Nebraska Residents Vote Against Online Sports Betting

The fight to legalize online sports betting in Nebraska ended on Tuesday.

Nebraska voters rejected two ballot measures seeking to legalize online sports betting during the Midterm Elections. The proposals were defeated by about 10%, delivering a strong rebuke to the well-funded effort that was meant to circumvent years of legislative deadlock.

While another initiative could launch in 2028, the sizeable margin means proponents have their work cut out.

$22 Million Effort Falls Flat

WarHorse Casino and Tax Relief Nebraska (TRN) led the effort to put online sports betting on the ballot, spending around $22 million. This supported the signature-gathering campaign, as well as ads pushing voters to support them. 

Proponents argued that sports prediction markets meant online betting was already happening in the state. By launching a regulated industry, the state could offer bettors a safer option while also generating crucial revenue.

However, the effort was met with heavy resistance. Former lawmakers and Nebraska legends joined a coalition to oppose these initiatives, claiming voters were being intentionally misled. It appears this resonated with many voters, leading to the rejection of both ballot initiatives. 

Property Tax Relief Questioned

As its name implies, TRN promised voters that the tax revenue generated by online sports betting would help provide property tax relief. It projected that at least $60 million would go to that effort, but those numbers came under fire leading up to the election.

One of the biggest blows came from Nebraska State Auditor Mike Foley. In October, the state official told First Alert 6 that his projections showed the revenue would have a minimal impact on residents.

A little bit from the losses of the bettors, they will pay a little bit back in property tax relief and say look at all the good we did on your property taxes when in fact you are not even going to feel it on your property tax bill. I calculated, if you own a home that is worth maybe 300,000 dollars something like that, you might get $10-15 back in property tax relief. That is not property tax relief, that is not solving our problem at all.

What Comes Next for Nebraska?

Once the election results are officially confirmed and certified, the debate over online sports betting will be all but over. 

The state legislature has been unable to pass bills to legalize the industry for years, and Tuesday’s results won’t change that. While some bills may still be proposed, the midterm results will make supporting them far riskier for local lawmakers.

TRF spent a small fortune on the initiatives, but still couldn’t overcome the opposition. The group could try again in 2028, but will first need to dissect why their 2026 effort failed. 

Another key factor will involve the US Supreme Court’s impending decision on the future of sports prediction markets. If the nation’s highest court allows these platforms to continue operating in all 50 states, it could change how Nebraskans feel about legalizing an online sports betting market.