As Nebraska navigates the new terrain of legalized casinos, the spotlight on gambling within the state intensifies, especially with the sports and entertainment industry booming nationwide. However, some local lawmakers are signaling a need to slow down the expansion, particularly with online sports betting.
Debate intensifies amid property tax discussions:
During a critical session aimed at reducing property taxes, now in its 14th day, the topic of expanding gambling as a potential revenue source has surfaced. As WOWY-TV reports, a cohort of 13 state senators voiced their concerns through a significant statement, underscoring the premature nature of further gambling expansion due to unmet promises: “Nebraska very recently legalized casinos largely on the promise of property tax relief that has failed to manifest itself. Expanding gambling further will inevitably lead to expanding the associated addictions and adds to more suffering in our communities. Online sports betting turns every cell phone into a 24/7 handheld gambling device, leading to new addictions.”
The statement was issued by Senators John Lowe, Ray Aguilar, Joni Albrecht, Robert Clements, Robert Dover, Steve Erdman, Steve Halloran, Brian Hardin, Rick Holdcroft, Loren Lippincott, Rita Sanders, and Julie Slama, reflecting a collective stance against the unchecked growth of mobile gambling.
Since the U.S. Supreme Court’s 2018 decision to overturn a federal ban on sports gambling, mobile betting has surged in popularity. This shift has transformed the landscape, allowing residents in 26 states to engage in sports betting and online casino games right from their phones. Notable platforms like FanDuel and DraftKings have become synonymous with this ease of access.
Regional trends and Nebraska’s cautious approach:
While neighboring Iowa legalized mobile gambling in August 2019 and Kansas followed in the summer of 2022, Nebraska has been more conservative. Lawmakers have largely resisted the expansion of the mobile gaming industry within state borders, driven by concerns over gambling addiction and its societal impacts. According to the National Council on Problem Gambling, online sports betting has heightened the risk of addiction by 30%, with a notable 150% increase in calls to their helpline. On top of that, data indicates that 20% of college students use financial aid funds for gambling.
Opponents of the conservative stance argue that the financial benefits observed in states like Iowa, where over $9 billion in wagers has generated $44 million in tax revenue since 2019, justify the expansion of mobile gambling. Comparatively, states with higher hold percentages, such as Louisiana, have seen substantial returns, with $6 billion in wagers translating to $108 million in tax revenue.
Despite resistance to mobile gambling, Nebraska is not entirely opposed to gambling. Several casino licenses have been issued, with venues like the WarHorse Casino in Lincoln, which opened in 2022, and a new establishment in Omaha, reflecting a measured approach to gambling expansion.