HB 1842

Overall Vote Recommendation
Neutral
Principle Criteria
neutral
Free Enterprise
neutral
Property Rights
neutral
Personal Responsibility
negative
Limited Government
positive
Individual Liberty
Digest
HB 1842 amends the Texas Occupations Code to expand the allowable methods nonprofit wildlife conservation organizations can use to sell raffle tickets for charitable purposes. Previously, state law prohibited the use of websites for ticket sales and restricted the advertising of raffles through mass media. HB 1842 updates these provisions to reflect modern fundraising practices, specifically allowing qualified nonprofit wildlife conservation groups, including their local chapters and affiliates, to use their organization's Internet website to sell or offer raffle tickets to previously identified supporters.

The bill maintains several key restrictions to prevent misuse and broad commercialization of charitable raffles. It clarifies that nonprofit organizations may not use the website to provide animated graphics or videos of either raffle entries or the drawing process. It also preserves the prohibition on paid mass media promotion of raffles, while still allowing targeted communications through email, newsletters, and social media—so long as they are directed at known supporters of the organization.

By enabling these nonprofits to conduct online ticket sales to a limited and known audience, the bill supports conservation-focused charitable work while continuing to guard against unregulated or large-scale gambling activity.
Author (1)
Ryan Guillen
Co-Author (1)
Bradley Buckley
Fiscal Notes

According to the Legislative Budget Board (LBB), HB 1842 is not expected to have any fiscal impact on the State of Texas. The bill's provisions, which allow qualified nonprofit wildlife conservation organizations to sell charitable raffle tickets via their Internet websites to previously identified supporters, do not introduce any new state programs, regulatory frameworks, or enforcement burdens that would require additional funding or administrative resources.

Similarly, no fiscal implication is anticipated for local governments. The bill neither imposes mandates on local entities nor creates any new revenue streams or expenditures for counties, municipalities, or other local jurisdictions. Because the scope of the bill is narrowly tailored to specific nonprofit activities and preserves key restrictions on advertising and animation, it is not expected to generate significant economic or regulatory ripple effects requiring government intervention at any level.

In summary, HB 1842 is a low-impact measure from a fiscal perspective. It modernizes charitable raffle practices for certain organizations without triggering costs to state or local governments.

Vote Recommendation Notes

HB 1842 proposes a narrowly tailored update to the Charitable Raffle Enabling Act by allowing qualified nonprofit wildlife conservation organizations to sell raffle tickets through their organization’s Internet websites. This change is limited in scope: tickets may only be sold to “previously identified supporters,” and websites are prohibited from showing any form of animated raffle entries or drawings. The bill retains existing prohibitions on mass media promotion, while allowing targeted outreach through newsletters, email, and social media aimed at supporters.

From a policy perspective, the bill does improve upon current law in a modest way. It acknowledges the digital realities of modern fundraising and provides a pathway for certain nonprofits to reach their donors more effectively without resorting to large-scale, unregulated online gaming. The fiscal note confirms there is no cost to the state or local governments, and no new criminal offenses or regulatory burdens are created that would significantly expand state power. These factors make the bill a modest step in the right direction from the standpoint of enabling civil society to operate with more freedom.

However, the bill's limited scope raises several concerns that warrant a NEUTRAL position. First, by granting this online raffle privilege exclusively to wildlife conservation associations, the bill creates a carve-out that favors one category of nonprofits over others. There is no clear justification in the bill for why other qualified charitable organizations, such as veterans groups, volunteer fire departments, or educational nonprofits, should remain excluded from using similar online tools. This selective application may be seen as a continuation of a regulatory patchwork rather than a consistent, principle-based reform.

Second, the bill introduces subjective and potentially burdensome compliance standards. The restriction to "previously identified supporters" is not clearly defined in statute, and the prohibition on “graphic or dynamic animation” is ambiguous. These provisions may invite bureaucratic interpretation or enforcement difficulties for organizations that wish to comply but lack clarity on what is permitted. The result is that some nonprofits, particularly small, rural, or volunteer-run ones, may be deterred from participating due to uncertainty or risk aversion.

Additionally, for those who generally support expanding gambling rights but oppose bureaucratic entanglements, the bill’s approach represents an incremental improvement that falls short of broader reform. Rather than expanding liberty uniformly, it introduces new regulatory language and exceptions that perpetuate a managed, selective structure, benefiting some, restricting others, and potentially reinforcing the regulatory framework critics hope to dismantle.

For these reasons, Texas Policy Research remains NEUTRAL on HB 1842. While the bill is unlikely to cause harm and may offer marginal benefits to a specific group of nonprofits, it fails to deliver a broad-based, consistent policy solution. It neither goes far enough to earn enthusiastic support from advocates of liberty and regulatory reform, nor does it pose risks serious enough to justify opposition. A more robust reform, opening online raffle sales to all qualified nonprofits with clear and limited regulatory parameters, would be a stronger step forward. Until such a policy is offered, neutrality remains a principled and reasonable position.

  • Individual Liberty: The bill modestly supports individual liberty by enabling previously restricted activity, online raffle ticket sales, by nonprofit wildlife conservation groups. It expands the means by which these organizations can engage with their supporters and raise funds. The ability of individuals to voluntarily participate in charitable raffles conducted online, and to support the missions they believe in, reflects core values of freedom of association and expression. However, the impact is tempered by the narrowness of the reform. The bill applies only to a specific class of nonprofits, excludes the general public from participation (sales only to “previously identified supporters”), and imposes vague restrictions (e.g., a ban on “graphic or dynamic animation”). These conditions may inadvertently chill speech and limit broader participation, diluting what could have been a more robust affirmation of individual liberty.
  • Personal Responsibility: The bill does not directly implicate or interfere with the concept of personal responsibility. It does not impose mandates or shift risk from individuals to the state. To the extent that it enables more nonprofits to raise funds independently, it reinforces the notion that civil society actors can and should take responsibility for their own missions without public funding. Still, the bill neither advances nor undermines personal responsibility in a meaningful way.
  • Free Enterprise: The bill introduces a limited expansion of economic freedom for a narrow class of nonprofits by allowing them to leverage their websites for online ticket sales. This represents a movement toward embracing digital tools in nonprofit fundraising, a positive development for enabling low-cost, decentralized fundraising activity. However, the bill also reinforces a regulatory structure that picks winners and losers. Only wildlife conservation associations (and their affiliates) benefit, while all other qualified charitable organizations remain barred from engaging in the same activity. This kind of selective deregulation undermines the principle of free enterprise, which is grounded in open competition and equal opportunity under the law.
  • Private Property Rights: While the bill does not involve physical property, it touches on the autonomy of nonprofit organizations to control their own digital platforms, i.e., their websites, and how they use those platforms to engage with their communities. In that sense, it affirms a degree of organizational autonomy. However, the bill simultaneously places content-based restrictions on what these organizations may display on their websites, potentially limiting their ability to freely use their own resources. That said, there are no new infringements on property or contractual rights, and no takings or mandates, so the net effect on private property rights is neutral.
  • Limited Government: This is where the bill's liberty alignment is weakest. While the bill rolls back a specific prohibition, it does so in a way that codifies new regulatory language, including vague and potentially burdensome terms like "previously identified supporters" and "graphic or dynamic animation." These may require administrative clarification or enforcement and could invite disputes or oversight mechanisms not currently in place. Rather than a broad-based reform that reduces government control over charitable gaming, the bill reinforces the managed regulatory architecture of the Charitable Raffle Enabling Act. It reflects a growing trend in Texas policy of enacting narrow, exception-based reforms instead of applying broad, principle-based liberty expansions across sectors.
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