Nebraska online sports betting bill stalls in state legislature

Nebraska Online Sports Betting Measure Bill
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A legislative effort to bring online sports betting to Nebraska is done for the year.

On Wednesday, Sen. Eliot Bostar ended his legislative attempt to authorize a constitutional amendment that would have put online sports betting on the ballot for the 2026 general election. Bostar’s measure, LR20CA, was introduced in January and later passed out of the General Affairs Committee after garnering bipartisan support.

Earlier this month, LR20CA was approved by Nebraska’s unicameral legislature by a 27-16 vote in its first of three requisite full-chamber floor votes. The measure failed to maintain its momentum on Wednesday with the majority of lawmakers voicing their opposition to the bill. The disapproval led Bostar to pull the measure due to a lack of Senator support.

Opponents of LR20CA included former Nebraska football coach and politician Tom Osborne. Former Nebraska Gov. Kay Orr also voiced her opposition to the measure.

Lawmakers opposed LR20CA due to problem gambling and social concerns, including bankruptcy and drug abuse. On the other hand, Bostar and LR20CA’s supporters believed the measure could generate additional tax revenue while also shrinking the state’s illegal market. Bostar estimates that Nebraska is losing out on $32 million in tax revenue annually due to regulated neighboring states and the prevalence of offshore operators.  

The framework of Bostar’s legislation

Bostar’s measure proposed Nebraska to allow up to six online sports betting platforms to operate in the state. Under LR20CA, operators were required to secure partnerships with licensed racetracks across the state with tax revenue from wagering allocated toward public education and the Nebraska Environmental Trust, which supports conservation.

BetMGM, Caesars, DraftKings, FanDuel and Fanatics all voiced their support of LR20CA but the group of operators will have to remain patient until the next legislative session. The operators also have the opportunity to fund a ballot initiative backed by residents.

The referendum requires support from 10% of state voters for the issue to be considered. Nebraska’s legislative session runs through June 9 but can have bills carry-over into 2026.

The public-led initiative and bill carry over give Nebraska hope to host online betting.

Nebraska’s current sports betting market

The Cornhusker State opened its doors to retail sports betting in 2023 with wagering only authorized at licensed casinos. Nebraska legalized retail wagering following a lengthy approval process of the state’s regulatory framework by former Gov. Pete Ricketts.

Earlier this year, Sen. Tom Brandt introduced a measure to change Nebraska’s retail wagering law. The measure, Legislative Bill 63, amends the Nebraska Racetrack Gaming Act to allow pre-match and live wagering on in-state college sporting events.

Active Nebraska law bans wagering on in-state events if played within the state. If enacted, LB 63 opens the door for sports fans in Nebraska to freely wager on marquee sporting events hosted by the University of Nebraska and Creighton University. Nebraska is also home to the Summit League’s University of Nebraska-Omaha athletic program.

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