Online Nebraska Sports Betting Bill Coming In January As Special Session Looms


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Nebraska sports betting

A bill to legalize online Nebraska sports betting is coming in January, but some involved want that timeline significantly accelerated.

Gov. Jim Pillen made the announcement during a Thursday press conference previewing the July 25 special legislative session to address property taxes. Right now, NE sports betting is limited to four retail locations in the state.

“Online sports betting is real, and it is happening in the state,” Pillen said. “Whoever wants to do it is doing it, and we’re giving all the revenue to our neighbors. I will put forth, and it will be a priority bill, in January to approve online sports betting.”

‘Priority’ NE sports betting bill

Online NE sports betting legislation as a priority bill means it will be considered ahead of other bills in debate.

Gaming industry stakeholders want online Nebraska sports betting to be discussed next week rather than wait until the new year.

“Online sports betting would be a viable way to reduce the property tax burden since it would bring approximately $30 to $32 million per year in additional tax revenue for the state.” Lynne McNally, government relations director for WarHorse Casino, told LSR on Thursday. “We had the first bricks-and-mortar sportsbook in the state of Nebraska. We’re doing well and very pleased with it. However, online betting dwarfs retail in every single state they have it.”

Call for special session

McNally said the online sports betting legislation they want discussed next week would direct 90% of online sports betting revenue to the state’s property tax relief fund. The May 2021 legislation to legalize retail sports betting directs 70% of gaming revenue to property tax relief.

“I have spoken to several people in the legislature, and the consensus seems to be (online sports betting) will be discussed,” she said. “But we never know until Gov. Pillen issues the call.”

The Governor did not say exactly what the agenda for next week’s special session would include. If online sports betting is discussed and approved during the July 25 session, it would create a constitutional amendment. Voters would then decide the issue in November.

NE sports betting financials

Through May this year, the four in-person Nebraska sportsbooks combined for $1.7 million in revenue. Harrah’s Columbus Casino and Racing only started accepting sports wagers in May.

The state taxes gaming revenue at 20%. According to Nebraska Racing Commission data, the state collected $342,000 from operators between January and May.

All gaming contributed $8.8 million to state coffers during that time. The state’s property tax relief fund received $6.1 million.

Photo by AP/Phelan M. Ebenhack