A citizen initiative is underway in Nebraska that could decide the future of online sports wagering in the Cornhusker State. After repeated legislative setbacks, supporters are now pursuing a petition drive to put the issue directly before voters on the 2026 ballot.
Push for a Ballot Measure
The campaign follows a stalled attempt earlier this year in the Nebraska Legislature, where a proposed constitutional amendment failed to advanceĀ after a filibuster. Advocates say they are determined to let voters have the final word.
To succeed, the petition will need signatures from 10% of registered voters, approximately 125,000 names. As of September 2025, the state counts about 1.26 million registered voters, meaning 125,786 valid signatures are required to certify the measure.
If the effort is successful, Nebraskans could vote on whether to amend the state constitution to permit online and mobile sports betting, expanding beyond the retail sportsbooks currently allowed at brick-and-mortar casinos.
Economic Stakes
Proponents argue that legalization would generate significant new tax revenue while keeping dollars from leaving the state. Estimates project that Nebraska could collect about $32 million annually from online sports betting, funds that supporters say could bolster community services and reduce property tax burdens.
Lynne McNally of WarHorseĀ Casinos, which operates venues in Omaha and Lincoln, framed the issue as one of lost opportunity. āThe bottom line is, you’re allowing tax money to go to Iowa, Kansas, Colorado, just like with the casinos. People are using VPNs, and they’re disguising their location, pretending they’re in Iowa,ā she said.
Lawmakers previously debated Sen. Eliot Bostarās LR20CA, a bill that called for legalization through a constitutional amendment. That proposal initially passed by a 27ā16 vote but fell short after opponents blocked it from reaching subsequent rounds of approval. Bostar argued that legalization could provide an additional $32 million in tax revenues over a two-and-a-half-year period.
Divided Opinions
The petition has already gained momentum among gambling advocates, but the debate remains sharply polarized. Critics worry that widespread access to sports betting via mobile devices could worsen addiction, particularly among young men.
During earlier legislative sessions, longtime gambling opponent and former football coach Tom Osborne raised concerns about the risks of financial hardship and mental health issues tied to problem gambling. Other senators echoed those warnings, questioning whether the projected tax revenue would outweigh the potential social costs.
Consultants and supporters counter that consumer protections are stronger under a regulated system than in the unlicensed offshore casino market, where Nebraskans are already betting. They note that neighboring states, including Iowa and Kansas, have fully legalized mobile sports wagering, creating a competitive disadvantage for Nebraskaās casinos and government coffers.
Lessons From Other States
The Nebraska petition drive mirrors efforts elsewhere. Missouri voters approvedĀ sports betting in 2024 through a referendum spearheaded by professional sports franchises, bypassing legislative hurdles. Advocates in Nebraska see a similar path, pointing to voter appetite for direct decision-making when lawmakers cannot reach consensus.
Elsewhere in the U.S., states like North Carolina and Tennessee have reported substantial revenues from online sports wagering. North Carolinaās first year of legal online betting brought in about $116 million in tax revenue, while Tennessee, which operates an online-only model, generated more than $97 million last year. Supporters in Nebraska highlight these figures to argue that the state is missing out.
Next Steps
Signature collection is expected to begin in the coming weeks. If the petition meets the threshold, the constitutional amendment would appear on the 2026 ballot, giving Nebraska voters the opportunity to decide whether online sports betting should be legalized.
For now, the future of mobile wagering in Nebraska remains uncertain, with the balance between economic opportunity and social responsibility at the heart of the debate.
Sources:
Petition Drive Will Seek to Legalize Online Sports Betting in Nebraska, nebraskapublicmedia.org, September 18, 2025
