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We’re days removed from Texas turning “purple.” By that, we means the usual-red political class is now full-on blue, creating a hodgepodge that’s not common in Texas politics.
For the first time in a long time, the House in Texas has more Democrats than Republicans. So too is the Governor a part of the blue party for the first time in decades.
This has opened the door for all sorts of new policies, including betting in Texas. It’s one of the few states holding out on legalized sports betting or casinos. That could change, and soon.
There already two betting-related bills pre-filled for the 2027 legislative session slated to begin on January 12. This will be Texas chance to get new bills signed or put up for a ballot, and the legislation only meets once every two years. So politicians want to make it count, especially on the betting front. Keep reading and we’ll detail the new proposals.
Texans Could Get A Gambling Vote In November 2027
On the very first day lawmakers could file proposals for the upcoming session, Republican Rep. Charlie Geren filed House Joint Resolution 52. It would let Texans vote on opening the state to casinos and sports betting.
Of course, it’s only a proposal (for now). Geren needs two-thirds of both chambers to approve the resolution first — 100 votes in the House and 21 in the Senate. If both happen, then Texas voters decide on the issue at the ballot.
“If they say ‘no,’ then we’re done with it forever,” Geren told the Fort Worth Star-Telegram (we would guess the word ‘forever’ is hyperbole here).
So what would Texans actually be voting on? Welp, the proposal allows up to 10 casinos, with initial licenses lasting at least 40 years. Those casinos would be limited to gambling at their physical locations — no online casino gaming.
Sports betting, however, could have an online component (if voters approve of it). The resolution doesn’t put that same in-person restriction on sports wagers, leaving lawmakers room to allow mobile betting apps. Where exactly people could bet, and who could take those bets, would still need to be worked out.
As for taxes, Geren’s proposal caps the tax on gaming revenue at 15 percent (a little low if you ask us). It also prevents state and local governments from piling additional taxes or fees onto a license holder’s gaming or other revenue, apart from regular taxes that apply to everyday businesses.
The state’s three federally recognized tribes are included as well. At a tribe’s request, Texas would have to begin negotiations for a Class III gaming (slots and table games essentially) compact on its existing lands.
Prediction Markets Could Face New Restrictions Too
Kalshi and Polymarket work freely in Texas, but a different pre-bill would handcuff how they operate. This proposal comes from Democratic Rep. Salman Bhojani.
His House Bill 598, if approved, would put a minimum age of 21 on event-contract trading (it’s currently 18). And the age restriction goes beyond opening an account. Ads couldn’t target or depict anyone under 21, would have to state the minimum age, and couldn’t appear on school grounds or in association with primary or secondary schools.
Bhojani’s proposal also wants to prohibit contracts tied to criminal investigations, executions, civil lawsuit outcomes, individual deaths, and assassination attempts (go figure!). War, terrorism, disease, and immigration events are on the restricted list, too.
Notice what’s not on the ban list? Sports contracts. These are more actively traded than war or political contracts, and undermine the state’s current laws more than anything else.
We should mention that getting the bill across the finish line is not just a state fight, it could become a federal fight, too. The Commodity Futures Trading Commission (CFTC) maintains that it has exclusive authority over prediction market trading, and has sued states trying to restrict them. Surely, they’d do the same to Texas if push came to shove.
Now Bhojani’s proposal could change considerably before it ever reaches the voting floor, as most bills do. Still, we can’t help but notice the “vibe change” in Texas politics with gambling. Where there’s smoke, there’s fire, folks!
Vibes Are A-Changing In Texas Politics
These are just the opening proposals, mind you. Lawmakers don’t return to Austin until January 12, and the session runs through May 31. There’s plenty of time for more gambling bills to show up, and we fully expect that to happen.
We’d especially watch whether committee chairs and other influential lawmakers put their names behind new proposals. Look, pre-filing a bill like these is one thing. Having someone who can get it a hearing and rally votes behind it is a completely different thing. That’s the kind of support betting advocates will need if legalization is going to happen.
Either way, you can’t but notice how fast things have already changed. These pre-bills probably wouldn’t have even happened if Republicans had won their races in Texas. But with roadblocks like lieutenant governor Dan Patrick on the way out, the floodgates are cracking open.
So more than anything else, we’d treat these early filings as a sign of what could be coming in 2027 and beyond. Betting legalization will be a serious topic of conversation for the first time in Texas.
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