A renewed effort to legalize online sports betting in Nebraska is gaining traction as supporters prepare a petition campaign to put the matter directly to voters in the 2026 election. After years of stalled legislative attempts, advocates now hope that a constitutional amendment via referendum will succeed where lawmakers have not.
Currently, Nebraskans can only place sports wagers at licensed retail casinos, forcing many to either cross state lines, use offshore platforms, or circumvent location restrictions through VPNs. This restriction, supporters argue, has created a revenue leak to neighboring states.
Petition Seeks Ballot Access for 2026 Election
To qualify for the 2026 general election ballot, petition organizers must gather signatures from 10% of Nebraska’s registered voters, amounting to approximately 125,000 valid names. The signature drive is expected to begin within the coming weeks.
Lynne McNally of WarHorse Casinos, which operates venues in Omaha and Lincoln, voiced her concerns about lost tax dollars: “The bottom line is, you’re allowing tax money to go to Iowa, Kansas, Colorado, just like with the casinos. People are using VPNs, and they’re disguising their location, pretending they’re in Iowa,” she said.
Supporters estimate that legalizing mobile sports betting could generate as much as $32 million annually in new tax revenue. That figure reflects only the beginning of what proponents believe is a largely untapped market within the state.
Legislative Route Blocked by Filibuster
Earlier this year, Senator Eliot Bostar’s resolution (LR20CA) to legalize mobile sports betting through a constitutional amendment gained momentum, passing the Nebraska Senate on a 27–16 vote. However, a second required vote was blocked by a filibuster, stalling progress indefinitely.
Nebraska’s unicameral legislature requires three successful votes with two-thirds majority approval for constitutional amendments to appear on a ballot. The repeated failure to move bills forward prompted supporters to turn their attention to a citizen-led initiative.
Senator Bostar noted during discussions that casino operators had warned they would pursue a petition drive if the legislature failed to act. Senator John Cavanaugh, although cautious about expanding gambling, agreed that lawmakers should take control of how such measures appear on the ballot rather than leave it solely to the casino industry.
Pushback Centers on Social Risks
Opponents of online betting in Nebraska continue to express concern about the potential for increased gambling addiction, especially among younger men. During earlier debates, critics—including former football coach Tom Osborne—argued that the convenience of mobile betting could lead to mental health issues, financial distress, and even family breakdown.
These social concerns have long shaped the debate over gaming in the state and are expected to feature prominently as the petition effort moves forward.
National Momentum Adds Pressure
Nebraska’s initiative parallels movements in other states. In Georgia, efforts are underway to push gambling legislation onto the 2026 ballot, following years of deadlock. Backers cite success stories in nearby states: North Carolina earned $116 million in tax revenue from online sports betting in its first year, while Tennessee, which operates online-only, reported over $97 million last year.
Though opponents warn of societal costs, supporters counter that a regulated market is safer than illegal alternatives—and that the decision should ultimately be left to voters.
Source:
“Petition drive will seek to legalize online sports betting in Nebraska”, nebraskapublicmedia.org, Sep 18, 2025.
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