Texas House Bill HB2918

Texas 2025 - 89th Regular

• Filed: 2/18/25

Caption

Relating to the abolishment of the state lottery.

Impact

The abolishment of the state lottery would have immediate consequences for various state-funded programs that rely on lottery revenues, particularly the Foundation School Program, which supports public education funding. By terminating the lottery, the bill could result in a substantial budgetary gap that may necessitate increased taxation or alternative funding sources for affected programs. Legislators and stakeholders in education and social welfare may express concern regarding the sustainability of state funding without the revenue from lottery operations. Additionally, there may be implications for employees within the lottery commission and connected businesses that benefit from the lottery system.

Summary

House Bill 2918 seeks to abolish the state lottery in Texas, aiming to eliminate all regulations and activities related to lottery operations within the state. This bill modifies several sections of the Government Code, particularly those that currently establish the framework for the Texas Lottery Commission and its operational guidelines. The projected effective date for the abolishment is set for September 1, 2025, providing a timeline for the transition and finalization of lottery operations and prize distributions to ensure no outstanding obligations remain. The bill reflects a significant shift in state gambling policy and indicates a move towards different financial management for state programs that currently benefit from lottery revenues.

Contention

Discussions surrounding HB 2918 may highlight points of contention among lawmakers and community advocates. Supporters of the bill might argue that the lottery promotes gambling addiction and that its abolishment could lead to a healthier state economy. Opponents, however, could raise concerns regarding the loss of established funding for essential state services and the impacts on local economies that have adapted to lottery operations. Furthermore, the transition plan included within the bill aims to address the logistical details of terminating the lottery, managing outstanding prizes, and ensuring compliance with financial obligations, potentially sparking debate over the adequacy of these measures.

Texas Constitutional Statutes Affected

Government Code

• Chapter 467. Texas Lottery Commission
  • Section: New Section
  • Section: 024
  • Section: 031
  • Section: 035
  • Section: 101
  • Section: 108
  • Section: 111
  • Section: 030

• Chapter 411. Department Of Public Safety Of The State Of Texas
  • Section: New Section

• Chapter 2054. Information Resources
  • Section: New Section

Penal Code

• Chapter 47. Gambling
  • Section: 02
  • Section: 09

Family Code

• Chapter 232. Suspension Of License
  • Section: New Section

Occupations Code

• Chapter 2002. Charitable Raffles
  • Section: 056