Legislators moved a step closer Monday to allowing people the chance to vote for online Nebraska sports betting.
The General Affairs Committee advanced a constitutional amendment that would allow for online Nebraska sports betting to the floor of the unicameral legislature. The amendment, LR 3CA, would need approval by Cornhusker State voters before the legislature can set the legal framework for the industry.
If passed, the constitutional amendment could be on the November ballot, but only if lawmakers meet a four-fifths threshold required by the Secretary of State. If it receives three-fifths majority, online sports betting would be on the 2026 ballot.
Nebraska sports betting change
Sen. Eliot Bostar introduced the constitutional amendment at the start of a special session that began July 25. The amendment was alongside an accompanying framework bill, which would have allowed for a possible launch in 2025.
While LR 3CA advanced through the committee, LB 13 was left behind, as lawmakers opted to change the constitutional amendment to allow future legislators the option to fully legalize online sports betting. The language now says “lawmakers may permit” online sports betting if a majority of voters approve of the amendment.
Should the constitutional amendment receive voter approval in November, legislators could take up the issue in January 2025 when a new regular session convenes. There could be up to 17 new Senators in the 49-member legislature.
Ballot timing in question
For a regular session, three-fifths of the Nebraska Legislature must approve a constitutional amendment and submit it to the Secretary of State at least four months prior to the general election. The special session, however, is beyond the traditional deadline for referendums.
To make it on this November’s ballot, four-fifths of the legislature must approve the amendment, according to a Secretary of State spokesperson. The legislature must also submit the language to the Secretary of State by September 13, the deadline to certify the ballot.
Constitutional amendments can only be placed on the ballot in even-year elections.
Tax money for Nebraska
Gov. Jim Pillen called for the special session to provide property tax relief to the state. Bostar hoped to help that mission by raising money with online NE sports betting expansion.
Bostar projected online Nebraska sports betting could generate up to $32 million a year for the state. His bill would have sent 90% of sports betting revenue to a property tax relief fund.
Nebraska voters legalized casino gambling, including in-person sports betting, through a referendum in 2020. There are four in-person sportsbooks at casinos in the state.
Nebraskans try online sports betting
Geolocation company GeoComply reported more than 2 million location checks in Nebraska during the first six months of 2024. There were approximately 64,000 user accounts.
During an August 1 committee hearing, Danny DiRienzo, GeoComply senior director of government relations, told lawmakers there were approximately 40,000 accounts traveling across state lines to bet, largely to Iowa. Bostar mentioned those Nebraskans crossing state lines during the committee hearing.
“Thousands of Nebraskans are crossing state lines and supporting those economies,” Bostar said. “The demand for sports betting is clear, and directing revenue to the property tax credit fund can create much-needed relief.”
