Assembly Bill A11660

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   11660
 
                           I N  A S S E M B L Y
 
                               July 29, 2026
                                ___________
 
 Introduced  by  COMMITTEE ON RULES -- (at request of M. of A. Powers) --
   read once and referred to the Committee on Governmental Operations
 
 AN ACT to amend the public officers  law,  in  relation  to  prohibiting
   certain  employees  of  the  state from using nonpublic information in
   prediction markets
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1. The public officers law is amended by adding a new section
 74-b to read as follows:
   § 74-B. PREDICTION MARKETS PROHIBITED. 1. FOR  THE  PURPOSES  OF  THIS
 SECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
   (A) "NEW YORK STATE LEGISLATURE" MEANS THE NEW YORK STATE ASSEMBLY AND
 NEW YORK STATE SENATE.
   (B)  "PREDICTION  MARKET" MEANS AN EXCHANGE-TRADED PLATFORM OR SERVICE
 THAT IS NOT LICENSED OR PERMITTED BY THE NEW YORK STATE  GAMING  COMMIS-
 SION USED BY PARTICIPANTS TO BUY AND SELL CONTRACTS CONTINGENT ON FUTURE
 EVENTS,  SUCH  AS ELECTIONS, SPORTING EVENTS, ACTIONS OR SPEECH OF INDI-
 VIDUALS, AND ECONOMIC INDICATORS. FOR THE PURPOSES  OF  THIS  SECTION  A
 PLATFORM  OR SERVICE WILL NOT BE CONSIDERED A "PREDICTION MARKET" SOLELY
 BECAUSE THE PLATFORM OR SERVICE IS USED TO  TRADE  FUTURE  CONTRACTS  OR
 OPTIONS  TO  PURCHASE OR SELL SECURITIES, COMMODITIES, OR OTHER GOODS OR
 SERVICES.
   (C) "PUBLIC AUTHORITY" MEANS A  PUBLIC  AUTHORITY  OR  PUBLIC  BENEFIT
 CORPORATION  CREATED BY OR EXISTING UNDER ANY STATE LAW, AT LEAST ONE OF
 WHOSE MEMBERS IS APPOINTED BY THE GOVERNOR, INCLUDING  ANY  SUBSIDIARIES
 OF  SUCH  PUBLIC  AUTHORITY OR PUBLIC BENEFIT CORPORATION, OTHER THAN AN
 INTERSTATE OR INTERNATIONAL AUTHORITY OR PUBLIC BENEFIT CORPORATION.
   (D) "STATE AGENCY" MEANS ANY STATE AGENCY, DEPARTMENT, OFFICE,  BOARD,
 COMMISSION  OR  OTHER  INSTRUMENTALITY OF THE STATE, OTHER THAN A PUBLIC
 AUTHORITY.
   2. NO MEMBER OF THE NEW YORK STATE  LEGISLATURE  OR  THEIR  RESPECTIVE
 STAFF, NO OFFICER OR EMPLOYEE OF A STATE AGENCY WHO SERVES AT THE PLEAS-
 URE  OF  THE  GOVERNOR OR THEIR APPOINTING AUTHORITY, AND NO MEMBER OF A
 PUBLIC AUTHORITY APPOINTED BY THE  GOVERNOR,  SHALL  USE  ANY  NONPUBLIC
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD15656-02-6
 A. 11660                            2
 
 INFORMATION  OBTAINED  IN THE COURSE OF SUCH PERSON'S OFFICIAL DUTIES TO
 SEEK PROFIT OR AVOID LOSS FROM PARTICIPATION IN A PREDICTION  MARKET  OR
 SIMILAR SERVICE OR ASSIST ANY OTHER PERSON IN SEEKING PROFIT OR AVOIDING
 LOSS FROM PARTICIPATION IN A PREDICTION MARKET OR SIMILAR SERVICE.
   3.  ANY  OFFICER  OR  EMPLOYEE OF A STATE AGENCY WHO WAS FOUND TO HAVE
 VIOLATED THE PROVISIONS OF THIS SECTION SHALL BE SUBJECT TO A  FINE  NOT
 TO  EXCEED  FIVE  THOUSAND  DOLLARS,  FOR A FIRST OFFENSE. UPON A SECOND
 OFFENSE, SUCH OFFICER OR EMPLOYEE OF A STATE AGENCY SHALL BE SUBJECT  TO
 A  FINE  NOT  TO EXCEED TEN THOUSAND DOLLARS. UPON A THIRD OFFENSE, SUCH
 OFFICER OR EMPLOYEE OF A STATE AGENCY SHALL BE REMOVED  FROM  OFFICE  OR
 EMPLOYMENT IN THE MANNER PROVIDED BY LAW.
   § 2. This act shall take effect immediately.