Nebraska committee sends legal digital sports betting to full senate

The legislative action makes Nebraska the best chance so far this year for any US state to add digital sports betting. Chances for legalisation in the state were under the radar until a senate committee late on Monday (17 March) voted, 6-2, to send the proposed constitutional amendment to the floor.

Nebraska has America’s only unicameral, or single-chamber, legislature. Now that the senate general affairs committee has passed the proposal, it must get a two-thirds majority on each of three votes on the senate floor to pass. LR 20CA is a constitutional amendment with no regulatory framework. It would go on the 2026 ballot, meaning if it passes at the polls, the earliest digital sports betting could launch in Nebraska would be 2027.

The proposal moved forward despite heavy opposition at a hearing on 10 March.

The only other state to send a digital wagering bill to a chamber floor this year is Hawaii. HB 1308 has already cleared the house and it passed through a senate committee on 13 March.

Six platforms would be allowed

Nebraska is surrounded by legal online sports betting states. A key discussion point in adding digital betting is the amount of money leaving the state as bettors drive to neighbouring Iowa, in particular, to wager. Lindsay Slader, senior VP for compliance at geolocation service GeoComply, said there were 3.9 million geolocation checks in Nebraska during the NFL season.

In addition, GeoComply charted 42,000 border crossings around the state – 90% of which were into Iowa. GeoComply has circulated a heat map showing masses of Nebraskans parked by an Iowa cornfield where they can place mobile bets.

Nebraska lawmakers have introduced a sports betting bill, and bettors are crossing the border into an Iowa cornfield to place wagers. Our latest report highlights the unmet demand for legal sports betting in NE. Read more & see the heat map: https://t.co/fglcLKU6oC… pic.twitter.com/v2ZMPsNMoH
— GeoComply (@GeoComply) January 22, 2025

Nebraska does not allow betting on its college teams when they are playing at home. In the enabling legislation to LR 20CA, that restriction could be lifted, but that legislation has not yet moved forward.

Per the proposal, digital platforms would be tethered to “licensed racetrack enclosures” that offer wagering. The tracks may partner with online sports betting companies such as BetMGM, Caesars Sportsbook, DraftKings, ESPN Bet, Fanatics Sportsbook, FanDuel and others. Overall, six licences would be available.

The fine print

Should the constitutional amendment pass out of the senate, voters would select “for” or “against” the following:
‘A constitutional amendment to permit an authorised gaming operator conducting sports wagering within a licensed racetrack enclosure to allow a sports wager to be placed by an individual located within the State of Nebraska at the time the individual places the sports wager by means of a mobile or electronic platform.’

How LR 20CA will fare on the senate floor isn’t clear. According to the Kearney Hub, lawmakers advanced the measure as a defensive move. Some said they believe the industry would begin gathering signatures for its own ballot initiative if this one does not move.

“I’ve got a lot of heartburn about mobile sports betting,” Senator John Cavanaugh said. “But if we don’t do this, they will put it on the ballot. And it will be more expansive than this.”

In neighbouring Missouri, residents last November passed a digital betting initiative backed by the industry and the state’s professional sports teams. Mobile wagering is set to launch there by 1 December.

Nebraskans legalised retail wagering via referendum in November 2020. The first in-person bets were taken at WarHorse Casino Lincoln in June 2023.

The state legislature is set to adjourn on 9 June and bills can carry over from this session to 2026.

The legislative action makes Nebraska the best chance so far this year for any US state to add digital sports betting. Chances for legalisation in the state were under the radar until a senate committee late on Monday (17 March) voted, 6-2, to send the proposed constitutional amendment to the floor.

Nebraska has America’s only unicameral, or single-chamber, legislature. Now that the senate general affairs committee has passed the proposal, it must get a two-thirds majority on each of three votes on the senate floor to pass. LR 20CA is a constitutional amendment with no regulatory framework. It would go on the 2026 ballot, meaning if it passes at the polls, the earliest digital sports betting could launch in Nebraska would be 2027.

The proposal moved forward despite heavy opposition at a hearing on 10 March.

The only other state to send a digital wagering bill to a chamber floor this year is Hawaii. HB 1308 has already cleared the house and it passed through a senate committee on 13 March.

Six platforms would be allowed

Nebraska is surrounded by legal online sports betting states. A key discussion point in adding digital betting is the amount of money leaving the state as bettors drive to neighbouring Iowa, in particular, to wager. Lindsay Slader, senior VP for compliance at geolocation service GeoComply, said there were 3.9 million geolocation checks in Nebraska during the NFL season.

In addition, GeoComply charted 42,000 border crossings around the state – 90% of which were into Iowa. GeoComply has circulated a heat map showing masses of Nebraskans parked by an Iowa cornfield where they can place mobile bets.

Nebraska lawmakers have introduced a sports betting bill, and bettors are crossing the border into an Iowa cornfield to place wagers🌽📍. Our latest report highlights the unmet demand for legal sports betting in NE. Read more & see the heat map: https://t.co/fglcLKU6oCpic.twitter.com/v2ZMPsNMoH

— GeoComply (@GeoComply) January 22, 2025

Nebraska does not allow betting on its college teams when they are playing at home. In the enabling legislation to LR 20CA, that restriction could be lifted, but that legislation has not yet moved forward.

Per the proposal, digital platforms would be tethered to “licensed racetrack enclosures” that offer wagering. The tracks may partner with online sports betting companies such as BetMGM, Caesars Sportsbook, DraftKings, ESPN Bet, Fanatics Sportsbook, FanDuel and others. Overall, six licences would be available.

The fine print

Should the constitutional amendment pass out of the senate, voters would select “for” or “against” the following:
‘A constitutional amendment to permit an authorised gaming operator conducting sports wagering within a licensed racetrack enclosure to allow a sports wager to be placed by an individual located within the State of Nebraska at the time the individual places the sports wager by means of a mobile or electronic platform.’

How LR 20CA will fare on the senate floor isn’t clear. According to the Kearney Hub, lawmakers advanced the measure as a defensive move. Some said they believe the industry would begin gathering signatures for its own ballot initiative if this one does not move.

“I’ve got a lot of heartburn about mobile sports betting,” Senator John Cavanaugh said. “But if we don’t do this, they will put it on the ballot. And it will be more expansive than this.”

In neighbouring Missouri, residents last November passed a digital betting initiative backed by the industry and the state’s professional sports teams. Mobile wagering is set to launch there by 1 December.

Nebraskans legalised retail wagering via referendum in November 2020. The first in-person bets were taken at WarHorse Casino Lincoln in June 2023.

The state legislature is set to adjourn on 9 June and bills can carry over from this session to 2026.