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Arson attacks paralyze French high-speed rail network hours before start of Olympics, the Obamas endorse Harris for President; A NY county creates facial recognition, privacy protections; Art breathes new life into pollution-ravaged MI community; 34 Years of the ADA.

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Harris meets with Israeli PM Netanyahu and calls for a ceasefire. MI Rep. Rashida Tlaib faces backlash for a protest during Netanyahu's speech. And VA Sen. Mark Warner advocates for student debt relief.

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There's a gap between how rural and urban folks feel about the economy, Colorado's 'Rural is Rad' aims to connect outdoor businesses, more than a dozen of Maine's infrastructure sites face repeated flooding, and chocolate chip cookies rock August.

Pro-Democracy Group: Regulators Should Say "No Dice" to Election Betting

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Friday, July 28, 2023   

Almost a year before the 2024 election, the question of whether bets should be allowed on congressional races is being debated. The idea has civic-engagement groups worried.

A little-known government agency is playing a key role in deciding whether gambling and elections should mix. The Commodity Futures Trading Commission has been asked by the trading platform Kalshi to allow such bets through so-called "event contracts." They'd be limited to betting on which party will control Congress in future elections.

However, Stephen Spaulding, vice president for policy at the group Common Cause, said this would put even more pressure on the health of democracy in current political environment.

"This opens up a significant risk to the perception that the winners and losers of an election are not determined by voters, but by those who stand to gain financially," he said.

Common Cause has sent a filing to the commission, asking that it reject the proposal. Leadership with the House Task Force on Strengthening Democracy issued a similar request. Rep. Marc Pocan, D-Wis., is on the task force but declined comment.

Supporters of the idea have said the forecasting could help small businesses protect their interests while benefiting researchers. However, Spaulding said the world of politics is still reeling from the 2010 Citizens United ruling by the U.S. Supreme Court. When you add gambling to the equation, he said, big spenders could hold sway over the process in an even bigger way.

"You can imagine a situation where an entity that is now able to spend money on elections post-Citizens United then places an enormous wager on the outcome of the election," he said, "and also funnels resources through Super PACs or other dark money vehicles to influence the outcome of an election."

Last year, Kalshi sought CFTC approval for bets to be placed on the 2022 midterms, but it ultimately withdrew its plan when commission staff raised concerns and recommended rejecting the proposal.

Support for this reporting was provided by Carnegie Corporation of New York.


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