H.R. 8912

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 8912 Introduced in House (IH)]

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119th CONGRESS
2d Session
H. R. 8912

To prohibit the use of campaign funds for prediction-market 
transactions, and for other purposes.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

May 19, 2026

Mr. Torres of New York introduced the following bill; which was 
referred to the Committee on House Administration

_______________________________________________________________________

A BILL

To prohibit the use of campaign funds for prediction-market 
transactions, and for other purposes.

Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the ``Campaign Funds Integrity Act of 
2026''.

SEC. 2. PROHIBITION ON USE OF CAMPAIGN FUNDS FOR CERTAIN FINANCIAL 
TRANSACTIONS.

(a) In General.--Section 324 of the Federal Election Campaign Act 
of 1971 (52 U.S.C. 30126) is amended to read as follows:

``SEC. 324. PROHIBITION ON USE OF CAMPAIGN FUNDS FOR CERTAIN 
SPECULATIVE FINANCIAL TRANSACTIONS.

``(a) Prohibition.--A candidate, authorized committee, or other 
political committee shall not use campaign funds to participate in any 
prediction market or event contract, including any contract or 
instrument whose value is derived from the outcome of an election, 
legislative action, regulatory decision, or other political or economic 
event.
``(b) Enforcement and Penalties.--
``(1) In general.--Any violation of this section shall be 
considered pursuant to the enforcement procedures under section 
309, including with respect to the civil penalties authorized 
under such section.
``(2) Knowing and willful violations.--Any person who 
knowingly and willfully commits a violation of this section 
shall be subject to criminal penalties under section 309(d), 
which may include fines under title 18, United States Code, 
imprisonment of not more than 5 years, or both.
``(c) Referral to Department of Justice.--The Federal Election 
Commission may refer apparent knowing and willful violations to the 
U.S. Department of Justice for criminal prosecution in accordance with 
section 309(a)(5)(C).
``(d) Regulations.--The Federal Election Commission shall 
promulgate regulations to carry out this section, including guidance on 
permissible financial instruments and compliance requirements.
``(e) Rule of Construction.--Nothing in this section shall be 
construed to prohibit the use of campaign funds for--
``(1) deposits in insured depository institutions;
``(2) investments in diversified mutual funds or exchange-
traded funds; or
``(3) other low-risk financial instruments as may be 
permitted by the Commission.
``(f) Definitions.--For purposes of this section:
``(1) The term `campaign funds' means contributions or 
donations received by a candidate, authorized committee, or 
other political committee subject to this Act.
``(2) The term `prediction market' or `event contract' 
means any agreement, contract, transaction, or instrument that 
provides for payment based on the outcome of a future event, 
including political, economic, or regulatory events.''.
(b) Effective Date.--This section and the amendment made by this 
section shall take effect on the date that is 120 days after the date 
of the enactment of this Act.
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