Nebraska Considering Amendments for Sports Betting Ballot

A proposed constitutional amendment that could shape the future of digital gaming in Nebraska is making its way to the state’s senate floor. The measure, which would permit digital sports betting in the state, was approved by the Senate General Affairs Committee on March 17, 2025, and is now set for debate in the full legislature. If the proposal, LR 20CA, progresses through the state senate, it will appear on the November 2026 ballot, with the potential for digital sports betting to launch as early as 2027, contingent on voter approval.

Nebraska’s unicameral legislature, the only one of its kind in the United States, presents both unique opportunities and challenges for lawmakers as they seek to decide the fate of digital sports wagering in the state. A two-thirds majority vote is required in the senate for the constitutional amendment to pass, and it must survive through three rounds of voting. The proposed amendment does not outline specific regulatory frameworks, a key issue that would need to be addressed in future legislation. However, if voters approve the measure, Nebraska would join a growing list of states where digital sports betting is legal.

A Step Toward Digital Betting

Nebraska’s move to consider legalizing digital sports betting comes at a time when the issue is gaining traction in states across the U.S. The decision follows mounting pressure as neighboring states like Iowa have legalized online betting, with Nebraskans traveling across the border to place wagers. According to data from geolocation service GeoComply, there were nearly 4 million geolocation checks in Nebraska during the 2023 NFL season, with a significant portion of bettors crossing the state line into Iowa, where mobile betting is legal.

GeoComply's findings highlight a striking statistic: 42,000 border crossings were recorded, with 90% of these occurring between Nebraska and Iowa. A heat map from the company illustrates masses of Nebraskans near Iowa’s border, poised to place mobile bets. This trend underscores the growing demand for digital sports betting in Nebraska and has likely fueled the push for legislative action.

One of the critical talking points in the debate is the significant revenue lost by the state as its residents flock to neighboring states to engage in online betting. Legalizing digital wagering within Nebraska could help capture this lost revenue while also providing a safer and regulated betting environment for residents.

Under the proposed amendment, digital sports betting would be tied to licensed racetrack enclosures in Nebraska. These racetracks could then partner with major online betting operators such as BetMGM, Caesars Sportsbook, DraftKings, ESPN Bet, Fanatics Sportsbook, and FanDuel. The measure allows for a total of six licenses to be issued to operators, ensuring that competition remains open while adhering to regulatory oversight.

However, the amendment is not without its limitations. One significant restriction is Nebraska’s prohibition on betting on in-state college teams when they are playing at home. A separate bill is expected to address this issue, potentially lifting the restriction in the future. This limitation could influence the popularity of digital sports betting in Nebraska, as local college sports have a significant fan base.

Opposition and Challenges Ahead

Despite the momentum behind the proposal, the road to legalization in Nebraska is not without opposition. The amendment faces a significant hurdle in the form of opposition from lawmakers and interest groups. A public hearing held on March 10, 2025, revealed strong dissent, and some senators have expressed concerns about the potential risks of mobile sports betting. Senator John Cavanaugh, for example, voiced his reservations, noting that while he personally had “heartburn” over mobile sports betting, he supported the proposal as a defensive measure to prevent a more expansive and potentially less restrictive initiative from appearing on the ballot.

“I’ve got a lot of heartburn about mobile sports betting. But if we don’t do this, they will put it on the ballot. And it will be more expansive than this,” Cavanaugh said, underscoring the political reality that lawmakers face. If the amendment fails to pass, proponents of digital sports betting may resort to gathering signatures for a separate ballot initiative, which could bypass the legislature and bring a broader proposal to the voters.

Neighboring States and National Implications

Nebraska’s consideration of digital sports betting mirrors a larger trend across the U.S., where states have been moving toward legalizing online sports wagering in recent years. Missouri, for example, passed a digital sports betting initiative in 2023, which is set to launch by December 1, 2025. Nebraska lawmakers may be keenly aware of Missouri’s success and the growing public acceptance of digital betting.

In 2020, Nebraska legalized retail sports wagering via referendum, with the first in-person bets placed at WarHorse Casino Lincoln in June 2023. However, the retail model has its limitations, and expanding to digital platforms could help Nebraska stay competitive with its neighbors and take advantage of the full potential of the sports betting market.

 

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

 

The Future

As Nebraska’s legislature prepares to consider LR 20CA, the future of digital sports betting in the state remains uncertain. With the legislative session set to adjourn on June 9, 2025, the amendment could face delays or revisions before it reaches the 2026 ballot. Lawmakers will need to navigate a complex web of political, economic, and regulatory considerations to decide whether digital sports betting will become a reality in Nebraska.

Should the amendment pass and be approved by voters, the state will join a growing number of U.S. jurisdictions that have embraced digital sports betting. For Nebraska, however, the real question is whether its lawmakers can overcome the political obstacles in front of them and position the state as a leader in the rapidly evolving digital gaming industry.