Native American Tribe to Open First Casino Outside Reservation Land in Texas

The Alabama-Coushatta Tribe of Texas, which already owns a tribal casino in Livingston, TX, recently announced plans to develop a new casino resort. But that’s not entirely the headline here. What’s intriguing is that this casino is going to be based outside the tribal reservation. That is, on Texas state owned land, where casino games are strictly forbidden.

It is not a mere technicality, but a ground breaking move in what would become the first Native owned casino in Texas (not on Native land). The project already has a name, the Naskila Casino Resort (not to be confused with the Naskila Casino that is the tribe’s existing casino in Livingston). For a state that has so strictly fought against legal gambling proposals, and prohibits virtually everything besides bingo, charity raffles, lotteries and horse racing, it raises an interesting question. Is this the start of something bigger?

Naskila Casino Resort – What We Know

The new project was announced by the chairwoman of the Alabama-Coushatta Tribe, Cecilia Flores. She revealed that the tribe had received consent from the National Indian Gaming Commission on the 23rd of September, and that the tribe was given the go ahead to build a second casino. A petition was made to the NIGC regarding the games on tribal properties outside the reservation, sitting in eastern Polk County. The land in Leggett, which was under question here, was deemed eligible for gaming by the NIGC.

What we know about the Naskila Casino Resort, so far, is that they plan to target Houston based players with electronic bingo style games, a potential hotel, and resort facilities. They cannot offer any other types of games, due to the laws of the land. But there may be an option to integrate bingo slots. These are games in which you play against other patrons, sort of like a peer to peer bingo slot game.

Texas Stance on Gambling Legislation

Texas is one of the more conservative states when it comes to gambling, and it prohibits practically all casino gaming. There have been attempts to legalize sports betting in Texas, but none have made it past the Republican controlled state. The lawmakers cite moral reasons for keeping casinos out. Particularly when it comes to player welfare, and the negative social impacts that casino games can instill.

Only a few forms of gambling are deemed legal, and approved of by the Texan lawmakers. Bingo games are allowed in Texas, so long as they obtain a license from the Charitable Bingo Operations of the Texas Lottery Commission. These are pretty restrictive, with max payouts going up to $750 and session limits. Raffles are similarly allowed, but only in moderation. Parimutuel wagering is allowed at racetracks for horse and greyhound racing. It is overseen by the Texas Racing Commission. So you can bet on horse races, and Texas has plenty of popular parks including Sam Houston, Retama, and the famous Lone Star park.

But casino games and sports betting is not allowed online or offline. That is, if you are physically located in the state of Texas, and not on Native reservation land.

Tribal Casinos in Texas

This will be the second tribal casino that belongs to the Alabama-Coushatta Tribe, who opened their first venue, Naskila Casino, back in 2016. Currently, there are three casinos operating in Texas:

• Kickapoo Lucky Eagle Casino (Kickapoo Traditional Tribe).
• Speaking Rock Casino (Ysleta del Sur Pueblo, also known as the Tigua tribe).
• Naskila Casino (Alabama-Coushatta Tribe)

The facilities all offer Class II gaming, which covers electronic bingo style slots and other machines. They don’t have Class III type games, which encompass roulette, craps, blackjack, and other casino staples. This is because of a US Supreme Court case, the Ysleta del Sur Pueblo v. Texas, in which the court ruled that tribal casinos can offer Class II games, regardless of the lawmakers’ objections, so long as they are permitted by state law in some form.

Gambling Legislation Nearby

While Texas may be one of the more staunch anti gambling states, it is pretty isolated when you look at the gambling facilities in neighbouring states. Louisiana has landbased casino venues like Harrah’s New Orleans, and it is home to a number of riverboat casinos and racinos. Texas’s eastern neighbor also has legal sports betting.

To the Northeast, Oklahoma has a huge tribal gaming market, with venues like Winstar World Casino that have thousands of slots games, and draw in many Texan gamers across the border. Arkansas, which has legal commercial casinos and sports betting, is another example. Texas’s neighbors may not have the biggest casinos in the US, but they certainly have ample gambling options for passing gamers.

But looking South, to Mexico, the gambling scene is rife and on the rise. Mexico’s landbased casinos are spread out across the country, and while most of them sit in Tijuana under the Californian border, there are also gaming venues in Monterrey, which is a 6 hour drive South of San Antonio, TX. Closerby, there are casinos on the Texas-Mexico border at Nuevo Laredo, Piedras Negras, Matamoros and Reynosa.

Where Texas Stands with Online Casinos and Sportsbooks

In a state where landbased gambling meets with such high opposition, it is no wonder that online casinos and sportsbooks are also illegal. Though not for lack of trying. Major operators have lobbied for Texas to consider the positives of a legalized sports betting industry, including the likes of DraftKings, FanDuel and Caesars. Though whenever there are legislative pushes, they tend to hit a wall in the Senate.

The appetite would definitely be there. Texans spend billions on internationally regulated sportsbooks and online casinos, but these are not recognized in the Lone Star state. The demand to bet on popular local sports franchises, collegiate teams, and hit popular casino games like blackjack or poker is undeniable. But lawmakers relentlessly push back on any motions that would even consider the idea of bringing legal gambling to Texas.

First Casino on Texas State Territory – Looking Forward

Naskila Casino Resort could be a pioneering move forward in that regard. It has the potential to fuel the appetite of Texan gamers, and to test the authorities’ resistance with the introduction of casino style gaming within Texas state borders. Of course, there is a chance that the project will be so severely constrained that it will end up burning out in a few years, and disappear.

The tribe stated that one of its main goals, in launching the Naskila Casino Resort, is to create jobs for locals and boost tourism in the area. It is a bold move for the tribe, who have had their fair share of tussles with the Texan lawmakers in recent years. Whatever happens, it will be interesting to keep an eye on how the proposal moves forward, and how the tribe intends to circumvent the tough laws, while delivering what is essentially the first casino in Texas state borders.