A bill to expand online Nebraska sports betting was introduced on Thursday during a special session called to address property tax relief.
Currently, sports betting in Nebraska — which launched in June of 2023 — is limited to four casinos.
That would change with a bill and companion constitutional amendment introduced by Sen. Eliot Bostar as one of the first pieces of legislation filed in the planned three-day session. Gov. Jim Pillen (above) is on the record as supporting the expansion of legal sports betting in the state.
The measure is scheduled to be discussed on Monday.
What Did Bostar Propose?
- Legalizing online sports betting with LB 13.
- Introducing a constitutional amendment to expand sports betting online. If it passes, the question will be put to voters in November.
Retail sports betting passed voter scrutiny with 65% approval in a 2020 referendum.
Gambling analyst Steve Brubaker calculated the benefit to Nebraskans as $8.37.
What do you suppose it cost the Nebraska legislature and treasury to schedule a special session for the purpose of sending $8.37 checks to property tax payers? And then what do taxpayers say when they get those $8.37 checks in the mail? “Thank you Jim Pillen?” Umm no.
— SteveBrubaker (@stevebrubaker) July 26, 2024
Retail Sportsbooks Support Expansion
Pillen was originally an opponent of expanding sports betting in Nebraska. He warmed to it to alleviate the state’s property tax burden by as much as half, according to estimates. KETV Omaha reported that online sports betting could generate as much as $30 million yearly in tax revenue. Nebraska taxes sportsbooks at a 20% rate. The four retail sportsbook outlets support the expansion.
“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 Legal Sports Report previously. “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.”
Nebraska retail outlets had combined to generate just $10.5 million in tax revenue for the state through June, although Harrah’s Columbus Casino & Racing didn’t open until May.
GeoComply cataloged two million transactions of individuals in Nebraska seeking to access legal betting apps in other states since January. Neighboring Colorado, Kansas, Iowa, and Wyoming have legal mobile sports betting markets.
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