State of Gambling Legislation in Texas

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Friday, November 6th, 2015 | Written by Shane Larson

Texan poker enthusiasts have long lamented a lack of legal options for playing the game in-state, either in person or online. With religious groups and many conservatives opposing legal gambling, it is unlikely that widespread online or traditional poker will become available in the Lone Star state any time soon, although there may be some hope on the horizon.

Just One Tribal Casino

Only one casino exists in Texas, namely a tribal casino called the Kickapoo Lucky Eagle Casino, which is located near the Mexican border. The casino has 12 poker tables but has limited hours and an inconvenient location for most of Texas’ population. The state also has another two federally recognized tribes, the Ysleta del Sur Pueblo, and the Alabama-Coushatta Tribe, both of whom operated a casino until 2002 when they were shut by court order.

Just One Legal Poker Room

The Texas Card House in the capital city of Austin is the only legal standalone card room in the state at present. Owned by former gambling industry lobbyist Sam Von Kennel, the card room is able to operate due to a loophole in Texas gaming laws. Instead of making money from games, the card room charges dues to players who become members of the club. Once they have paid their dues, members can come to the club and use the facilities and chips to win money from one another. Because the card room does not draw revenue from gambling, it is considered a private membership club. Von Kennel has noted in interviews that while there hasn’t been any word of him being shut down, there is always a risk that the club could be targeted.

State Senator Pushing for iPoker Legalization

In March 2013, Senator Leticia Van de Putte put forth State Bill No. 1103, that envisages allowing Texas residents to play online poker legally if it is ever legalized at the federal level. Currently, U.S. Congressman Joe Barton is trying to introduce a national legalization bill in the House of Representatives, which would make online poker legal in any state that opts in. Van de Putte’s bill would position Texas to automatically opt in if and when the bill passes. One of the state’s most active lawmakers, Rep. Eddie Rodriguez (D-Austin) is also in favor of legalized poker, and as he previously explained to Fort Worth newspaper, the Star Telegram:

“We make criminals out of poker players, and we don’t have to. The rest of the country is catching up to this idea. I hope Texas will follow suit.”

Dim Prospects Ahead

While the proposed legislation is a step in the right direction, Texas poker lovers shouldn’t get too excited. Beyond Van de Putte and Barton, there is very little interest in actively pursuing either the Texas or the federal bill. In fact, casino owner Sheldon Anderson and other casino industry lobbyists are working hard to keep online poker bills from coming up for a vote. With state and federal lawmakers in no hurry to act on online poker legislation, people who want to be able to legally place wagers at the virtual tables are encouraged to let their representatives and senators know where they stand. Due to the absence of grassroots efforts, there is likely to be little change in the state of poker in Texas and beyond.

Lottery Considers Expanding Products

The U.S. lottery market generates around $70 billion each year in revenues, and while the Texas legislature is generally unsupportive of an expansion of the gambling industry, the Texas Lottery, on the other hand, has shown an interest in increasing its own product range. In fact, Texas lottery officials recently met up with their counterparts in Delaware in order to learn more about the potential of their own lottery industry, and as a letter subsequently sent by Texas Lottery Commission executive director, Gary Grief, explains:

“We were extremely impressed with your operation. As I mentioned to you during our visit, the Delaware lottery is conducting advanced types of lottery games as compared to the rest of the country. We were particularly interested to learn about your sports betting, internet wagering and casino games.. We came away from our visit with an amazing amount of information that I know will be very helpful as our state begins to consider other forms of lottery games in the future.”