Nebraska Voters to Officially Decide Online Sports Betting Fate in November Election

• The Nebraska Secretary of State announced both online sports betting petitions have been approved for the November ballot
• The fate of online sports betting will now be determined by Nebraska voters
• Tax Relief Nebraska collected nearly 350,000 signatures of those in favor of legalizing Nebraska online sports betting

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Signature collecting efforts to place two questions legalizing Nebraska online sports betting on the November general election ballot have officially paid off.

The Nebraska Secretary of State confirmed Tax Relief Nebraska successfully collected enough valid signatures to place two questions legalizing Nebraska online sports betting on the general election ballot, placing its fate in state voter hands.

“We are grateful to every Nebraskan who participated in the process and signed our petitions. We believe voters agree that a legal and regulated online sports wagering marketplace will keep the money in Nebraska, and generate new revenue for local communities and millions of dollars in property tax relief,” Jordan McGrain, a spokesperson for Tax Relief Nebraska, told Sports Betting Dime.

Cleared Signature Requirements

Tax Relief Nebraska submitted affidavits stating that 201,446 signatures supporting the online sports wagering authorization constitution amendment and 146,509 signatures supporting the online sports wagering regulation initiative were collected.

The final signatures were submitted on Friday, June 26, six days ahead of the Thursday, July 2, deadline.

According to the Nebraska Secretary of State, Tax Relief Nebraska needed to collect at least 138,473 valid signatures to place the online sports wagering authorization constitutional amendment petition on the ballot. Additionally, the group needed to collect at least 96,918 valid signatures to place the online sports wagering regulation initiative petition on the ballot.

To also qualify for the ballot, a constitutional amendment petition requires valid signatures from at least 10% of registered voters in Nebraska and at least 5% of registered voters in 38 counties.

The Nebraska Secretary of State reported Tax Relief Nebraska met all of the requirements for both the constitutional amendment and the measure creating the regulatory framework for Nebraska online sports betting.

Nebraska voters will now have the final say on online sports betting in the Cornhusker State when they take to the polls on Tuesday, Nov. 3.

Approved Petitions Despite Fraud Investigations

While the Nebraska Secretary of State has confirmed both petitions, earlier this month Lancaster County Election Commissioner Todd Wiltgen reported potentially fraudulent signatures for several petition efforts.

According to reports from Lincoln Journal Star, Wiltgen reported potentially fraudulent signatures for the online sports betting petition, as well as a petition for former Nebraska Sen. Brett Lindstrom to be placed on the ballot for the upcoming gubernatorial election.

The Lancaster County Sheriff’s Office reported it was investigating the allegations.

According to McGrain, Wiltgen actually forwarded signatures from every statewide ballot initiative for investigation, not specifically linked to the online sports betting petition.

“If any circulator submitted fraudulent signatures, that circulator should be identified and prosecuted,” McGrain told Sports Betting Dime.

Nebraska Online Sports Betting Framework

The proposed constitutional amendment will earmark 70% of online sports betting tax revenues for a property tax credit fund in the state. The tax revenue disbursements are similar to Nebraska’s legal in-person sports betting market.

The referendum question will establish Nebraska’s online sports betting framework. It allows for licensed Nebraska gaming facilities to offer up to two online sports betting platforms each through either their own technology or a partnership with a gaming company, such as DraftKings or FanDuel. Sports betting rules and regulations will be required to be approved on or before June 1, 2027,

Tax Relief Nebraska commissioned a study from Eilers & Krejcik on the impact online sports betting may have on tax relief in the state. If legalized, Nebraska could see millions in additional revenue for property tax relief over the next five years.

According to Eilers & Krejcik, Nebraska projects to generate $86.6 million in gross gaming revenue in its first year of legalized online sports betting, which would increase to about $163.1 million in gross gaming revenue by year five.

The company projected these revenue estimates by observing gross gaming revenue-per-adult data from comparable markets, such as Kansas, Iowa, Kentucky, and Wyoming. These were adjusted for Nebraska-specific factors such as disposable income, sports interest, internet access, and a prohibition on sports betting involving Nebraska college teams.

The independent research firm estimate Nebraska would see nearly $87 million in total online sports betting tax revenues through the first five year of operation. About $60.9 million would be used for Nebraska property tax relief with the required 70% property tax relief allocation.

About $21.7 million would be used for the local share, $2.2 million for a compulsive gambling fund, and $2.2 million for the state’s general fund.