The movement to legalize online sports gambling in Texas gained some additional momentum thanks to a new report showing it could add billions to the Texas economy.
The report comes from Eilers & Krejcik, a boutique research firm that specializes in the gaming industry. According to the report, the state could see $2.6 billion in additional annual economic activity, with another $24.3 million in tax revenue. It could also add up to 8,000 jobs.
Orlando Sanchez, former Harris County Treasurer and Houston City Council Member, has gone on record saying legalizing online sports gambling would benefit Texas.
“By legalizing sports betting in the Lone Star State, we could generate additional tax revenue – that doesn’t include taxing Texans more, which could be used to fund a variety of public projects while keeping Texans safe and giving us the chance to choose whether or not we want to legalize sports betting by putting it on the ballot,” he told Texas Insider.
Nearly all the major sports teams in the state back the move toward legalized sports gambling. Members of the Sports Betting Alliance, which is advocating for legislation to allow online sports betting, includes the Houston Texans, Dallas Cowboys, Houston Rockets, San Antonio Spurs, Houston Astros, Texas Rangers, and the Houston Dash. Former governor Rick Perry serves as one spokesperson for the organization.
Texans owner Cal McNair and Rockets owner Tilman Fertitta issued a joint statement in February 2023 supporting sports gambling.
”The Houston Texans support giving Texans the opportunity to choose for themselves if they want a regulated and taxed sports betting industry in Texas,” said McNair. “We think a legal and regulated betting industry is best for our fans and partners and would protect the integrity of competition.”
“Sports betting is a very popular form of entertainment,” said Fertitta. “Sports fans enjoy placing bets on their favorite sports because it brings them closer to the team and puts them in the game. No one wins with an illegal market as robust as the one in Texas.”
Houston soccer teams Dash and Dynamo also issued a brief statement following the release of the study.
“As the popularity of sports betting grows across the US, the Houston Dash and Dynamo align with efforts to bring this unique opportunity to soccer fans in Houston.”
Sports betting legislation has faced an uphill battle thanks to Governor Greg Abbott. The governor has been very against expanding gambling in Texas throughout his administration, blocking attempts of native tribes to expand electronic bingo halls, additional casino construction being pushed by Miriam Adelson, and even research trips by Texas officials to study expanded gambling. Though Abbott has seemingly softened on his stance, he remains wary of gambling fostering economic hardship in the state.
Texas is one of only 11 states in the union that has not legalized sports gambling. The American Gaming Association estimates sports gambling has contributed to $40.8 billion in tax revenue and created 1.8 million jobs across the country.
However, there has also been a marked spike in gambling addiction since 2018 when the app-based sports gambling boom started. Heads of several problem gambling centers report increased hotline calls and more severe problems such as bankruptcies and foreclosures related to sports gambling.
