Nebraska Sports Betting Vote Draws $22 Million as Indiana Casino Plan Gets Rejection

Voters in Nebraska, Indiana, and Virginia went to the polls on November 3 to decide several gambling measures, including online sports betting legalization, a proposed $500 million casino, and new horse racing wagering facilities.

Good to know

• DraftKings and FanDuel contributed approximately $20.8 million to the Nebraska online sports betting campaign.
• Nebraska Initiatives 440 and 441 would authorize mobile sports betting and introduce a 20% tax on gaming revenue.
• Indiana voters considered a new $500 million casino, while two Virginia communities voted on horse racing gambling facilities.

Indiana Casino Proposal Faces First Setback

Steuben County voters rejected plans to permit a casino, with 58.66% voting against the proposal. The November 3 result prevents developers from pursuing the new casino license in that county.

Meanwhile, Allen and DeKalb counties also voted on whether to allow a major casino development under House Enrolled Act 1038.

Indiana lawmakers approved the legislation earlier in 2026, allowing one of the three counties to compete for a new inland casino license.

Any successful applicant would need to invest at least $500 million, including spending on non-gambling facilities. The developer would also face a $100 million licensing fee and a further $50 million payment to support communities affected by casino closures.

Developers must complete 60% of the investment within two years of license authorization and finish the remaining development within five years after opening.

Applications from eligible counties are due by December 1, with the Indiana Gaming Commission scheduled to decide by April 15, 2027.

A previous regulatory study estimated that a casino in Allen County could generate $204 million in annual revenue and $61 million in state gaming taxes.

DraftKings and FanDuel Finance Nebraska Betting Campaign

Nebraska attracted the largest industry spending among the three states, with the Tax Relief Nebraska campaign raising approximately $22 million to support mobile sports betting legalization.

DraftKings and FanDuel contributed around $10.4 million each. Fanatics added $600,000, while BetMGM provided another $500,000.

The proposed legislation would allow licensed racetrack casinos to offer online sports betting through approved platforms. Nebraska currently permits in-person wagering at five racetrack casinos.

Last year, those venues generated approximately $9.3 million in sports betting revenue and less than $2 million in state taxes.

Under the proposals, Nebraska would collect a 20% tax on gross gaming revenue and direct 70% of the proceeds toward property tax relief.

However, both Initiative 440 and Initiative 441 need voter approval. One would amend the state constitution, while the other would establish rules under the Nebraska Racing and Gaming Commission.

Bettors and wagering servers would also have to remain physically within Nebraska. Existing restrictions on betting on Nebraska teams competing in the state would continue.

Opposition groups Save Nebraska Sports and the Nebraska Family Alliance warned about gambling addiction and risks to athletes.

Former Nebraska football coach Tom Osborne also opposed legalization.

“Nebraskans support, embrace, and protect our athletes,” Osborne said. “Legalizing online sports gambling does none of those things.”

Limited polling data made the result difficult to predict before voting, although a small Kalshi prediction market had favored approval.

Virginia Voters Consider More Horse Racing Gambling

Virginia held two local referendums concerning pari-mutuel wagering facilities in Amherst County and the town of Pulaski.

Approval would allow Churchill Downs Incorporated, the operator behind Rosie’s Gaming Emporium, to pursue historical horse racing venues in both locations.

Historical horse racing terminals let customers wager on previously completed races through electronic machines, rather than betting on live events.

Amherst County previously rejected a similar proposal in 2021. Both November 2026 measures required a simple majority, and any approved development would still need regulatory authorization.

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