The Alabama Legislature is nearly halfway through its 2026 session, the point when priorities narrow and unlikely proposals begin to fade. Two House Democrats have revived one of the state’s most persistent debates: gambling and a state lottery.
Rep. Phillip Ensler, D-Montgomery, said he plans to file the Clean Lottery Act, a constitutional amendment that would allow voters to decide if Alabama should establish a lottery. Meanwhile, Rep. Kelvin Lawrence, D-Hayneville, is sponsoring House Bill 262, which would expand pari-mutuel betting in six counties.
Both lawmakers argue the state can no longer ignore the issue, even as both face steep paths to passage.
Ensler’s lottery plan focuses on resident rebates
Ensler has framed his proposal around a simple premise: Alabama is losing revenue daily to neighboring states. Residents frequently drive to Tennessee, Florida or Mississippi to buy tickets—money Ensler argues should stay in-state.
While the final bill language has not been released, Ensler said lottery proceeds would be directed toward three priorities:
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Direct Rebates: Checks sent to Alabamians to offset household expenses.
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Health Care: Funding to support struggling rural hospitals.
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Education: Support for teacher pay, retiree benefits, and scholarships for college and technical programs.
Previous projections suggest a lottery could generate up to $400 million annually, though exact figures vary. While public support is high—polling consistently shows more than 70% of Alabamians favor a lottery-only proposal—the hurdle remains structural.
Because the Alabama Constitution bans most forms of gambling, any change requires a three-fifths legislative majority before it can be placed on a statewide ballot. Past attempts have failed due to disputes over revenue distribution and whether to include broader casino-style expansions.
Lawrence proposes pari-mutuel betting
Lawrence’s bill takes a narrower approach. HB 262 would authorize pari-mutuel betting—typically associated with horse or greyhound racing—in Jefferson, Greene, Macon, Mobile, Houston and Lowndes counties.
Several of these areas already have a history with gaming. Houston County operates under a Class C bingo permit, while Lowndes County’s bingo hall closed in 2023. The proposal would also permit historical racing machines, which are electronic terminals based on the results of past races.
Lawrence said the goal is regulation and taxation, arguing that a controlled expansion would create steady revenue for local communities. Supporters view historical horse racing as a moderate step rather than a leap toward full casino gaming.
High public approval faces legislative hurdles
Despite strong public interest, lottery bills have historically struggled to gain traction among GOP leadership. There has been little indication that top Republicans intend to make gaming a priority this year. Some political analysts suggest Republican leaders are wary of placing a gambling amendment on the ballot, fearing it could increase Democratic voter turnout during an election year.
Alabama remains the only state east of the Mississippi River without a lottery. Currently, most legal gambling in the state is limited to venues operated by the Poarch Band of Creek Indians or locations authorized by specific local constitutional amendments.