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Tom Osborne-fronted campaign helps defeat Nebraska mobile betting bid

Nebraska voters rejected two ballot measures that would have legalised online sports betting, despite a $22.5m campaign backed by FanDuel and DraftKings and opposed by former Cornhuskers coach Tom Osborne.

Nebraska Cornhuskers football imagery used to illustrate the state's sports betting referendum
AI-generated illustration

Nebraska voters have rejected two ballot measures that would have brought online sports betting to the state, leaving wagering limited to in-person bets at licensed racetrack casinos.

On Election Day, 3 November, Nebraskans considered Initiative Measures 440 and 441. The first asked voters to amend the state constitution to permit online sports gambling. The second would have given the Nebraska Racing & Gaming Commission authority to write rules governing online sportsbooks.

Both measures failed. Initiative Measure 440 was rejected by a 55%-45% margin, while Initiative Measure 441 was defeated 54%-46%, according to Casino.org News.

The campaign in favour of legalisation, run by a political action committee called Tax Relief Nebraska, raised nearly $22.5m. FanDuel and DraftKings each contributed $10.4m, with BetMGM and Fanatics adding $500,000 apiece.

Supporters argued that taxing online sports betting revenue at 30%, matching the rate applied to retail casino gambling and sports betting, would generate tens of millions of dollars that could be used to cut property taxes.

The opposition, operating under the name Save Nebraska Sports, countered that mobile betting would threaten the integrity of sport and cause financial and social harm. The campaign was fronted by former Nebraska football coach Tom Osborne, who led the Cornhuskers to national championships in 1994, 1995 and 1997.

"I see this being very dangerous," Osborne said. "Putting a sportsbook on every phone will only expose more young people to gambling addiction. It's not the Nebraska way." He argued that the measures would increase online harassment of student-athletes, even though Nebraska already bars betting on games involving in-state colleges and universities.

Osborne said the social and personal costs of online betting would outweigh any benefit to property taxes.

The result benefits neighbouring states where mobile wagering is already legal. Iowa is positioned to gain the most, since the Nebraska cities of Omaha and Bellevue sit on the Missouri River, a short drive from Iowa sportsbooks. Missouri, Kansas, Colorado and Wyoming, which also border Nebraska, permit online sports betting as well.