Bill Text: TX SJR17 | 2023-2024 | 88th Legislature | Introduced


Bill Title: Proposing a constitutional amendment to foster economic development and job growth and to provide tax relief and funding for education and public safety by creating the Texas Gaming Commission, authorizing and regulating casino gaming at a limited number of destination resorts and facilities licensed by the commission, authorizing sports wagering, requiring occupational licenses to conduct casino gaming, and requiring the imposition of a tax.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2023-02-15 - Referred to State Affairs [SJR17 Detail]

Download: Texas-2023-SJR17-Introduced.html
  88R1410 KBB-F
 
  By: Alvarado S.J.R. No. 17
 
 
 
A JOINT RESOLUTION
  proposing a constitutional amendment to foster economic
  development and job growth and to provide tax relief and funding for
  education and public safety by creating the Texas Gaming
  Commission, authorizing and regulating casino gaming at a limited
  number of destination resorts and facilities licensed by the
  commission, authorizing sports wagering, requiring occupational
  licenses to conduct casino gaming, and requiring the imposition of
  a tax.
         BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 47(a), Article III, Texas Constitution,
  is amended to read as follows:
         (a)  The Legislature shall pass laws prohibiting lotteries
  and gift enterprises in this State other than those authorized by
  Subsections (b), (d), (d-1), and (e) of this section and Section 47a
  of this article.
         SECTION 2.  Article III, Texas Constitution, is amended by
  adding Section 47a to read as follows:
         Sec. 47a.  (a)  In this section, unless modified by general
  law:
               (1)  "Casino" means a licensed facility at which casino
  gaming is conducted.
               (2)  "Casino gaming" means any game of chance or
  similar activity that involves the making of a bet for
  consideration. The term includes wagering on any type of slot
  machine or table game as defined by the legislature, using money,
  casino credit, or any representation of value. The term does not
  include bingo, charitable raffles, or the state lottery authorized
  under Section 47 of this article.
               (3)  "Destination resort" means a mixed-use
  development consisting of a combination of various tourism
  amenities and facilities, including hotels, villas, restaurants,
  limited gaming facilities, meeting facilities, attractions,
  entertainment facilities, shopping centers, and casino gaming
  facilities. 
               (4)  "Education" means public education, public higher
  education, and adult education related to responsible gaming.
               (5)  "Gaming position" means a designated position for
  a person to engage in casino gaming at a table game or slot machine.
               (6)  "Limited casino gaming" means casino gaming in a
  licensed facility that is limited to not more than 750 gaming
  positions, of which not more than 25 percent may be at table games,
  as defined by the legislature.
               (7)  "Metropolitan statistical area" means a
  metropolitan statistical area designated by the United States
  Office of Management and Budget.
               (8)  "Public safety programs" means programs for crime
  prevention and law enforcement, including programs designed to
  prevent and prosecute crimes involving human trafficking.
         (b)  Casino gaming at a limited number of locations is
  authorized in this state in accordance with this section to foster
  economic development and job growth and to provide tax relief and
  funding for education and public safety programs.
         (c)  The legislature by general law shall establish the Texas
  Gaming Commission with broad authority to adopt rules the
  commission considers necessary or desirable for the strict
  regulation of casino gaming as authorized by this section. 
         (d)  The legislature by general law may authorize and
  regulate the placing of wagers on sporting events, as defined by
  general law.
         (e)  The legislature shall authorize the Texas Gaming
  Commission to:
               (1)  issue not more than four Class I gaming licenses to
  conduct casino gaming at destination resorts located in
  metropolitan statistical areas of this state with an estimated
  population of two million or more on July 1, 2021, provided that
  only one Class I licensed destination resort is located within any
  one metropolitan statistical area;
               (2)  issue not more than three Class II licenses to
  conduct limited casino gaming to applicants who, on January 1,
  2023, held and who continue to hold an active license to conduct
  pari-mutuel wagering on horse races at a racetrack located within a
  metropolitan statistical area with an estimated population of two
  million or more on July 1, 2021, and who comply with the
  requirements of this section, general law enacted pursuant to this
  section, and rules adopted by the Texas Gaming Commission under
  this section and general law;
               (3)  issue not more than two Class III licenses to
  conduct limited casino gaming to applicants who, on January 1,
  2023, held and who continue to hold an active license to conduct
  pari-mutuel wagering on greyhound races at a racetrack located
  within a metropolitan statistical area with an estimated population
  of less than two million on July 1, 2021, and who comply with the
  requirements of this section, general law enacted pursuant to this
  section, and rules adopted by the Texas Gaming Commission under
  this section and general law; and
               (4)  allow an Indian tribe recognized by the United
  States government under federal law to operate slot machines or
  casino gaming on its Indian land within this state and held in trust
  by the United States on January 1, 1998, in accordance with:
                     (A)  federal law; and
                     (B)  either:
                           (i)  an effective gaming agreement that
  includes a provision requiring the tribe to remit to this state a
  portion of its gaming revenue in an amount equal to the rate
  provided in the agreement; or
                           (ii)  general state law that includes a
  provision requiring the Indian tribe to remit to this state a
  portion of its gaming revenue in an amount equal to the rate
  provided by the general law.
         (f)  The legislature by general law shall direct the Texas
  Gaming Commission by rule to ensure license applicants who are
  granted a Class II license authorized by Subsection (e)(2) of this
  section continue to maintain significant live horse racing at the
  applicant's racetrack and maintain the applicant's primary purpose
  as a racetrack, and that limited casino gaming is used as a
  complimentary amenity to promote and support horse racing in this
  state.
         (g)  The legislature by general law shall authorize license
  holders who are granted a Class III license authorized by
  Subsection (e)(3) of this section to offer limited casino gaming
  under that license at any location within the same metropolitan
  statistical area as the holder's licensed greyhound racetrack. 
         (h)  To satisfy the intent of this section, the legislature
  by general law shall establish additional restrictions on the
  facilities of a license holder who holds a Class II or Class III
  casino gaming license authorized under Subsection (e)(2) or (e)(3)
  of this section, including limits on total square footage, gaming
  square footage, and overnight accommodations, for the purposes of
  adequately distinguishing between the license classes described in
  Subsection (e) of this section and limiting casino gaming to
  certain metropolitan statistical areas in this state.
         (i)  To ensure the greatest economic impact to this state
  from destination resorts granted a Class I license to conduct
  casino gaming, the legislature by general law shall direct the
  Texas Gaming Commission, in determining which applicants will be
  issued a license, to consider:
               (1)  the total investment to be made by each applicant;
               (2)  the total job creation and workforce diversity
  proposed by each applicant;
               (3)  each applicant's experience in resort development
  and casino operation;
               (4)  the potential tax revenue to this state from
  gaming and non-gaming activities at a proposed resort;
               (5)  whether entities operating or individuals
  residing in this state are part of the application approval process
  or are approved vendors; and
               (6)  whether an applicant intends to seek state or
  local tax incentives for their project.
         (j)  The legislature by general law may develop additional
  considerations and requirements for licenses to conduct casino
  gaming, and restrictions and penalties for the conduct of casino
  gaming in this state.
         (k)  To ensure that a requisite level of economic development
  and job growth benefiting the people of this state accompanies each
  destination resort granted a Class I license to conduct casino
  gaming, the legislature by general law shall require an applicant,
  as a condition of receiving and holding a license, to commit to
  building a destination resort with new total land and development
  investments of at least:
               (1)  $2 billion for a destination resort located in a
  metropolitan statistical area with an estimated population of five
  million or more on July 1, 2021; or
               (2)  $1 billion for a destination resort located in a
  metropolitan statistical area with an estimated population of two
  million or more but less than five million on July 1, 2021.
         (l)  The legislature by general law shall require that, in
  meeting the requirements of Subsection (k) of this section, total
  land and development investments proposed as part of an application
  to conduct casino gaming at a destination resort may not include
  public money or facilities developed or built with public
  assistance or tax incentives of any kind.
         (m)  The legislature by general law may allow land and
  development investments made in the five years preceding the date a
  license application for a Class I destination resort is submitted
  to be included in the calculation of new total land and development
  investment requirements under Subsection (k) of this section. 
         (n)  The legislature by general law shall impose a tax on the
  casino gaming revenue of casino gaming license holders in this
  state. The legislature shall set the tax rates for casino gaming
  at:
               (1)  10 percent of the gross gaming revenue from table
  games, as defined by the legislature; and
               (2)  25 percent of the gross gaming revenue from slot
  machines, as defined by the legislature.
         (o)  The legislature by general law shall establish
  procedures to determine whether a Class I license application meets
  the investment requirements of Subsection (k) of this section and
  whether an applicant who is granted a Class I license satisfies the
  investment commitments made in their application.
         SECTION 3.  This proposed constitutional amendment shall be
  submitted to the voters at an election to be held November 7, 2023.
  The ballot shall be printed to permit voting for or against the
  proposition: "The constitutional amendment to foster economic
  development and job growth and to provide tax relief and funding for
  education and public safety by creating the Texas Gaming
  Commission, authorizing casino gaming at a limited number of
  destination resorts and facilities licensed by the commission, and
  authorizing sports wagering."
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