Nebraska Lawmakers Inch Closer To Sending Mobile Betting Referendum To Voters

Nebraska’s Senate Monday approved LR 20CA, the constitutional amendment that would expand legal sports betting in the state from retail only to online. The measure must pass two more votes before it could get on the November 2026 ballot.

The bill passed 27-16, with some discussion and the feeling that not even bill sponsor Eliot Bostar is sold on legal online gambling in Nebraska.

“I introduced this not because I think gambling is a great thing, not because I want everyone to do it, not because I think you should like it or anyone should, but fundamentally because it’s already happening,” he said.

Proponents of online gambling often argue that Americans are already betting offshore. The American Gaming Association puts the size of the illegal market at $64 billion nationwide. Politicians and stakeholders say there are multiple benefits to regulation — states would collect tax dollars. and bettors would have more strident consumer protections and problem and responsible gambling tools available.

Retail betting launched in ’23

Nebraskans voted for a gambling expansion in November 2020. At that time, it was not clear if sports betting was included in the package, and if it was, whether it would be retail or online. Lawmakers ultimately decided to limit betting to in-person.

The first brick-and-mortar sportsbook opened in June 2023. Since then, according to public records, operators have reported $7.9 million in revenue and paid the state $1.6 million in taxes. In 2024, $53.6 million was bet and operators had revenue of $4.6 million.

Gambling tax revenue is earmarked for property tax relief.

Should the bill reach the ballot, voters would be asked to vote “for” or “against” the following:

A constitutional amendment to permit an authorized gaming operator conducting sports wagering within a licensed racetrack enclosure to allow a sports wager to be placed by an individual located within the State of Nebraska at the time the individual places the sports wager by means of a mobile or electronic platform.

Motion to defer vote made, withdrawn

During debate Monday, state Sen. Brad von Gillern moved to indefinitely postpone the vote. Though he says he is opposed to legalization, he argued that “young men” would benefit most from regulation. Multiple studies show that young men are most at risk to develop gambling addiction. Von Gillern ultimately withdrew his motion.

Nebraska has America’s only unicameral legislature, meaning there is a single chamber. LR 20CA was put on the “general file,” meaning it could be brought up before the full Senate.

Should the bill pass, lawmakers would have to craft a framework, including an application process, fee structure, and tax rate. That means the earliest those in Nebraska would be able to bet would be 2027. The enabling legislation died in committee.

Nebraska’s legislature is set to adjourn June 9.