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Nebraska Takes First Step Toward Online Sports Betting Legalization 6b1h4o

SportsHandle StaffSportsHandle Staff
April 15, 2025
in Industry

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Nebraska has moved one step closer to ing the growing list of states with legal online sports betting. The state Senate has approved legislation that could eventually put the question of online wagering in front of voters, signaling potential expansion in the Cornhusker State’s gaming landscape.

In a significant development for sports betting enthusiasts, Democratic Senator Eliot Bostar’s legislation, LR20CA, ed with a 27-16 vote, with six senators abstaining. While this marks an important milestone, the bill still faces several legislative hurdles before potentially reaching Nebraska ballots in 2026.

The Path Forward and Revenue Distribution 3u3k1y

The legislation now advances to the Enrollment and Review Initial stage, followed by the Select File stage where lawmakers will have the opportunity to debate the bill further and propose amendments. If it successfully navigates these steps, the bill will move to a final reading and vote before heading to Governor Jim Pillen’s desk for signature.

Should the bill complete this legislative journey, Nebraska residents would have their say during the 2026 general election. The proposal aims to amend the state’s current Racetrack Gaming Act, expanding permissions for existing casinos to offer online sports betting services to residents throughout the state.

The revenue structure outlined in the bill shows careful consideration for public interests. Of the proceeds generated from online sports betting, 44.5% would be directed to Nebraska’s Environmental Trust, with an equal percentage allocated to education. The Nebraska State Fair Board would receive 10%, while the Compulsive Gamblers Assistance Fund would get 1%. Additionally, the Compulsive Gamblers Assistance Fund would receive the first $500,000 of tax proceeds from operators’ online operations, highlighting the state’s commitment to addressing problem gambling.

Nebraska currently permits retail sports betting with a 20% tax rate. If the same rate is applied to the online market, it would position Nebraska alongside states like Massachusetts, Ohio, and Tennessee in of taxation structure.

This legislative progress comes after previous discussions about online sports betting were postponed in late 2024. The current push represents renewed momentum for expanding betting options in Nebraska, reflecting broader trends across the United States where states are increasingly embracing online wagering as a source of tax revenue and regulated entertainment.

The bill’s advancement through the Senate signals growing for sports betting expansion, though challenges remain. As the legislation progresses through additional stages, stakeholders from various sectors—including existing gaming operators, addiction prevention advocates, and education proponents—will likely voice their perspectives on how the potential market should be structured.

For Nebraska sports fans and betting enthusiasts, this development represents a potential opportunity to engage with their favorite sports in new ways without crossing state lines. Neighboring states like Iowa have already established robust online sports betting markets, attracting Nebraska residents who currently must travel to place legal wagers.

As the bill moves forward, legislators will need to balance competitive market considerations with responsible gambling measures. The allocation of significant funding to education and environmental causes could help generate broader public for the initiative when it potentially reaches voters in 2026.

While age of this first hurdle is promising for ers of expanded gaming options, the timeline for implementation remains extended. Even with successful navigation through the remaining legislative steps and voter approval in 2026, the development of regulations and licensing procedures would likely push the actual launch of online sports betting in Nebraska into 2027.

The deliberate pace of this process reflects Nebraska’s cautious approach to gambling expansion, with retail sports betting only recently introduced in the state. This measured strategy allows for careful consideration of regulatory frameworks and responsible gambling protections as the state potentially moves toward a more comprehensive betting landscape.

Sports betting enthusiasts and industry observers will be watching closely as LR20CA progresses through the next stages of Nebraska’s legislative process, potentially setting the stage for a significant expansion of gaming options in the heart of the Midwest.

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SportsHandle Staff

SportsHandle Staff 5b6w6

Sports Handle is home for information on the legal U.S. sports wagering industry — legislation, business, and policy. The team is comprised of veteran journalists who deliver original and investigative reporting, opinion, and analysis of sports betting legislation and regulation at the state and federal levels, plus coverage of the sports betting business landscape. For the latest news, follow along on Twitter at @sports_handle.

This site contains commercial content. We may be compensated for the links provided on this page. The content on this page is for informational purposes only.

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