(Picture credit John Gage)
LINCOLN — Nebraska leaders gathered Thursday afternoon in the Nebraska State Capitol to announce the formation of a new anti-gambling coalition called Save Nebraska Sports. The group will be working to stop a pair of statewide ballot initiatives put forward by the group Tax Relief Nebraska, which seeks to legalize and regulate online sports betting in the state.
Auditor Mike Foley, Treasurer Joey Spellerberg, Nebraska football assistant coach Ron Brown, and Nebraska Family Alliance executive director Nate Grasz were on hand to announce the launch of the campaign effort.
Foley said the ballot initiatives by Tax Relief Nebraska were intentionally deceiving Nebraskans about its real goals. The auditor pointed to the fact that the millions of dollars raised by the effort had come almost exclusively from two companies, FanDuel and DraftKings.
“The goal of Tax Relief Nebraska, FanDuel, and DraftKings is to entice young men, who are already following sports, and want to engage them in online sports betting. This will put betting on steroids,” he said. “The pitch to voters to vote ‘yes’ on this thing is the promise of property tax relief.”
Foley said that Tax Relief Nebraska’s promise to provide over $60 million in property taxes over five years relies on the assumption that bettors will lose hundreds of millions of dollars, with most of the money being shipped out of state.
“As the state auditor, I feel an obligation to inform the cities — you are being scammed,” he said, noting the amount of property tax relief being promised to Nebraskans amounted to about “five, six bucks back.”
The auditor said he pressed Tax Relief Nebraska to produce the study the group had been touting that showed legalized online sports betting would create property tax relief. Foley said the group refused to show him the study and said it is possible it does not exist.
A spokesperson for Tax Relief Nebraska did not return a comment at the time of publication.
Treasurer Worries About Savings
Spellerberg said in his comments that he was concerned online sports betting would inhibit Nebraskans from saving money towards their futures.
“We also know there can be serious financial consequences. Research has linked online sports betting with increased financial distress, higher credit card debt, and reduced savings and investments,” he said. “We should support our families financial futures, not make them a target.”
Spellerberg added that there are college students who are using student loans to fund their sports gambling addictions.
Earlier this week, Bank of America Institute released a report using customer data that showed the median bank account of households that participated in online betting was over 40% lower than those who did not participate in placing bets.
Coaches Question Moral Effects
Tom Osborn, a longtime opponent of gambling, was unable to attend the press conference in person, but he did send a written statement that was read allowed.
“As a coach I saw first hand the immense pressure student athletes face. Some of the harshest criticism athletes receive is not for losing but for failing to beat a points spread or reach a certain number of yards, completions, or touchdowns,” he said. “Online sports gambling turns athletic contests into a gambling exercise.”
Coach Brown said legalized gambling would only fuel “greed” and “addiction” in Nebraska.
“I personally view gambling and online sports betting as I did my cat when I was a youngster. Mom would tell you, ‘Look what the cat just dragged in the house with its sharp claws.’ It was often a bloody rat,” he said. “Bloody rats to me in this issue are the consequences of gambling and online sports betting. The sharp claws of these endeavors have sadly dragged in the filth and disease of greed, compromise, addiction, and repeat errors.”
The coach called the addiction patterns online sports betting has caused for many young men “the definition of insanity.”
Out of State Money
Heading into the fall, Tax Relief Nebraska has raised over $7 million to fund its effort to get online sports betting legalized with nearly all the money coming from FanDuel and DraftKings.
Foley and Grasz emphasized that throughout the press conference that legalizing sports betting would drive Nebraska tax dollars to New York and Boston, where both of the gambling companies are located.
In a previous statement to The Plains Sentinel, Tax Relief Nebraska touted potential property tax relief as a reason for Nebraskans to support the group’s ballot measures.
“A huge component of this is the money that will be generated for the property tax credit cash fund, and property taxes continue to be a significant issue around the state. It’s something that every voter talks about. The legislature is facing a budget deficit and have been working around the clock to try to address that, when you have a deficit that leaves very little room for property tax relief, and so, you know,” Jordan McGrain, a spokesperson for the group, said. “We have to figure out how we’re going to generate new revenue for property tax relief, and I think an extension of sports wagering, via mobile or online, is something that Nebraskans have already voted for and approved of, in-person, seems like a logical next step.”
Grasz told media at the end of the press conference that more students athletes and coaches would be speaking out in the coming days as the Save Nebraska Sports looks to stop online sports betting from coming to Nebraska.
— John Gage is the executive editor of The Plains Sentinel.