Las Vegas Sands, among the world’s largest gaming companies, has set its sights on legalizing casinos in the state with a stable of high-powered lobbyists for the upcoming legislative session — and on Tuesday, a public acknowledgment of its ambitions. Andy Abboud, Las Vegas Sands’ top lobbyist, said the company was pursuing Texas as one of only a few expansion opportunities, along with places like Japan, Brazil and New York.

 

“We view Texas as a worldwide destination and one of the top potential markets in the entire world,” Abboud said during a conference hosted by the Texas Taxpayers and Research Association. “Texas is considered the biggest plum still waiting to be out there in the history of hospitality and gaming.”

 

For over a half hour Tuesday, Abboud made a robust pitch for legalizing casino gambling in Texas, putting a clarifying exclamation point on recent speculation that Las Vegas Sands was targeting the state. He proposed a “limited number of destination resorts in Texas,” in or near big cities, that would not aim to replicate Las Vegas but would “blend into existing infrastructure.” He said a “strict regulatory environment” would be an “absolute requirement.” And he urged lawmakers to require bidders to make a “minimum investment of 1 or 2 or 3 billion dollars so that you absolutely only get the best companies bidding and they are forced by law to build an incredible facility.”

 

Las Vegas Sands’ interest in Texas is coming to light after a November election in which Adelson and his wife, Miriam Adelson, ranked among the top donors to Republicans’ successful battle to preserve their majority in the state House. The couple donated $4.5 million in September to a Texas account affiliated with the Republican State Leadership Committee, the top national GOP group involved in state legislative races.

 

Previous efforts to legalize casino gambling in Texas have not taken off, though the appetite could be different this session, when lawmakers are faced with a $4.6 billion budget shortfall. That has generated speculation about new revenue sources, including “sin taxes” such as legalizing casino gambling and marijuana.

 

“They are job creators, they hire a lot of additional employees, they have tremendous purchasing power,” Abboud said of casinos. “But they are also tremendous generators of tax revenue.”

 

State leaders have shown little openness to more gaming in Texas, let alone casino gambling. In 2015, Gov. Greg Abbott said he “wholeheartedly” supported Texas’ gaming restrictions while ordering state lottery officials to stop exploring sports betting games.The state has some of the strictest gambling laws in the country, but there are a few exceptions where the practice is allowed, such as bingo, the state lottery, and at horse or greyhound dog races. Through court decisions and legislation in the 1980s, three federally recognized Native American tribes operate casinos with limited games — in Eagle Pass, El Paso and Livingston.

 

Speculation about Adelson’s plans mounted in recent weeks as Las Vegas Sands hired 10 lobbyists who are deeply connected at the Capitol. They include people like Gavin Massingill, chief of staff to outgoing House Speaker Dennis Bonnen, R-Angleton; Drew DeBerry, a former senior staffer to Abbott; Karen Rove, the wife of veteran Republican strategist Karl Rove; and Mike Toomey, a chief of staff to two former governors.

 

Toomey left lobbying earlier this year to serve as chief operating officer of Abbott’s Strike Force to Open Texas, focused on business reopenings during the coronavirus pandemic.

 

While Abboud spoke effusively Tuesday about the potential for Texas to become a world-class destination for casino gambling, he sought to keep expectations in check when it comes to the industry’s fiscal impact.

 

“We should be very clear,” Abboud said. “We will never pretend to say that we will solve all the economic problems of a state. We will help diversify an economy because of the wide range of taxes that we pay.”In Texas, for example, casino gambling could help guard against the volatility of the oil and gas industry, Abboud said.

 

Asked if Las Vegas Sands has found states to be more amenable to casinos if their revenue is dedicated to something like public education, Abboud said Las Vegas Sands has not taken a position on that, believing it is a decision best left up to lawmakers.

 

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