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Nebraska Horse Track Gaming Regulations Initiative (2016)

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Nebraska Horse Track Gaming Regulations Initiative
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Election date
November 8, 2016
Topic
Gambling
Status
Signatures submitted
Type
State statute
Origin
Citizens


Voting on Gambling
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Ballot Measures
By state
By year
Not on ballot
Local Measures

The Horse Track Gaming Regulations Initiative is an initiated state statute proposed for the Nebraska ballot on November 8, 2016.

The measure would permit gaming devices and all games of chance at "racetrack locations within cities of the first, primary, or metropolitan classes in Nebraska." It would also establish the Nebraska Gaming Commission to regulate the industry.[1]

Supporters of the initiative have also submitted two other measures: the Horse Track Initiative Amendment and the Horse Track Gaming Taxation Initiative.

Text of measure

Ballot summary

The proposed ballot summary is as follows:[1]

Enact a statute which allows all games of chance and gaming devices at permitted racetrack locations within cities of the first, primary, or metropolitan classes in Nebraska and establishes a Nebraska Gaming Commission to regulate such gaming.[2]

Full text

The full text of the measure is as follows (underscored language would be added):[1]

FOR AN ACT relating to gaming; to authorize games of chance as prescribed; to create a commission; to provide for the regulation of games of

chance; and to define terms.
Be it enacted by the people of the State of Nebraska,

Sec. 1. Notwithstanding any other provision of law, and to the full extent permitted by the Constitution of Nebraska, including amendments to the Constitution of Nebraska adopted contemporaneously with the enactment of this initiative measure, the operation of games of chance is permitted only by authorized operators at permitted racetrack locations as provided in this act. This act shall be in full force and effect on and after January 1, 2017.

Sec. 2. For purposes of this act:
(1) Authorized operator means a person or entity authorized pursuant to this act to operate games of chance at permitted racetrack locations;
(2) Game of chance means any game which has the elements of chance, prize, and consideration, including any wager to a slot machine, table game, counter game, or card game. Game of chance does not include any game, the operation of which is prohibited at a casino by federal law;
(3) Gaming device means an electronic, mechanical, or other device which plays a game of chance when activated by a player using currency, a token, or other value;
(4) Limited gaming device means an electronic gaming device which (a) offers games of chance, (b) does not dispense currency, tokens, or other value, and (c) does not have a cash winnings hopper, mechanical or simulated spinning reel, or side handle;
(5) Permitted racetrack location means a racetrack, or an associated facility within two thousand five hundred yards of a racetrack, located at least partially within a city of the first, primary, or metropolitan class; and
(6) Racetrack means a premises at which licensed live horseracing is conducted and simulcast in accordance with applicable requirements of Nebraska and federal law.

Sec. 3. (1) The operation of games of chance at a permitted racetrack location may be conducted in a city of the first, primary, or metropolitan class if the permitted racetrack location is located at least partially inside the corporate limits of such city.
(2) Gaming devices, limited gaming devices, and all other games of chance may be operated at a permitted racetrack location.
(3) No person under twenty-one years of age shall play or participate in any way in any game of chance or use any gaming device or limited gaming device at a permitted racetrack location.
(4) No authorized operator shall permit an individual under twenty-one years of age to play or participate in any game of chance or use any gaming device or limited gaming device conducted or operated pursuant to this act.

Sec. 4. Authorized operators and the operation of games of chance shall be subject to licensing and regulation as may be adopted by the Nebraska Gaming Commission. The Commission may:
(1) Approve, or deny for cause, an application for authority to operate games of chance;
(2) Designate authorized operators and the permitted racetrack locations thereof;
(3) Impose a one-time license fee of one million dollars on each authorized operator for each permitted racetrack location, payable to the Nebraska Gaming Commission; and
(4) Adopt and promulgate rules and regulations to carry out this act.

Sec. 5. (1) (a) For purposes of providing the necessary licensing and regulation of the operation of games of chance authorized pursuant to this act, the Nebraska Gaming Commission is created.
(b) The Commission shall consist of seven members. Not more than four of the seven members shall be affiliated with the same political party. No member shall have any personal financial interest in any permitted racetrack location or authorized operator for the duration of his or her term. The members of the Commission shall elect one of the members to be chairperson.
(c) The five members of the State Racing Commission shall be ex officio members of the Nebraska Gaming Commission, serving terms and receiving appointment as outlined in section 2-1201 et seq.
(d) Two additional members shall be appointed by the Governor for concurrent five-year terms within sixty days of vacancy, subject to confirmation by a majority of all members of the Legislature, as follows: One member of the Nebraska Gaming Commission shall have previous or current experience in the Nebraska gaming industry. One member of the Commission shall be a member of the organization representing the majority of licensed owners and trainers at racetracks in Nebraska.
(2) The Commission shall:
(a) License and regulate the operation of all games of chance authorized pursuant to this act, including adopting, promulgating, and enforcing rules and regulations governing the operation of games of chance consistent with this act;
(b) Regulate the operation of games of chance in order to prevent and eliminate corrupt practices and fraudulent behavior, and thereby promote integrity, security, and honest administration in, and accurate accounting of, the operation of all games of chance;
(c) Establish criteria to license an authorized operator;
(d) Charge fees for applications for licenses and for the issuance of licenses to successful applicants;
(e) Grant, deny, revoke, and suspend licenses for the operation of games of chance based upon reasonable criteria and procedures established by the Commission to facilitate the integrity, productivity, and lawful conduct of the authorized games of chance;
(f) Conduct background investigations of applicants for licenses;
(g) Adopt and promulgate rules and regulations for the standards of manufacture of gaming equipment;
(h) Inspect the operation of any licensed authorized operator conducting games of chance for the purpose of certifying the revenue thereof and receiving complaints from the public;
(i) Issue subpoenas for the attendance of witnesses or the production of any records, books, memoranda, documents, or other papers or things at or prior to any hearing as is necessary to enable the Commission to effectively discharge its duties;
(j) Administer oaths or affirmations as necessary in connection with carrying out this act;
(k) Investigate and report to the Attorney General, or the relevant county attorney, allegations of illegal gambling activity;
(l) Ask the Attorney General, or the relevant county attorney, to seek an injunction to restrain a violation of this act or to enforce any provision of this act;
(m) Impose, subject to judicial review, administrative fines not to exceed twenty-five thousand dollars for each violation of this act or any rules and regulations adopted and promulgated pursuant to this act plus the financial benefit derived by the violator as a result of such violation;
(n) Remit administrative fines collected under this section to the State Treasurer for distribution in accordance with Article VII, section 5, of the Constitution of Nebraska;
(o) Promote treatment of gaming-related behavioral disorders;
(p) Establish procedures for the governance of the Commission;
(q) Acquire necessary offices, facilities, counsel, and staff;
(r) Establish procedures for an applicant for a staff position to disclose conflicts of interest as part of the application for employment; and
(s) Do all things necessary and proper for carrying out its powers and duties under this act.
(3) The compensation of the members of the Nebraska Gaming Commission shall be one thousand dollars per month, which may be adjusted every two years in an amount not to exceed the change in the Consumer Price Index for Urban Wage Earners and Clerical Workers for the period between June 30 of the first year to June 30 of the year of adjustment.[2]

Support

The measure is being sponsored by:[1]

  • Keep The Money in Nebraska
  • Ho-Chunk, Inc.
  • Nebraska Horsemen's Benevolent & Protective Association
  • Omaha Exposition & Racing, Inc.

Supporters

Former Sen. Scott Lautenbaugh[3]

Campaign finance

As of March 2016, Ho-Chunk, Inc. had contributed more than $875,000 to Keep the Money in Nebraska, making up the majority of the $904,167 the group had raised as of March 26, 2016.[4]

Opposition

Gambling with the Good Life is leading opposition against the amendment.[3]

Opponents

Arguments against

Pat Loontjer, executive director of Gambling with the Good Life, said:[3]

Nothing's off the table. We're going to fight this tooth and nail, because we're fighting for our children and grandchildren. It's not about the money.[2]

Rev. Al Riskowski, executive director of the Nebraska Family Alliance, stated:[3]

We expected at some point that there would be another large-scale attempt to bring casinos into Nebraska. It's not surprising. It's just disappointing.[2]

Hal Daub, former congressman and Omaha mayor said:[5]

If these petitions are passed, the floodgates will be opened to unregulated, untaxed slot machine gambling, not only for Native American casino proliferation, but for out-of-state profit casino operations.[2]

Campaign finance

As of March 26, 2016, Gambling with the Good Life had about $97,000 in cash on hand.[4]

Path to the ballot

See also: Laws governing the initiative process in Nebraska

Nebraska's signature requirement for ballot initiatives is unique amongst the states. The number of required signatures is tied to the number of registered voters in the state as of the deadline for filing signatures. For initiated state statutes, the number of signatures required is equivalent to 7 percent of registered voters at the time of the deadline. The deadline was four months prior to the general election date of November 8, 2016, which meant the signatures were due around July 8, 2016. Supporters submitted about 90,000 signatures for the initiative to the Secretary of State's office on July 8, 2016.[7]

State profile

Demographic data for Nebraska
 NebraskaU.S.
Total population:1,893,765316,515,021
Land area (sq mi):76,8243,531,905
Race and ethnicity**
White:88.1%73.6%
Black/African American:4.7%12.6%
Asian:2%5.1%
Native American:0.9%0.8%
Pacific Islander:0.1%0.2%
Two or more:2.2%3%
Hispanic/Latino:10%17.1%
Education
High school graduation rate:90.7%86.7%
College graduation rate:29.3%29.8%
Income
Median household income:$52,997$53,889
Persons below poverty level:14.6%11.3%
Source: U.S. Census Bureau, "American Community Survey" (5-year estimates 2010-2015)
Click here for more information on the 2020 census and here for more on its impact on the redistricting process in Nebraska.
**Note: Percentages for race and ethnicity may add up to more than 100 percent because respondents may report more than one race and the Hispanic/Latino ethnicity may be selected in conjunction with any race. Read more about race and ethnicity in the census here.

Presidential voting pattern

See also: Presidential voting trends in Nebraska

Nebraska voted Republican in all seven presidential elections between 2000 and 2024.

Pivot Counties (2016)

Ballotpedia identified 206 counties that voted for Donald Trump (R) in 2016 after voting for Barack Obama (D) in 2008 and 2012. Collectively, Trump won these Pivot Counties by more than 580,000 votes. Of these 206 counties, one is located in Nebraska, accounting for 0.5 percent of the total pivot counties.[8]

Pivot Counties (2020)

In 2020, Ballotpedia re-examined the 206 Pivot Counties to view their voting patterns following that year's presidential election. Ballotpedia defined those won by Trump won as Retained Pivot Counties and those won by Joe Biden (D) as Boomerang Pivot Counties. Nationwide, there were 181 Retained Pivot Counties and 25 Boomerang Pivot Counties. Nebraska had one Retained Pivot County, 0.55 percent of all Retained Pivot Counties.

More Nebraska coverage on Ballotpedia

See also

Footnotes