Texas House Approves Reforms to Preserve State Lottery Amid Controversies
Austin, TX — On Monday, the Texas House granted final approval to a significant bill aimed at preserving the state lottery while initiating vital reforms. This decision comes amidst ongoing controversies surrounding the Texas Lottery Commission, which is currently under scrutiny due to missteps and investigations linked to two unprecedented jackpots. Notably, in one case, a foreign entity reportedly secured a staggering $95 million jackpot by purchasing over 25 million $1 tickets, effectively securing nearly every number combination.
Lawmakers expressed heightened concerns about the integrity of ticket sales, particularly regarding minors acquiring tickets and potential violations of laws banning online and telephone purchases. In response, the new legislation includes a ban on couriers that assist in ticket purchases through apps, aligning with existing prohibitions on digital ticket sales.
The oversight of the lottery is poised for significant changes. Under the reform, the Lottery Commission will be dissolved, with the Texas Department of Licensing and Regulation taking over its responsibilities, including oversight of Charitable Bingo. An advisory committee may also be established to enhance governance.
A regulatory review, aimed at improving oversight, will be a critical part of the new framework, with the House proposing a completion date of September 1, 2029, while the Senate has suggested an earlier deadline of September 1, 2027.
Importantly, the lottery will continue to funnel funds into public education and veteran services, having contributed $34 billion to schools since 1997 and $267 million to veterans since 2010. Last year alone, it provided $2 billion for education and $27 million for veterans’ services, underscoring the importance of the lottery as a funding source.
A conference committee will now reconcile differences between the House and Senate versions before sending the final draft to Gov. Greg Abbott for approval.
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