It's dead in the water for now, unfortunately. Here's how the Obama administration operates. (Remember, Obama is the head of the executive branch, whose function is to enforce the laws of the land. As such, the Department of Justice follows his orders or, at the very least, has his implicit blessing for their actions.)
When the Texas Senate was about to pass the legislation that would make TSA pat-downs a sex crime, a US Attorney (working in Obama's Department of Justice... in case you thought that W's DoJ was still running things, which would be an honest mistake) threatened to cancel all flights in and out of Texas. Here's the text of John Murphy's threat.
After the threat was made, the support for the law in the TX Senate dissipated. The legislation was tabled and, last Wednesday, was put to bed (at least until next term). Nonetheless, at least one TX representative, David Simpson, is not letting the matter go (and good for him!).
Here's a little bit more on the legal fight. And a dumb post from Jaunted (Hey! They called the legislation "dumb" so I'm just returning the favor!). Let's hope, however, that more states stand up to the TSA and force Obama into the awkward position of admitting that he is personally responsible for this, this, and this, just in time for the 2012 re-election campaign.