Texas 2023 - 88th Regular

Texas House Bill HB1942

Filed
2/6/23  
Out of House Committee
4/14/23  
Voted on by Senate
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to the regulation of sports wagering; requiring occupational permits; authorizing fees; imposing a tax; decriminalizing wagering on certain sports events; creating criminal offenses; providing administrative penalties.

Impact

The passage of HB 1942 would significantly alter existing state laws by formally legalizing sports wagering activities, which had previously been categorized as illegal gambling. This measure seeks to create a legitimate market for sports wagering and to curb illicit betting activities. Moreover, the bill mandates the establishment of consumer protections to safeguard the public’s interests, which includes provisions for responsible gambling and addressing problem gambling issues through funding for education and treatment programs.

Summary

House Bill 1942 aims to establish a comprehensive regulatory framework for sports wagering in Texas. In the wake of the 2018 United States Supreme Court decision that permitted states to regulate sports betting, this bill provides a structured approach. It requires individuals and entities to obtain occupational permits from the Texas Lottery Commission, which will oversee the regulation of sports wagering activities. The proposed framework not only authorizes sports betting but also includes measures such as imposing fees and a 15% tax on the adjusted gross wagering revenue, generating potential state revenue.

Sentiment

Sentiment around HB 1942 appears to be divided along party lines and community values. Supporters, including various business and sports organizations, argue that legalizing sports wagering could contribute positively to the economy through increased tax revenues and the creation of jobs. Meanwhile, opponents, including religious groups and gambling watchdogs, express concerns over the potential negative social impacts of legalized gambling, emphasizing the risks associated with gambling addiction and its effects on vulnerable populations.

Contention

Notably, there are points of contention regarding the bill's implications for local communities and the state’s governance over gambling. Some indigenous groups have raised concerns that the bill does not allocate permissible wagering opportunities to tribes, which could impact their financial interests and sovereignty. Furthermore, opponents argue that the expansion of gambling may lead to increased instances of gambling-related issues without sufficient protective measures. This divide highlights the ongoing debate over state versus local control in regulating gambling activities and the broader implications of such legislation.

Texas Constitutional Statutes Affected

Penal Code

  • Chapter 47. Gambling
    • Section: 01
    • Section: 09
    • Section: 01
    • Section: 09

Finance Code

  • Chapter 280. Savings Promotion Raffle
    • Section: New Section
    • Section: New Section

Government Code

  • Chapter 466. State Lottery
    • Section: New Section

Education Code

  • Chapter 48. Foundation School Program
    • Section: New Section

Companion Bills

TX SB715

Identical Relating to the regulation of sports wagering; requiring occupational permits; authorizing fees; imposing a tax; decriminalizing wagering on certain sports events; creating criminal offenses; providing administrative penalties.

TX HJR102

Enabling for 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.

Similar Bills

TX SB715

Relating to the regulation of sports wagering; requiring occupational permits; authorizing fees; imposing a tax; decriminalizing wagering on certain sports events; creating criminal offenses; providing administrative penalties.

TX SB736

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.

TX HB2070

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.

IN HB1432

Various gaming matters.

SC H3625

Interactive Sports Wagering

SC S0444

Interactive Sports Wagering

WY HB0162

Interactive gaming.

AR SB611

To Amend The Social Media Safety Act.