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Texas Lottery Transitions to New Agency, Faces Sunset Review in 2029
AUSTIN, Texas – The Texas Lottery is undergoing a significant shift in oversight, transferring from the Texas Lottery Commission to the Texas Department of Licensing and Regulation (TDLR) as of September 10th. The move, mandated by Senate Bill 3070, aims to revitalize the lottery’s operations after recent challenges, including a high-profile legal battle over a delayed jackpot payout.The transfer comes as TDLR prepares to establish both a lottery advisory commitee and a bingo advisory committee,approved through emergency rulemaking by the Texas commission of Licensing and Regulation earlier this month. These committees will begin meeting quarterly to inform decisions regarding the games. The emergency rules will remain in effect until January 8th while a standard rulemaking process establishes permanent regulations. Appointments to the committees will begin at the licensing commission’s september 4th meeting.
The transition isn’t without long-term considerations. The state’s Sunset Advisory Commission will review TDLR’s lottery operation in 2029. Without legislative action to reauthorize the agency, the Texas Lottery will be abolished on September 1, 2029.
Recently, the lottery commission settled a lawsuit with a woman who was initially denied her $83.5 million jackpot after purchasing the winning ticket through a lottery courier. The commission agreed to pay the woman after initially citing ongoing investigations as a reason for the delay.
TDLR Executive Director Brian Nettles emphasized the broader impact of the lottery, stating, ”whatever a player wins, whatever it is, he turns around and gives it right back,” referring to the economic stimulus generated by winners’ spending. He also highlighted the importance of the lottery’s success for both TDLR’s reputation and state revenue allocated to public schools.
