Nebraska Casino Expansion Once Again a Hot Topic

Casino expansion across Nebraska is up for debate once again. Several years ago, residents of the state voted in favor of introducing casino gambling. As a result, six racetrack licensees were recognized as eligible to develop casinos. Those racetracks are located in Lincoln, South Sioux City, Grand Island, Omaha, Columbus and Hastings.

Yet, supporters of the expansion actively propose to open casinos in Kimball, Norfolk, York, North Platte, Bellevue and Fremont. However, a recent decision of the state gambling regulator may ultimately delay the planned casino expansion across Nebraska.

Recently, a study suggested that the current number of racetracks in the state is adequate, confirming that there’s no need for new racing licenses. In light of this study, last week, the Nebraska Racing and Gaming Commission voted 7-0 in favor of a motion that demanded a committee determine whether the study should be used or another study should be completed, as announced by the Nebraska Examiner.

Dennis Lee, the chairman of the commission and Omaha attorney, revealed that the aforementioned study wasn’t complete. He said that there’s insufficient data within the study to enable the Commission to take a decision about the potential expansion of gambling across the state.

“I’m not sure there’s enough data (in the current study) to allow the commission to make a good judgment on any expansion of current racetracks beyond our current facilities.“

Dennis Lee, chairman of the Nebraska Racing and Gaming Commission

The Current Number of Racetracks Is Sufficient

The described study was prepared for the state’s gambling regulator by The Innovation Group and suggested that the current number of racing licenses in the state is sufficient. According to the report, the existing number of licensees have “more than sufficient capacity” to help grow the market across the state. “The data do not support the addition of more racing licenses,” explained the study.

The aforementioned study was prepared for the Commission under the state’s laws that require market research about the impact of new horse racetracks and casinos on the existing market prior to approval of such projects. Per the current regulations, if a new project may significantly impact the operations of existing racetracks and casinos, it cannot be given a green light.

During the recent meeting, Tom Zitt, a representative of the company that compiled the report confirmed that it didn’t present a complete picture of the impact of new casinos and racetracks on the existing market due to limited racing dates. Still, he was criticized by racetrack officials who claimed The Innovation Group never visited or reached out to racetracks with requests for data that could be used for the study.