Sports Betting in Texas 2026

Texas is an anomaly. The second-largest state by population, home to the Dallas Cowboys (the most valuable sports franchise on Earth), the Houston Astros, the Texas Longhorns, and some of the most passionate sports fans in America — and yet it's one of the last major states where you can't place a legal sports bet. The explanation isn't complicated: it's not about market demand or public opinion. It's about one man and one structural barrier.

The structural barrier: Texas requires a constitutional amendment to expand gambling. That means any sports betting bill needs a two-thirds supermajority in both the Texas House and Senate — not a simple majority. Even if a bill clears both chambers, it then goes to Texas voters for approval in a November referendum. This is an extraordinarily high bar that very few policy proposals can clear, especially on a politically divisive topic.

The political blocker: Lt. Gov. Dan Patrick controls the Texas Senate agenda. As president of the Senate, he decides which bills get referred to committee and which die in silence. Since 2021, Patrick has refused to advance any sports betting or casino legislation, stating legalization is "simply not there yet." In the 2025 session, despite the House advancing bills with strong support, Patrick killed them by refusing Senate referral. No floor vote, no debate, no record.

Patrick's opposition is reinforced by a powerful Christian conservative faction within the Texas GOP. The state party platform explicitly opposes "any expansion of gambling, including legalized casino gambling." In March 2025, a dozen Republican House members publicly declared opposition to all gambling expansion, ensuring that even if Patrick relented, reaching the two-thirds threshold would be difficult.

Meanwhile, 60% of Texans support legalization (University of Houston poll, January 2026). The Texas Sports Betting Alliance — a coalition including the Dallas Cowboys, Houston Texans, Dallas Mavericks, Texas Rangers, Houston Astros, and Dallas Stars — has spent millions lobbying for legalization. All three neighboring states (Louisiana, Colorado, Arkansas) have operational sports betting markets generating tax revenue. None of it has been enough to break through the Senate blockade.

Industry projections estimate Texas could generate $30 billion in first-year handle — total wagers placed — making it the largest state sports betting market in the United States. For context, New York (the current leader) processes approximately $25 billion annually. Texas's 30 million residents, three NFL franchises, and deep college football culture would create a betting market unlike anything the US has seen.

Annual tax revenue projections range from $210 million to $350 million, depending on the tax rate structure. At New York's 51% tax rate, Texas could generate even more — though operators would push for a lower rate closer to the 10–15% range seen in competitive states like Colorado and New Jersey.

The Dallas Cowboys alone would generate outsized betting volume. As the most valuable sports franchise in the world (valued at over $9 billion), every Cowboys game is a national betting event. Add the Houston Texans, Dallas Mavericks, San Antonio Spurs, Texas Rangers, Houston Astros, Dallas Stars, and the SEC powerhouses — Texas Longhorns and Texas A&M Aggies — and the betting demand is staggering.

The Texas Sports Betting Alliance understands these numbers, which is why Jerry Jones and the Cowboys, the Texans, the Mavericks, the Rangers, and the Astros have all joined forces to lobby for legalization. The economic argument is overwhelming — but in Texas, economics alone doesn't drive policy. Political will does. And the will isn't there yet.

The 90th Texas Legislature convenes in January 2027. Sports betting and casino bills will almost certainly be reintroduced — the economic case is too strong and the lobbying coalition too well-funded to stop filing. But the same structural obstacles remain.

Dan Patrick is the key variable. His term as Lt. Governor runs through 2028, meaning he will control the Senate agenda during the 2027 session. Unless he reverses his position — and his announced plan to crack down on prediction markets suggests he's moving in the opposite direction — Senate passage is extremely unlikely.

What could change the equation: A dramatic shift in GOP leadership dynamics, a major budget shortfall that makes gambling revenue politically necessary, or a federally mandated framework (unlikely) could alter the calculus. Some observers believe the sheer scale of cross-border revenue leakage to Louisiana, Colorado, and Arkansas will eventually create enough political pressure. But "eventually" may mean 2029 or later.

Realistic probability of legalization in 2027: Less than 20%. Texas sports betting is a question of "when," not "if" — the market is too large and public support too strong for permanent prohibition. But "when" depends on political change at the top of the Texas Senate.