TLDR
- DraftKings and FanDuel each gave $10.4 million to the Nebraska mobile betting campaign.
- The campaign raised nearly $22.5 million by Oct. 29.
- Voters must pass both Initiative 440 and Initiative 441 on Tuesday.
- A $750,000 donation to a legislative candidate cost him three GOP endorsements.
- Nebraska would become the 33rd state with mobile sports betting if both measures pass.
DraftKings and FanDuel have each given $10.4 million to a campaign to legalize mobile sports betting in Nebraska. Voters will decide the issue on Tuesday, Nov. 3.
The money went to Tax Relief Nebraska, the committee backing two sports betting measures on the ballot. The group had raised nearly $22.5 million by Oct. 29, according to campaign finance figures reported Monday by the Nebraska Examiner.
The two companies account for most of that total. Fanatics and BetMGM have also donated, and millions of dollars have been spent on television ads and other campaigning.
What Voters Will Decide
Nebraska already allows sports betting, but only in person at licensed racetrack casinos. Residents cannot legally place bets on their phones inside the state.
Supporters say many Nebraskans cross state lines to bet on mobile apps, especially in neighboring Iowa. They argue this leaves Nebraska without the tax money those bets would bring in.
Voters must approve two separate measures for mobile betting to become legal. Initiative 440 is a constitutional amendment that would allow online sports wagering, while Initiative 441 would set up the rules to regulate it.
Under the plan, mobile sportsbooks would work through partnerships with licensed racetrack casinos in Nebraska. This could allow up to 12 online betting platforms in the state.
The Nebraska Racing and Gaming Commission would need to adopt regulations by June 1, 2027. Seventy percent of the gambling tax revenue would go to a state property tax relief fund, which matches the current setup for casino taxes.
Campaign sponsor Jordan McGrain says regulation would give bettors consumer protections. Opponents question how much property tax relief residents would actually receive.
A group called Save Nebraska Sports is leading the opposition. It has enlisted former Cornhuskers football coach Tom Osborne, who also served as a Republican state lawmaker, along with other current and former athletes and coaches.
Opponents say the money the state would gain is small compared with the social costs of around-the-clock gambling. They warn about addiction, aggressive advertising, and harassment of college players.
Donation Sparks Political Fallout
The campaign has also faced criticism over a payment to a state legislative candidate. On Oct. 27, Tax Relief Nebraska gave $750,000 to Tim Anderson, a Republican running in central Nebraska’s Legislative District 38.
Anderson’s campaign had raised about $95,000 before that contribution, according to News Channel Nebraska. The donation was nearly eight times what his campaign had collected up to that point.
After the payment, three prominent Republicans withdrew their endorsements of Anderson. They were US Sen. Pete Ricketts, State Treasurer Joey Spellerberg, and State Auditor Mike Foley.
New ads promoting online sports betting are already running under Anderson’s name. Nebraska candidates can buy some political ads at lower rates than ballot measure committees, a practice lawmakers declined to ban earlier this year.
Voters head to the polls Tuesday to decide both measures. If both pass, Nebraska would become the 33rd state to authorize mobile sports betting.
