Nebraska still only allows in-person wagering at one of the five racetrack casinos for sports betting.  Soon, a push will start to bring legal sports betting to the internet.

The two casinos in Nebraska, WarHorse Casino Lincoln and WarHorse Casino Omaha, are run by WarHorse Gaming, LLC.  In the upcoming years, the Ho-Chunk, the commercial organization of the Winnebago Tribe of Nebraska, plans to open a third physical casino in the Cornhusker State, this time in South Sioux City.

Nebraska's early gaming sector is being dominated by WarHorse.  Through August of this year, almost $90 million of the state's roughly $132 million in gross gaming revenue came from its Omaha and Lincoln properties. GGR from table games, slots, and retail sports betting are included in the gaming money.

According to Lynne McNally, if Nebraska allowed online sports betting, the state's casino business would grow significantly.  More state gaming taxes would result from that, which would mostly help with the decrease in property taxes.

Petition for Online Sports Betting

There are differing opinions on whether the 2020 statewide gaming ballot referendums that Nebraskans approved provide the state legislature the authority to allow online sports betting.  However, most respondents believe that the public should be involved.

A statewide petition to educate voters about online sports betting will shortly be launched by McNally and WarHorse Gaming.  The issue may be put to a vote in the November 2026 midterm elections if the proposed constitutional amendment push can garner 10% of registered voters, or roughly 125,000 signatories, in favor of online sportsbooks and the state approves the referendum language.

"The bottom line is you’re allowing tax money to go to Iowa, Kansas, and Colorado. People are using VPNs, and they’re disguising their location, pretending they’re in Iowa,” McNally told Nebraska Public Media about the state’s current ban on online sports bets.

The main sponsor of the 2020 referendums that permitted slots, table games, and sports betting at the state's licensed horse racetracks was WarHorse, which collaborates with the Nebraska Horsemen's Benevolent and Protective Association to build and operate the organization's three horse racetrack casinos.

Over $17.5 million was donated to the Keep the Money in Nebraska committee by Ho-Chunk, Inc.  Using the argument that citizens of the state were already spending $400 million annually at casinos in neighboring states, the campaign was successful in persuading Nebraskans to allow casino gambling. This resulted in the loss of millions of dollars in taxes that could have been used to balance the increase in property taxes.

Casinos Making Money

This week, Casino.org announced that the deregulation of casino gaming in Nebraska is lowering property taxes, which is what voters wanted.  Governor Jim Pillen (R) announced that $20 million more than anticipated was being provided to the Property Tax Credit Cash Fund for 2025 as a result of the five sites' casino earnings exceeding projections.

All homeowners in Nebraska, regardless of income, are eligible to receive allocations from the fund.  On a property valued at $200K, homeowners received roughly $250 last year.  This year, the credit will rise.

Harrah's Columbus NE Racing & Casino, Grand Island Casino Resort, and Lake Mac Casino Resort are Nebraska's three more gambling venues, in addition to WarHorse's two casinos.