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Nebraska Votes on Mobile Sports Betting as Campaign Funding Tops $22.5 Million

Nebraskans decide on November 3 whether to legalize statewide mobile sports betting through Initiatives 440 and 441, after a campaign backed largely by DraftKings and FanDuel raised more than $22.5 million.

GamblingSource: GamblingNews
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Voters in Nebraska go to the polls on November 3 to decide whether the state should allow mobile sports betting. The campaign behind the proposals has drawn more than $22.5 million in contributions, with DraftKings and FanDuel each providing about $10.4 million.

The money has flowed to Tax Relief Nebraska, the group supporting two linked ballot questions. Campaign finance disclosures show fundraising accelerated in October. DraftKings gave $2.5 million on October 13 and FanDuel matched that on October 22, following $3.5 million each in September. Fanatics has donated $600,000 and BetMGM $500,000. The committee has spent roughly $15.8 million, including more than $5 million on television advertising and other promotion.

Both Initiative 440 and Initiative 441 must pass for statewide mobile wagering to start. Initiative 440 would amend the state constitution so the legislature can permit online sports betting, while Initiative 441 would establish the regulatory framework. Under that framework, each of the state's six regulated gaming facilities, whether operating or planned, could partner with up to two online sportsbook platforms, allowing a maximum of 12 operators. The state may not attract enough applicants to fill every slot.

The proposal sets a 20% tax on gross gaming revenue, with 70% of proceeds directed to property tax relief. Earlier industry estimates projected about $86.6 million in gross gaming revenue in the first year, though those figures depend on actual betting activity and do not guarantee tax receipts. Wagers on Nebraska college teams playing in-state would remain prohibited.

If approved, the constitutional changes take effect on January 1, 2027. The Nebraska Racing and Gaming Commission would then have until June 1, 2027, to write the rules, which could allow sportsbooks to launch later that year. Nebraska currently permits only retail sports betting at licensed racetrack casinos, and some residents place mobile bets in neighboring states such as Iowa.

Opposition comes from Save Nebraska Sports, whose members include former Cornhuskers coach Tom Osborne, state Auditor Mike Foley and state Treasurer Joey Spellerberg, as well as the Nebraska Family Alliance. They argue mobile betting could increase gambling harm, expose younger people to aggressive advertising and add pressure on college athletes, and they question whether the tax benefits would outweigh the social costs. If both measures pass, Nebraska would become the 33rd US state to legalize mobile sports betting.

Based on reporting by GamblingNews.

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Nebraska Votes on Mobile Sports Betting as Campaign Funding Tops $22.5 Million · GAMBLIMATICA