Nebraska Sports Betting Remains In-Person After Online Referendums Fail

Sports betting in Nebraska will remain limited to in-person wagers at the state’s licensed racetrack casinos after voters opposed two ballot measures during the 2026 midterms.

On Election Day (Nov. 3), Nebraskans faced Initiative Measures 440 and 441. The first question asked voters to amend the Nebraska Constitution to allow online sports gambling. The second question sought to provide the Nebraska Racing & Gaming Commission (NRGC) with the authority to adopt rules and regulations to govern online sportsbooks.

A majority of Nebraskans rejected the legalization of mobile sports wagering. Initiative Measure 440 failed by a 55%-45% margin, while Initiative Measure 441 was defeated 54%-46%.

Costly Campaign

Tax Relief Nebraska, a political action committee that touted to voters how online sports betting would help further lower property taxes through gaming, raised nearly $22.5 million.

The committee was primarily supported by FanDuel and DraftKings, with each sportsbook contributing $10.4 million. BetMGM and Fanatics made $500,000 contributions.

Proponents suggested that by taxing sports betting revenue at 30%, the same rate as retail casino gambling and sports betting, the state could generate tens of millions in new tax revenue that could be passed along to homeowners to reduce their annual tax bills. Opponents, operating as Save Nebraska Sports, argued online sports betting would threaten the integrity of sports in the Cornhusker State and deliver financial and social harms.

The opposition campaign brought on one of the most popular figures in the state: former Nebraska football legend Tom Osborne. The coach, who led the Cornhuskers to three national championships in 1994, 1995, and 1997, encouraged voters to reject efforts to expand sports betting to the internet.

Osborne opined that online sports betting would fuel gambling addiction among young people and increase rates of student-athletes being harassed online by angry bettors, despite Nebraska prohibiting sports betting on games involving in-state colleges and universities.

Osborne said the supposed property tax benefits would be outweighed by the social and personal costs of online sports betting.

Win for Neighboring States

Nebraska voters defeating efforts to legalize online sports betting was a victory for neighboring states where remote wagers are allowed.

Iowa stands to benefit the most from Initiative Measures 440 and 441 being rejected. That’s because two of Nebraska’s largest cities—Omaha and Bellevue—rest on the Missouri River. Residents in Omaha and Bellevue can make the short drive into Iowa to place their online bets.

Missouri, Kansas, Colorado, and Wyoming, which share borders with Nebraska, also have online sports betting.