As the Legislature discusses how to cut Nebraskan’s property tax bills in half, Lincoln Senator Eliot Bostar has proposed that lawmakers consider legalizing and taxing mobile sports betting as a new source of revenue. His project was discussed during a Legislature’s General Affairs Committee on Wednesday, part of a special legislative session called by Gov. Jim Pillen.
His plan (LB13) would clear the way for a constitutional amendment (LR3CA) to go before Nebraska voters in November’s general election. If successful on the ballot, Nebraska could become the 31st state to legalize mobile sports betting.
“I’m not here to convince anyone that gambling is good, that they should like it or they should support it, or that it doesn’t come with problems,” Bostar said during a public hearing on Day 5 of the special session, reports the Lincoln Journal-Star. “I’m here to say it’s already happening, and we’re not going back.”
If the measure passes, Nebraska would tax revenue generated from sports gambling at 20%, an amount estimated to bring in $32 million annually to the state’s coffers. 90% would go into the Property Tax Credit Cash Fund, while the remainder would be split between the Compulsive Gamblers Assistance Fund and the Racing and Gaming Commission.
The plan is supported by Lance Morgan, CEO of Ho-Chunk, the parent company of WarHorse Gaming, who said it was new tax revenue for the state and not a shift from property taxes to other sources for Nebraska taxpayers. “We’re shifting from Iowa,” Morgan said.
A recent poll showed that 65% of voters indicated they would support the constitutional amendment once they learned the revenue would go toward property tax relief.
Lori Thomas, the Chief Operating Officer of the Nebraska Horsemen’s Benevolent and Protective Association, said revenue from sports betting would also continue helping bolster the efforts to revive horse racing in the state.
The proposed bill requires betting companies to partner with a licensed gaming operator in the state. The gaming operators, in turn, must partner with race tracks under state statute.
Opposing views
Opponents pointed out that the problems created by legalizing mobile sports betting would far outweigh any benefit to the state. Former Husker football coach Tom Osborne told the committee the “most intense criticism” leveled at coaches and athletes comes more often from upset bettors rather than those invested in the success of the team.
One lawmaker on the General Affairs Committee, Sen. Tom Brewer of Gordon, said he is opposed to gambling but seemed open to putting the measure before voters. “My dilemma is I don’t like gambling because I’ve seen how it’s impacted some folks,” Brewer said. “But I’m stronger in my dislike of seeing the depopulation of my district.”
Finding a way to lower property taxes would keep more residents of his north-central Nebraska district from moving away, Brewer said, adding lawmakers would have to weigh the potential tradeoffs.
Bostar, in his closing statement, urged the committee to advance the proposal to the floor for debate, saying Nebraskans could make the ultimate decision on whether or not the potential downsides were worth the upsides. “I think the best way to find out if Nebraskans want something or not is to let them vote on it,” he said.
Original article: https://www.yogonet.com/international/noticias/2024/08/01/73931-nebraska-senator-pitches-legalized-mobile-sports-betting-as-means-to-reduce-property-taxes
