Nebraska Online Sports Betting Bill Advances to Senate Floor

• A constitutional amendment bill to legalize Nebraska online sports betting has been advanced to the Senate floor
• The Nebraska General Affairs Committee approved LR20CA by a 6-2 vote
• If approved by Nebraska’s unicameral legislature, voters will see a ballot question in 2026 election

A Nebraska online sports betting bill survived its latest challenge and now finds itself moving forward to the Senate floor.

The Nebraska Senate General Affairs Committee earlier this week approved Sen. Eliot Bostar’s (D-29) legislation, LR20CA, by a 6-2 vote. His bill calls for the legalization of online sports betting through a constitutional amendment. If approved by the Nebraska Senate, state voters will decide its fate in the form of a ballot question during the November 2026 general election.

However, key questions remain as the bill’s fate will soon be decided.

Now or Later?

Bostar’s legislation amends the Nebraska Racetrack Gaming Act to allow casinos to offer online sports betting, dedicating the majority of online sports betting tax revenues to property tax relief for state residents. The proposed legislation dedicated 90% of online sports betting tax revenue to the Property Tax Credit Cash fund, which provides property tax relief for Nebraskans.

While his legislation provides a triggering method for legalization, Sen. Stan Clouse’s (R-37) bill, LB 421, provides the framework for online sports betting in the Cornhusker State. His bill allows each of the six Nebraska casinos to partner with up to one online sports betting operator and calls for the State Racing and Gaming Commission to regulate the new form of gaming.

His legislation also removes the current prohibition on sports betting for in-state colleges.

Clouse’s bill has not yet been moved forward by the Senate General Affairs committee.

While the legislation was moved forward, several Senators expressed concerns with Nebraska sports betting. Sen. John Cavanaugh (D-9) said at the hearing that sports betting legalization gives him a considerable amount of “heartburn,” but the legislature should have control over what is placed on a ballot.

He noted that the state’s casinos will likely attempt to place the issue on the ballot in 2026 through a referendum process, much like Missouri professional sports franchises did for the Show-Me State last year.

Retail sports betting is currently legal in the state and is taxed at a rate of 20%.

Sign Up for SBD’s Newsletter Now

Did you want the latest sports betting news, analysis, picks, betting trends, and relevant data straight to your inbox? If so, you’ll want to subscribe to SBD’s newsletter now!

Tough Road Ahead

Due to Nebraska’s unique unicameral legislature, the legislation will only have to pass through the Nebraska Senate before being sent to Gov. Jim Pillen (R) for his signature.

However, it must be approved on three separate votes with two-thirds majority each time to be placed on the 2026 general election ballot.

The legislation will have to receive votes of approval from 30 of the state’s 49 Senators each time.