Sports betting is not legal in Texas, but efforts to change that remain in progress. The last big push toward legalization fell flat during the 2023 Texas Legislature session. As the page turns to the 2025 session, there is optimism that substantive progress can be made this time around.
On Feb. 12, 2025, Rep. Sam Harless (R), introduced HJR 134, which is “Proposing a constitutional amendment authorizing the legislature to legalize wagering in this state on certain sporting events.”
In a best-case scenario, the resolution will advance with the matter being placed on the November ballot for voters to decide. As the many bumps along the road toward Texas sports betting legalization have demonstrated, that’s far from a sure thing.
Status of legal sports betting in Texas
No form of legal sports betting is currently available in Texas. The issue will be tackled once again during the 2025 Texas Legislature session, which opened on Jan. 14 and will adjourn on June 2. Rep. Harless got the discussion rolling with his proposal for a constitutional amendment to legalize wagering.
Bill HJR 134 was filed on Feb. 12 but no further substantive action has been taken as of yet. If it proceeds, it will have to be voted on by both the state House and Senate before proceeding to the Secretary of State. If it gets that far, it will appear on the Nov. 4 ballot, giving voters the chance to decide its fate.
The legalization of Texas sports betting has many prominent backers, including Miriam Adelson, owner of the Las Vegas Sands and majority owner of the Dallas Mavericks. In 2024, Adelson reportedly contributed $14 million to legislators.
Dallas Cowboys owner Jerry Jones is another advocate, along with Mavericks’ minority owner Mark Cuban. Helping to lead the charge is the Sports Betting Alliance, a group that represents BetMGM, DraftKings, FanDuel, and Fanatics, four of the largest sports betting companies.
As with any hot-button issue, there are opponents of advancing legalization, including groups such as the Texas Public Policy Foundation and Texans Against Gambling. Lt. Gov. Dan Patrick has also been opposed, and blocked efforts to advance the matter to a vote in 2023.
Texas sports betting: Key fact and figures
| Population | 31.29 million |
| Bill name | HJR 134: Proposing a constitutional amendment authorizing the legislature to legalize wagering in this state on certain sporting events. |
| Bill sponsor | Rep. Sam Harless (R) |
| Referendum date | Resolution filed Feb. 12, 2025 |
| Earliest possible date for a launch | TBD (Legislature adjourns June 2. The resolution aims to have the matter placed on the Nov. 4 ballot). |
| Expected revenue | Nov. 24 estimates from Eilers & Krejcik Gaming: $24 billion in annual handle and $2.4 billion in yearly gross gaming revenue for year one. |
| # of licenses/skins | TBD (EKG estimates based on up to 155 licensees) |
| Licensing fees | TBD (In 2023, HB 1942 called for a $500,000 access fee.) |
| Tax rate | TBD (HB 1942 called for a 10% tax on gross gambling revenue). |
| Allowed | TBD (Resolution aims to “authorize and regulate the placing of wagers on sporting events” but does not provide specifics on inclusions or exclusions). |
| Excluded | TBD (HB 1942 specifically noted that the “commission may not authorize sports wagering involving youth sports.”) |
What’s in HJR 134
HJR 134 was introduced on Feb. 12 and sponsored by Rep. Harless, bringing a proposed constitutional amendment to the table for the 2025 legislative session. If the proposal advances and fellow lawmakers approve, it will appear on the Nov. 4 ballot for a statewide vote. A recent survey we conducted shows 39% would vote yes, while 33% were undecided and needed more information.
The text of the resolution is brief and light on details, including a proposed tax rate. It does outline which organizations may be authorized to allow sports betting, provided they have met the requirements before Jan. 1, 2025.
- A sports team in existence.
- An organization that held sanctioned annual professional golf tournaments as part of a national tour of professional golfers.
- A Class 1 racetrack in operation.
- A designee of one of those approved entities.
The resolution does not outline the number of licenses that would be made available. There are 12 major pro teams in the state: NFL (2), MLB (2), NBA (3), NHL (1), WNBA (1), MLS (3), as well as two women’s soccer franchises.
The PGA Tour and LPGA hold several annual events at courses across Texas. Looking back to the 2024 calendar, the PGA had stops at Memorial Park Golf Course in Houston, TPC San Antonio, TPC Craig Ranch in McKinney, and Colonial Country Club in Fort Worth.
The LPGA visited The Club at Carlton Woods in the Woodlands. Three horse racing tracks would qualify: Lone Star Park in Grand Prairie, Retama Park in Selma, and Sam Houston Race Park in Houston.
The resolution makes no specific mention of NASCAR or auto racing tracks. The state has two major venues that fall into that category: Circuit of the Americas and Texas Motor Speedway. It’s unclear if they’ll be added to the language as the resolution advances.
In addition to this resolution, HJR 137 was introduced by Rep. Charlie Geren (R) on Feb. 12. This one goes beyond sports betting to also include casino gaming:
Proposing a constitutional amendment, to be submitted to the voters of Texas for approval, authorizing the legislature to strictly regulate and authorize casino gaming and sports wagering by general law and establishing certain requirements for such law, including imposition of a tax on casino gaming and sports wagering revenue, requiring licensing of casino gaming and sports wagering operators, and requiring license application fees. Additionally, SJR 16 was filed last November by Sen. Carol Alvarado (D). It has been referred to State Affairs and touches on several points, including authorizing sports wagering.
Proposing a constitutional amendment to foster economic development and job growth, provide tax relief and funding for education and public safety programs, and reform and support the horse racing industry by authorizing casino gaming at destination resorts, authorizing sports wagering, and creating the Texas Gaming Commission to regulate casino gaming and sports wagering; requiring a license to conduct casino gaming; requiring the imposition of a casino gaming tax, sports wagering tax, and license application fees. Steps required to pass the Texas sports betting bill in 2025
This is the 89th Texas Legislature regular session. They meet once every two years to address new legislation and pass the state’s budget. There’s plenty of business to tend to before the session adjourns on June 2, so things will need to progress rapidly if there’s any hope of a Texas sports betting bill being passed in 2025.
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Bill submitted
The text of bill HJR 134 is brief but gets to the point of its overall goal, which is proposing a constitutional amendment to legalize wagering in the state. To proceed to the ballot in November, it has to advance through six more stages. -
Must pass the House and a Senate vote
First up, it has to go through the House Committee and be voted on by the House. Next, it’s the same process for the Senate: out of committee and on to a Senate vote. If it clears all of those hurdles, stage six sends it to the Secretary of State before it becomes a proposed constitutional amendment in the seventh and final stage. -
If approved…
If it’s approved, the amendment will be presented to voters in the scheduled election on Nov. 4. Voter approval would not be an automatic green light for online sports betting. The legislature only meets once every other year, so 2027 would be the target for regulations to be finalized.
Potential Texas sports betting launch date
In a most optimistic scenario, online sports betting apps could launch sometime in 2027. If the bill advances and voters give it a thumbs down, any efforts to legalize Texas sports betting would also be tabled until 2027.
Major supporters of Texas sports betting
Texas sports betting has attracted several major supporters. On an edition of the Texas Take Podcast earlier this year, Gov. Greg Abbott noted “I don’t have a problem with online sports betting” as part of a broader discussion on the topic. Prominent supporters include:
Supporter 1: Miriam Adelson. Owner, Las Vegas Sands. Majority owner, Dallas Mavericks.
Adelson and her family bought a majority stake in the Mavericks in 2023. She has donated money to a political action committee that supports casino gambling in Texas, and $14 million to state legislators in 2024. The Adelson family is also the majority shareholder in the Las Vegas Sands.
Supporter 2: Jerry Jones. Owner, Dallas Cowboys.
Jones purchased the Cowboys in 1989 for $140 million. The franchise is the NFL’s most valuable, with an estimated valuation of $10.1 billion. In 2024 comments to the media, Jones shared his belief that Texas sports betting is an inevitability.
I think ultimately you’ll have sports betting in the state of Texas. Until that time, the state does lose an opportunity for huge amounts of revenue. Supporter 3: Mark Cuban. Minority owner, Dallas Mavericks.
Cuban purchased the Mavericks in 2020 for $285 million. He sold a majority stake in 2023 to the Adelson family for $3.5 billion. Cuban has not only advocated for sports betting, but also envisions a future where Dallas evolves into a resort and casino destination.
Texas is such an amazing state that we need to be a destination. And this is the way to do it. And partnering with the Sands Corporation, literally there’s no reason why we can’t build a huge resort destination in the city proper of Dallas. There’s plenty of places to do it. Supporter 4: Rick Perry. Former Texas Governor
Perry served as the Governor of Texas from 2000-15. He also did a stint in D.C. as the US Secretary of Energy from 2017-19. Now a spokesperson for the Sports Betting Alliance, he shared the following in 2023:
It’s going on, it’s gonna continue to go on and the state of Texas needs to regulate it and make sure that its citizens’ information is protected. Supporter 5: Texas Sports Betting Alliance.
The group is composed of all professional sports franchises, pro sports leagues, racetracks, motorsports, and betting platforms, and advocates for the legalization and regulation of sports betting. The alliance shared the following release after the filing of HJR 134.
We appreciate Rep. Harless introducing this constitutional amendment,” said Karina Kling, spokesperson for the Texas Sports Betting Alliance. “Right now, unregulated sports betting is happening across the state, putting consumers at risk and costing Texas millions in lost tax revenue every year. It’s time to let Texans take control and decide if they want a strong, regulatory framework for sports betting—just like the 39 states that have already moved forward. Major opponents of Texas sports betting
There are also opponents of Texas sports betting who could serve as a roadblock to legislation being passed. The list of those against legalization includes:
Opponent 1: Lt. Gov. Dan Patrick
Patrick has been serving as Lt. Gov. since 2015. He has been against legalization and is often pointed to as the biggest obstacle standing in the way. In 2023, he declined to advance HB 1942, sharing the following on X:
I’ve said repeatedly there is little to no support for expanding gaming from Senate GOP. I polled members this week. Nothing changed. The senate must focus on issues voters expect us to pass. We don’t waste time on bills without overwhelming GOP support. HB1942 won’t be referred. Opponent 2: Republican Party of Texas
While Gov. Abbott has indicated that he won’t stand in the way of sports betting, Lt. Gov. Patrick has a differing perspective. The Republican Party of Texas has leaned toward Patrick on the issue, including the following statement in their 2022 platform:
We oppose any expansion of gambling, including legalized casino gambling. We oppose and call for a veto of any budget that relies on expansion of legalized gambling as a method of finance. Opponent 3: Kickapoo Traditional Tribe of Texas
The Kickapoo Lucky Eagle Casino Hotel in Eagle Pass is one of three operating casinos in the state. All three are operated by federally recognized tribes. The Kickapoo have been vocal in opposition, expressing concerns that they’ve been excluded from legislation.
It is extremely concerning that the out-of-state interests behind the casino and sports wagering bills have excluded the Kickapoo Traditional Tribe of Texas from their legislation, Garza said in a statement. Our Tribe has been in Texas for centuries, [and] it is disheartening to have these big corporations prioritized over the economic survival of the Kickapoo. Expected revenue impact from legal Texas sports betting
As the second-most populous state in the US, Texas sports betting revenue is expected to be massive if and when it comes to fruition. Last November, Eilers & Krejcik Gaming delivered updated projections via its “Legal Online Sports Betting In Texas: Revenue Forecast And Economic Impact Analysis” report.
According to the report, Texas could generate $24 billion in annual handle and $2.4 billion in yearly gross gaming revenue (GGR) in the first year of legal online sports betting. By year three, the numbers could tick up to $32 billion handle and $3.6 billion GGR.
Factors considered in the report include a tax rate of 15%, up to 15 licensees for online-only wagering, no restrictions on markets or bet types, healthy promotional spending by operators at launch, and weighted comparisons with other states.
The projected tax rate could translate into $360 million in direct tax revenue for the state annually. There’s no designation as to where the revenue would go, which has been an ongoing concern throughout the various attempts to legalize Texas sports betting.
However, bill HB 1942, which fell short in 2023, had the proposed tax rate at 10%. Sec. 2005.258 of the bill outlines the “allocation of tax revenue and excess fee revenue”:
- Two percent to the problem gambling and addiction grant fund established under Section 2005.259; and
- The remainder to the general revenue fund to be appropriated to the Texas Education Agency for use in providing property tax relief through the reduction of the state compression percentage, as defined by Section 48.255, Education Code.
EKG estimates that 899 new jobs would be directly created by the introduction of online wagering, plus 7,693 indirect job opportunities attributed to an indirect job boom. The influx of jobs is predicted to provide nearly $580 million in annual wages for Texas residents.
It’s estimated that Texans are wagering over $7 billion annually in the illegal online sports betting market. Lauren Clay, spokesperson for the Texas Sports Betting Alliance, shared the following in a press release that highlighted the key findings of the EKG report:
Texas is missing out on a significant economic opportunity by not legalizing online sports betting, said Clay. The study clearly outlines how this initiative could benefit the state’s economy and provide essential funding for public services. Past bills and history
The Supreme Court of the United States overturned PASPA, the Professional and Amateur Sports Protection Act in May 2018. The ruling placed the matter of sports betting legalization into the hands of individual states to decide for themselves.
The floodgates quickly opened, with New Jersey leading the charge. Fast forward to today, and at least some form of legal sports betting is allowed in 38 states plus Washington D.C. Texas is among the states still on the sidelines, but several sports betting bills have been considered:
HJR 61 – Author: Lucio III
- Proposing a constitutional amendment authorizing the legislature to legalize sports betting in this state.
- Filed on Feb. 1.
- Read for the first time on Feb. 27, and referred to Licensing and Administrative proc
HB 1121 – Author: Dutton
- Relating to the regulation of sports betting; requiring an occupational permit; authorizing a fee; imposing a tax; creating criminal offenses; providing a civil penalty.
- Filed on Jan. 1.
- First read on March 4, and referred to State Affairs on the same day.
SB 736 – Author: Hinojosa
- Relating to the regulation of sports wagering; requiring an occupational permit; authorizing a fee; imposing a tax; creating criminal offenses; decriminalizing wagering on sports events.
- Received by the Secretary of the Senate on Feb. 23.
- Referred to Business & Commerce on March 11.
HJR 68 – Author: Dutton
- Proposing a constitutional amendment authorizing the legislature to legalize wagering on professional and collegiate sporting events in this state.
- Filed on Jan. 14.
- Read for the first time on March 11, and referred to State Affairs on the same day.
HB 2070 – Author: Huberty, Rodriguez, Leach, Larson, Lucio III
- Co-author: Bucy, Cortez, Fierro, Harless, Stephenson, Tinderholt
- Relating to the regulation of sports wagering; requiring an occupational permit; authorizing a fee; imposing a tax; creating criminal offenses; decriminalizing wagering on sports events.
- Filed Feb. 23.
- Progressed before being left “pending in Committee” on April 14.
HJR 97 – Author: Huberty, Larson, Ordaz, Leach, Rodriguez
- Co-author: Biedermann, Darby, Dutton, Fierro, Harless, Johnson, Julie, Lambert, Landgraf, Meza,Rosenthal, Tinderholt, White, Wu
- Proposing a constitutional amendment authorizing the legislature to legalize sports betting in this state.
- Filed Feb. 23.
- Progressed before being left “pending in Committee” on April 14.
HB 1942 – Author: Leach, Meyer, Patterson, moody, Rose
- Co-author: Canales, Cortez, Lopez, Janie, Lopez, Ray, Reynolds
- Relating to the regulation of sports wagering; requiring occupational permits; authorizing fees; imposing a tax; decriminalizing wagering on certain sporting events; creating criminal offenses; providing administrative penalties.
- Filed on Feb. 6.
- Advanced as far as the house on May 12.
HJR 102 – Author: Leach, Meyer, Patterson, Moody, Canales
- Proposing a constitutional amendment authorizing the legislature to legalize wagering in this state on certain sporting events and requiring the legislature to dedicate to property tax relief at least 98 percent of the net state tax revenue generated from the wagering on sporting events.
- Filed on Feb. 6.
- Advanced as far as the house on May 12.
The most headway was made with the 2023 efforts, as there was bipartisan support for both HJR 102 and HB 1942. HJR 102, which would have led to the matter being placed on the ballot for state voters to decide, passed through the House by a margin of 100-43.
Lt. Gov. Patrick, using his power as the president of the Texas Senate, halted the resolution before it could be voted on by the Texas Senate. The legislature session adjourned on May 29, 2023, putting an end to any efforts to legalize sports betting until the 2025 session.