This bill would change the Commodity Exchange Act to ban certain contracts tied to wildfires from being listed, cleared, or traded on or through a registered entity. The ban covers agreements, contracts, transactions, or swaps based on any wildfire event. The bill defines a wildfire event broadly to include ignition, occurrence, location, duration, intensity, size, spread, containment, evacuations, injuries or deaths, and property damage. The bill also directs the Attorney General to lead a review, in consultation with the Commodity Futures Trading Commission, the Secretaries of Agriculture and the Interior, and other appropriate agencies, of existing federal criminal and civil authorities about conduct to influence or profit from wildfires. That review must begin within 180 days of enactment and a report with findings and legislative recommendations must be sent to House and Senate Judiciary and Agriculture committees within 30 days after the review is complete. The bill includes a "sense of Congress" stating that these contracts create improper incentives, may undermine emergency response and public confidence, and that federal markets should not facilitate gambling on wildfire destruction. It also says the Act does not preempt State laws that regulate or prohibit gambling or gaming.
No publicly available information.
The bill's text states supporters believe: (1) wildfire event contracts create improper financial incentives to profit from wildfires; (2) such contracts may undermine trust in emergency-response decisions and create chances to exploit nonpublic information about fires and response activities; (3) federally regulated markets should not allow gambling on the destruction of homes, businesses, natural resources, or communities; and (4) State gambling or gaming laws are not preempted by this Act.
No publicly available information.