Texas lawmakers are debating an amendment to a tax structure bill, which would enable charitable bingo organizations to use an electronic version of pull-tab bingo to increase their income. Many critics are concerned that these machines are too similar to standard slot machines, and may lead to the legalization of class III slot machines. They cite a similar trend in Oklahoma and four other states, where allowing bingo machines led to the legalization of more gambling opportunities.

Defenders of the bill claim that there is enough of a difference between the bingo-based machines and standard slot machines, and support a clause which would specify that the law could not be used to apply to slot machines. In addition, the machines would only be licensed to bingo license holders with licenses since at least the first of the year.

Charitable organizations, which rely on profits from bingo, support the amendment, saying that they have experienced significant losses of revenue in recent years and these machines could help re-coup the loss. In their defense, they claim that if these games were like slot machines, then horse and dog tracks would immediately demand their rights to slot machines, which does not seem to be the case.

Republican Sen. Jane Nelson expressed concerns that if the amendment is an issue of gambling policy, then it needs to be presented as a separate bill, and not just as an amendment, allowing the requisite debate on the subject.

The proposed bill is expected to produce $100 million in state tax revenues in the first two years.