On Wednesday, April 5, 2023, a Texas House committee will hold the first hearing for House Bill 2345, a social poker bill supported by Texans for Hold’em, a lobbying group representing some of the state’s largest poker rooms. This bill, introduced in February 2023, will be discussed by the House Committee on Licensing & Administrative Procedures at an 8:00 am hearing. The bill has already passed its first mandatory reading on the House floor.
HB 2345 is sponsored by three Democratic Texas state representatives: Ryan Guillen, Senfronia Thompson, and Oscar Longoria. Additionally, a companion bill to HB 2345, State Senator Jose Menendez’s SB 1681, is awaiting consideration in the Texas Senate’s Committee on State Affairs.
The hearing will also consider HB 1601, another social-poker bill introduced by Rep. Eugene Wu (D-Houston). However, HB 1601 has been amended recently and now has the potential to alter Texas’s social-poker scene significantly, possibly making it much less accessible.
Key Aspects of HB 2345
HB 2345 includes two significant changes to Texas’s existing gambling laws that its supporters believe will create a clearer legal path for social-poker clubs to operate:
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Economic Benefit Definition: The bill seeks to redefine the term “economic benefit” to only apply to direct winnings from poker games, excluding things like membership fees or time-based seat charges. The new definition would clarify that any benefit not directly tied to the poker game itself does not count as economic benefit.
The proposed language states: “‘Economic benefit’ means direct winnings from a game of skill or luck. The term does not include a benefit received before a game commences or after payment of the direct winnings from the game.”
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Private Place Definition: The bill aims to clarify the types of venues where poker games can legally occur. Under the current law, poker is prohibited in many locations, but HB 2345 proposes adding more specific conditions for what constitutes a “private place” where poker can be played. It includes a provision that defines such places as those where the public cannot enter without a valid membership, special invitation, or prior permission.
Impact on Texas Poker Clubs
If passed, HB 2345 would provide a legal framework for the state’s social-poker clubs to operate within the boundaries of the law, offering clarity for both poker clubs and players. This change would ensure that poker rooms can continue to host games legally, as long as they meet the revised definitions of “economic benefit” and “private place.”
In contrast, Rep. Wu’s HB 1601 has stirred controversy and, if passed in its original form, would likely have led to the closure of many social poker clubs across the state, drastically impacting the local poker scene.
The outcome of the April 5 hearing could significantly shape the future of social poker in Texas, with key decisions set to be made on both HB 2345 and the competing HB 1601.
