Ive learned in this business is that there a lot of smart guys andgirls on the other side, he said, noting such innovative ideas as pull-tab bingo which isan electronic variant of bingo which is very little different in actuality from a slotmachine.

http://www.legis.state.tx.us/BillLookup/History.aspx?LegSess=81R&Bill=HB1724http://www.legis.state.tx.us/BillLookup/History.aspx?LegSess=81R&Bill=HB1308http://www.legis.state.tx.us/BillLookup/History.aspx?LegSess=81R&Bill=HB1724http://www.legis.state.tx.us/BillLookup/History.aspx?LegSess=81R&Bill=HB1308

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Tomorrow: Horse Racing and Slot Machines