Nebraska voters block measures to legalize online sports betting, rejecting a campaign’s promise of $166 million in property tax relief

Nebraska voters have rejected two ballot measures aimed at legalizing online sports betting, rejecting a campaign promise of $166 million in property tax relief. Measure 440, which would have legalized online sports betting, was rejected by about 55% to 45%, while Measure 441, which would have regulated the industry if passed, was rejected by about 54% to 46%.

Both measures needed to pass for mobile sports betting to become legal in Nebraska. The defeat comes as scrutiny grows over the rapidly expanding sports betting industry since the Supreme Court's 2018 decision to allow state-level legalization. The initiatives were designed to work together but addressed different aspects of legalization.

Measure 440 was a proposed constitutional amendment that would have authorized legislation for sports wagering through internet-based platforms operated by licensed racetrack casinos, while Measure 441 was a statutory initiative that would have established the legal framework and authorized the Nebraska Racing and Gaming Commission to regulate the industry.

Supporters argued that online sports betting could generate nearly $166 million in property tax relief over 10 years, but this would be a small fraction of the state's $25 billion property tax burden. Opponents argued that the tax relief promise would not meaningfully impact property tax bills and that there are concerns about the potential negative effects of sports betting, such as increased credit card debt and reduced household savings.