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Gambling has been a part of Texas since the state was founded. While it has always been illegal, it was still considered an accepted form of entertainment in Texas. In fact, even children were allowed to participate with adults! The popularity of gambling led to the construction of gambling halls and saloons before churches in new settlements.

As time passed, organized crime groups took control of the underworld gambling industry in Texas during the 1920s. These clubs were some of the most elegant in the nation and attracted celebrities from all across the country. Some notable crime bosses who ran their operations out of Texas include:

• Sam and Rosario Maceo – Galveston
• Benny Binion, Carlo Piranio, and Joseph Piranio – Dallas
• Fat Jack Helfman – Houston

Jackie Freedman, a famous gambler, even ran his exclusive club "Domain Privee" out of his mansion. He is credited with saving Houston's oldest financial company, The First National Bank, by not withdrawing his money during the Great Depression.

However, the 1940s marked a change in Texas' gambling landscape. Local officials began cracking down on illegal gambling, forcing many clubs to close and relocate their operations to Las Vegas.

By the 1950s, all gambling operations were shut down in the state of Texas.

The Federal Indian Gaming Regulatory Act

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Thirty years later, in 1988, the Federal Indian Gaming Regulatory Act was passed. This was followed by the legalization of lottery sales and the creation of the Charitable Raffle Enabling Act (CREA) in the 1990s. CREA approves qualified organizations to hold up to 2 raffles per year.

Texas Gambling Laws and Regulatory Organizations

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So, are casinos legal in Texas? The short answer is yes, but there are some details to consider. They are only allowed if they are located on a boat that sails out to international waters or if they are located on a federally recognized Indian reservation. However, even then, there is still room for dispute.

The state has been fighting to shut down one of the two Texas casinos, Naskila Gaming, but it has not been successful and the casino remains open. If planning a trip to this casino, be sure to call ahead of time.

The minimum age for gambling on a casino boat is 18, while the minimum age for Indian Casinos is 21.

The following organizations have been set up to monitor and regulate gambling in Texas:

• The Charitable Raffle Enabling Act (CREA)
• Texas Lottery Commission
• Texas State Law Library
• Texas Racing Commission

CREA

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CREA monitors all raffles in the state. All proceeds from these raffles must benefit only charity organizations, which CREA defines as:

• A religious group that has been practicing for at least 10 years
• Qualified volunteer fire departments that do not pay more than normal compensation
• Qualified volunteer emergency medical services that do not pay more than nominal compensation
• Qualified non-profit organizations that have been operating for at least 3 years and do not pay taxes

Texas Lottery Commission

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Regulates all types of lotteries within the state.

Texas State Law Library

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The Texas State Law Library is a website that provides information on gambling laws in Texas.

Texas Racing Commission

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Regulates, enforces, and issues all licenses for track racing.

Gambling In Texas Today

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As of today, Texas still has a government very opposed to most forms of gambling. However, residents still have a few options like going to the horse track or an Indian casino.

There have been efforts to discuss legalizing sports betting over the past few years, but nothing has ever come from it.

Fun Facts

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Did you know?

• In 2019, a resident from Leander claimed the largest single-player jackpot winnings in the history of the Mega Millions in Texas! Cash prize: $227 million.

Useful Resources

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• Largest Lotto Texas Jackpot in More Than a Decade Up for Grabs on Wednesday Night
• Texas has the strictest gambling laws in the country, but could the state benefit from changing its outlook?
• Gambling in Texas
• The Charitable Raffle Enabling Act
• Texas Racing Commission

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For more information on visiting Texas casinos or general tourism information, call (800) 888-8TEX or go to www.traveltex.com.