Everything is Bigger
Will the biennial gambling debate finally bear fruit in the Lone Star State ?
By David Rittvo
inTexas
It ’ s an odd number year , which can only mean it ’ s time for the Texas casino expansion discussion to begin anew during the state ’ s biennual legislative session . Optimism abounds in Austin , and around the state , that the legislature can make progress on passing bills to expand gaming in Texas before the session ends in May . Let ’ s break down those odds .
What ’ s Changed Since 2021
Not much and everything , depending on who you ask . One significant change is the ability of the two federally recognized tribes in Texas to operate Class II gaming machines without fear of reprisals from state officials . The Supreme Court case Ysleta del sur Pueblo v . Texas solidified their ability to operate electronic bingo , as it is not illegal in other parts of the state .
Both the Ysleta del Sur Pueblo , located near El Paso , Texas , and the Alabama Coushatta Tribe of Texas , north of Houston , now have the autonomy to operate Class II gaming regardless of the state ’ s rules prohibiting gaming . Both tribes could initiate a large development project to capitalize on the market just north of Houston . While not directly impactful to the state ’ s budget , more legal gaming in Texas could influence the pace at which legislation advances .
Casino operations in Louisiana , Oklahoma and New Mexico continue to derive a large market share from Texans , and these markets continue to grow . In Louisiana , the gaming tax revenue from the Lake Charles and Shreveport / Bossier markets has continued to create solid funding sources for the state ’ s various needs .
In Oklahoma , tribes on the border — mainly the Chickasaw and Choctaw Nations — have developed large-scale , world-class resorts that provide exceptional and unique guest experiences , and ample resources for the tribes to grow and prosper . The continued annual leakage of revenue and gaming tax revenue , not to mention sales , property and other related tax revenues , should motivate the Texas legislature to consider a thoughtful gaming expansion in Texas .
Lt . Governor Dan Patrick has been a steadfast opponent of gaming and has not backed off from that position so far
28 Global Gaming Business APRIL 2023