For my friend wondering about casinos and gambling in the Lone Star State, I want to give you the full scoop. As a Texan myself, I know this is a complicated topic. While Las Vegas-style gaming isn‘t allowed here, we do have some limited casino-like options if you know where to look. Let me walk you through everything you need to know about gaming in Texas.
A Brief History of Gambling in Texas
Gambling has long been banned in Texas, with early laws prohibiting games of chance and the operation of casinos dating back to the mid-1800s. However, over time there have been a few exceptions carved out in the law.
The first modern shift came in 1981, when organizations were allowed to host charitable bingo games. This was followed in 1982 with horse and greyhound racing with parimutuel betting now permitted at licensed racetracks.
In 1992, the Texas Lottery got underway after voters passes a constitutional amendment, bringing in scratch tickets and lottery drawings. For three decades after that, gaming largely stayed the same in the Lone Star state.
Efforts have repeatedly popped up to allow full-scale casinos, but were always met with resistance. Moral oppositions from conservative and religious groups held strong sway in the Texas Legislature. Many lawmakers feared an increase in crime and addiction.
Over the past decade, new gaming forms emerged in texas. In 2017, daily fantasy sports contests won legal status after intense lobbying. And while sports betting remains prohibited, national legalization has revived attempts to allow it in Texas.
For now though, commercial casinos are still banned outside of Native lands. Next I‘ll explain more about the tribal gaming options we do have here.
Native American Gaming in Texas – Our 3 Tribal Casinos
Though commercial casinos are banned in Texas, federally recognized Native American tribes can offer certain gaming activities on tribal lands under federal law. Currently, Texas has three Native American casinos in operation:
Kickapoo Lucky Eagle Casino (Eagle Pass)
The state‘s largest tribal casino with 3,300 slot machines, the Lucky Eagle is owned and operated by the Kickapoo Traditional Tribe of Texas. Beyond slots, they offer blackjack, roulette, craps, poker, bingo, and keno. There‘s also a 192-room hotel, several restaurants, and a 5,000 square foot event center on site.
This substantial casino resort provides a true Vegas-style gaming experience you‘d never expect to find in Texas. In 2019, the Lucky Eagle generated revenues of $215 million from both gaming and non-gaming sources, according to the National Indian Gaming Commission (NIGC).
Naskila Gaming (Livingston)
Owned by the Alabama-Coushatta Tribe of Texas, Naskila Gaming is located about an hour north of Houston. With 365 electronic gaming machines, it‘s the second largest tribal casino in the state. However, Naskila has been engaged in a years-long legal dispute with state authorities trying to shut them down.
Speaking Rock Entertainment Center (El Paso)
The Speaking Rock casino is run by the Ysleta del Sur Pueblo tribe, located in El Paso near the New Mexico border. They offer over 850 slot machines, electronic table games, bingo sessions, and live entertainment. Speaking Rock brought in $49.5 million in 2019 per NIGC reports.
Unlike states such as Oklahoma and California with dozens of tribal casinos, the options in Texas remain very limited. But these 3 facilities do offer the only Vegas-style gaming within state lines. Collectively the three casinos generated over $300 million in revenue in 2019.
The Debate Over Legalizing Casinos in Texas
While limited gambling options exist, all efforts to expand commercial casinos in Texas have eventually been voted down by the legislature. Politics, economics, and social impacts all factor into this debate.
Arguments in Favor
Supporters point to potential benefits like:
- Tax Revenue – Casino taxes could raise $3 billion or more per biennium for state programs. Some bills would dedicate funds to property tax relief.
- Jobs – One study estimated up to 43,000 direct gaming industry jobs, plus thousands more in related sectors.
- Economic Activity – Casino resorts attract tourists, spurring business for hotels, restaurants, entertainment venues, etc.
- Regulation – Legal casinos allow activities like sports betting and poker to be regulated, driving out underground operations.
- Landowner Rights – Some lawmakers feel individuals should have the right to operate casinos or betting on their own private property.
Arguments Against
Opponents counter with concerns like:
- Morality Issues – Conservative and religious groups see gambling as immoral and don‘t want the state promoting it.
- Crime – Casinos could attract criminal elements and increase public corruption.
- Addiction – Easier access to casinos may create more problem gambling and addiction issues.
- Industry Saturation – With tribal and online gaming, critics don‘t think the market can support more casinos.
- Uncertain Revenues – It‘s debated how much new tax money casinos would actually generate beyond existing lottery and tribal funds.
With strong voices on both sides, expect Texas to continue debating this issue for years to come. For now, commercial casinos remain banned.
Other Legal Gambling in Texas
While casinos are prohibited, here are some of the other gaming options lawfully allowed in Texas:
Charitable Bingo
Non-profit organizations can host bingo games for fundraising, with total prizes capped at $750 per day. Cities and counties must approve permits.
Pari-mutuel Betting
Wagering on live horse and greyhound races is legal at licensed racetracks in Texas. The state has 7 active racetracks including Sam Houston Race Park in Houston. In 2019, bettors wagered over $600 million on races at Texas tracks according to state records.
Lottery
The Texas Lottery launched in 1992 after voters approved a constitutional amendment. In FY 2021, the Texas Lottery generated over $6 billion in revenue from lottery ticket sales. Proceeds go to public education and veterans‘ programs.
Social Gambling
Private betting activities are allowed as long as the house or organizer does not profit. This includes home poker games, office sports pools, and personal wagers between individuals.
Daily Fantasy Sports
After a multiyear effort, Texas legalized real-money daily fantasy sports contests for companies like DraftKings and FanDuel in 2017. Participants wagered over $2 billion on DFS in Texas last year.
While limited, these outlets do allow Texans opportunities to legally place bets and try to win cash prizes. Casino-style gaming is restricted to tribal facilities. Next, I‘ll cover some common questions folks have about gaming laws here in Texas.
Frequently Asked Questions on Gambling in Texas
How many casinos are there in Texas?
There are only 3 casinos – the tribal gaming facilities in Eagle Pass, Livingston, and El Paso owned by Native American tribes. No commercial casinos are allowed.
What cities in Texas have casinos?
The only cities with casinos are Eagle Pass, Livingston, and El Paso which host the tribal gaming facilities. No other Texas cities have commercial casinos.
Is sports betting legal in Texas?
No, sports betting remains prohibited in Texas outside of very small personal wagers. Some legislators have pushed to legalize it after the Supreme Court opened the door, but so far no bills have passed.
Can you gamble at 18 in Texas?
The minimum gambling age is 21 at the 3 tribal casinos. For parimutuel wagering and the state lottery, you must be 18 or older to participate. Bingo and DFS sites may allow 18+ as well depending on the organization.
Are slot machines legal in Texas?
Slot machines are only legal at the Native American tribal casinos. No other businesses or venues are allowed to offer slot machines to the public.
What forms of gambling are illegal in Texas?
All casino-style gaming like slots, table games, sports betting, and poker outside of tribal sites is illegal. Other prohibited activities include dogfighting, unlicensed raffles, video poker machines, and social bets where the house profits.
While Texas gaming laws are strict, hopefully this guide gives you a better idea of what gaming options do exist here. Let me know if you have any other Texas gambling questions!
Conclusion
Texas has a long history of prohibiting most forms of gambling. While limited options like bingo, racing, lottery, and tribal casinos are now permitted, commercial casinos remain banned despite periodic attempts to legalize them. Social conservatives continue to argue casinos would bring increased crime and addiction.
Yet supporters point to potential economic and tax benefits, hoping Texas may still expand gaming in coming years. For now, residents have access to some regulated gambling but far fewer options than most states. Those looking for full casino gaming still have to travel to nearby tribal and commercial facilities in Oklahoma, Louisiana, and elsewhere. But Texas gambling laws continue to evolve, so further changes could arise down the road.
