Today is
Thursday June 04, 2026
The Texas Department of State Health Services is lifting a new requirement for youth camps to install “end-to-end fiber optic facilities” in order to allow them to operate this summer, following a lawsuit from 19 camps that called the measure too challenging.
The state health agency announced on Thursday that it reached an agreement with the 19 operators, allowing camps that maintain a redundant broadband internet service to avoid any potential license denial or revocation for not having fiber service this summer, as long as they meet other safety requirements.
“This agreement will ensure that youth camps in Texas operate with the safety provisions envisioned by the Legislature while allowing camps and families to move forward with their summer plans,” said DSHS Commissioner Jennifer Shuford.
The deal came after leaders of the Texas Legislature, including Lt. Gov. Dan Patrick and Texas House Speaker Dustin Burrows, released statements supporting the removal of the requirement for fiber-optic internet infrastructure at all Texas camps, citing the difficulty of meeting this requirement.
“We also recognize that there may be means other than fiber to provide reliable, redundant internet access, which would satisfy the purpose and spirit of the law,” Patrick and Burrows said in the statement.
In exchange for setting aside the requirement, camps agree to maintain “redundant internet connectivity” through other means, including through cellular or satellite technology. The lawsuit will be set aside until March 1, 2027, according to the agreement.
“This agreement keeps camp doors open for children and families across Texas,” said Brian Anderson, executive director of Camp Peniel, one of the camps that filed the lawsuit. “Camps are places where kids grow, build confidence, and form lifelong friendships, and this outcome makes sure those experiences continue this summer. Camps and campers across Texas are grateful to the state for agreeing to this temporary solution.”
Summer camps in Texas can qualify for licensure through DSHS. To obtain a license, among the steps they must fulfill is submit a sufficient emergency action plan, meet all other safety requirements, and maintain a reliable communication system capable of operating during an emergency, lawmakers said on social media and in statements.
Lawmakers are expected to revisit the camp safety standards in the 90th Legislative session in 2027 while ensuring that camps operate in good faith under these new regulations.
State legislators passed the fiber optic requirement, in addition to mandating a second type of broadband connection, after the July 4 flood in the Texas Hill Country. That flood killed 25 campers, two counselors at Camp Mystic and the camp’s executive director Dick Eastland — information that emergency responders struggled to confirm as one official noted phone lines were down and there was no cell service at the camp.
In April, the group of 19 camps in Texas filed a lawsuit saying the requirement to install fiber optic internet does not make their properties safer, violates the state Constitution and state law regarding property rights, and could prevent them from opening.
The group of camps, which includes Camp Champions, Camp Longhorn and Tejas Ministries, said in the suit that companies advised them that the service either could not be supplied, could not be confirmed as “end-to-end” — a term the lawsuit said isn’t defined — or would cost an amount “that greatly exceeded their resources.”
The suit, filed in a Travis County state district court, offered examples: Camp Liberty, in one extreme, received a quote of $1 million in upfront costs plus a $3,500 monthly service fee over five years. Camp Longhorn received a quote of more than $1.2 million.
The original requirement made no exception for rural camps, where fiber optic internet might not be available or “is so costly as to make it economically infeasible or unreasonably burdensome,” the lawsuit states.
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This story was originally published by The Texas Tribune and distributed through a partnership with The Associated Press.
HENDERSON COUNTY — The Henderson County Sheriff’s Office is seeking the public’s help in finding a man with several outstanding warrants for his arrest after he was accused of committing forgery and fraud. According to the sheriff’s office and our news partner KETK, an investigation was opened against 48-year-old Richard Lang after several businesses in the Chandler area reported counterfeit currency being used during transactions.
During the investigation, officials discovered that Lang had used counterfeit $100 and $20 bills at local businesses to purchase merchandise, fuel and lottery tickets. Investigators also gathered witness statements, surveillance videos and additional counterfeit currency during the investigation that linked Lang to the offenses.
Anyone with information about Lang’s whereabouts is asked to contact the sheriff’s office at 903-675-5128 or the Henderson County Crime Stoppers at 800-545-TIPS.
NACOGDOCHES, Texas (KETK)– For more than a century, Stephen F. Austin State University has served as a cornerstone of higher education in East Texas. Now, the university is undergoing what leaders describe as a once-in-a-generation transformation fueled by the University of Texas System.
SFA officials say a 10-year campus master plan carrying an estimated $1 billion price tag is designed to modernize facilities, improve the student experience and position the university for another century of growth and success.
Construction equipment has now taken over portions of the campus known for its towering pine trees and blooming azaleas, signaling the start of a major expansion effort.
“This institution has a really strong history of being resilient and able to weather storms and get through tough times,” SFA President Dr. Neal Weaver said. “When you take that resilience and match it with the power and resources of the University of Texas System, you see what is happening here right now.”
Since joining the UT System in 2023, at least $58 million has already been invested into SFA. The university recently opened a new cafeteria — the first built on campus since the 1960s — while at least $160 million in additional projects are currently under construction or in development.
One of the most visible projects is underway at SFA’s Arthur Temple College of Forestry and Agriculture, where construction crews are building a more than 100,000-square-foot facility aimed at expanding a nationally recognized academic program.
“We’re about to break ground on a brand-new entrepreneurship center, about a $45 million project that should open in 2027,” Weaver said. “Then this summer, we’re breaking ground on a brand-new $70 million residence facility that will add about 350 beds to campus.”
The growth comes as student enrollment continues to rise. SFA welcomed the largest first-time undergraduate class in school history for the Fall 2025 semester and recently recorded its largest spring enrollment increase in more than 15 years.
Weaver credits the university’s focus on affordability and workforce preparation for helping attract students.
“Being a part of the University of Texas System has allowed us to invest in the Purple Promise program,” Weaver said. “That allows students to come to school tuition- and fee-free if they come from a family that earns less than $100,000 a year.”
According to a 2025 economic report from SFA’s Center for Business and Economic Research, the university generates nearly $348 million in local economic activity and supports approximately 4,819 jobs.
“As we see more people coming to town because of SFA, we’re going to see more investment, more consumers, and more workforce candidates being generated through the university,” Kelly Augustine, President of the Nacogdoches Chamber of Commerce, said. “We’re very excited about that.”
The report also found that during the 2022 school year, SFA attracted more than 205,000 visitors to Nacogdoches — spending nearly $9 million at local hotels, restaurants and retail stores.
Students themselves spent nearly $102 million locally, directly supporting about 1,100 jobs. Nearly $40 million of that spending was recirculated throughout the Nacogdoches area economy, supporting hundreds more jobs.
Augustine believes the university’s impact goes beyond economics.
“We see students giving their free time to volunteer activities,” Augustine said. “We see faculty and staff applying their talents and knowledge with nonprofits and businesses across town.”
University officials expect enrollment to reach 15,000 students over the next decade, a number that could significantly reshape the future of Nacogdoches and the surrounding East Texas region.
“Just think about it — $1 billion being spent right here in Nacogdoches,” Weaver said. “That alone is a powerful economic driver for this region. We know there’s going to be a lot of money and jobs coming to Nacogdoches and East Texas.”
As cranes rise and construction continues across campus, university leaders say SFA is not simply expanding buildings — it is investing in the future of an entire community.
TYLER — The U.S. Department of Agriculture’s new requirements for SNAP retailers will directly affect millions of people who depend on the program, especially in communities where healthy food is already hard to find. Under the updated rules, grocery stores that accept SNAP must stock more than twice as many whole?food items as before, including proteins, grains, dairy, fruits and vegetables. For the 3 million Texans who use SNAP, this could mean better access to healthier choices in stores that previously offered limited options.
But the impact won’t be the same for everyone:
For SNAP users:
Better variety for families trying to stretch benefits while still eating nutritious meals.
More healthy foods on shelves — especially in small or rural stores that previously carried mostly processed items.
Potentially higher prices if retailers pass along the cost of stocking more perishable foods. Read the rest of this entry »
POLK COUNTY — A Polk County man was arrested on Wednesday after allegedly physically abusing his stepdaughter inside their home. According to the Polk County Sheriff’s Office and our news partner KETK, deputies were contacted by staff members at Big Sandy ISD on Wednesday regarding a junior high student who they believed may have been a victim of abuse.
Once deputies arrived at the school, they observed several facial and bodily injuries on the student, prompting an investigation regarding concerns of possible physical abuse.
While speaking with officials, the student stated that her stepfather had physically assaulted her inside their home the previous night. The victim was later taken to the local Child Advocacy Center, where she underwent a forensic interview.
Based on information obtained during the interview, a search warrant was issued for the victim’s residence, and the stepfather was taken into custody and charged with causing bodily injury to a child. The victim’s mother was also taken into custody on Thursday morning after it was discovered that she was allegedly present during the abuse.
The sheriff’s office said that the investigation remains ongoing and additional charges may be filed.
Editor’s Note: KETK News has withheld the names of the suspects to protect the privacy of the victim.
TYLER — A Smith County gang member has been sentenced to three concurrent life terms after pleading guilty in a crack cocaine and money laundering conspiracy tied to the 5-2 Hoover Crips.
The Smith County District Attorney’s Office announced Thursday that Samatraus Forge pleaded guilty to his role in a 12-person conspiracy tied to crack cocaine trafficking, money laundering and gang activity. Judge Taylor Heaton handed down three concurrent life sentences, underscoring Forge’s role in the operation. Prosecutors presented evidence identifying him as a member of the 5-2 Hoover Crips, a gang that ran multiple drug houses and funneled narcotics through areas designated as drug-free zones.
A lead investigator from the Tyler Police Department testified about the year-long probe, revealing that at least three houses were used to move roughly $4,000 in narcotics proceeds each month. Forge is the first to be sentenced in the case. Eleven other defendants have been charged with engaging in organized criminal activity and are awaiting trial.
TYLER — After accepting a guilty plea deal, a man has been sentenced to eight years in state prison for a 2025 shooting at Lake Tyler on Thursday.
On May 18, 2025, the Tyler Police Department responded to a report of gunshots at a parking lot near Lake Tyler. Officials said no one was injured in the shooting. The suspected shooter, Dezavion Williams of Henderson, had a rifle and was taken into custody by officers. Williams was arrested and booked into the Smith County Jail for aggravated assault mass shooting.
On April 23, Williams was offered a guilty plea deal, according to Smith County judicial records. Williams accepted the guilty plea at a pre-trial hearing on Thursday and was sentenced to eight years in the Texas Department of Criminal Justice.
NASHVILLE, Tenn. (AP) — Republicans in several Southern states pressed ahead with an aggressive election-year redistricting effort Wednesday, undeterred by demonstrations and objections to their plans to reshape majority-Black congressional districts that have suddenly become vulnerable because of a U.S. Supreme Court ruling.
In Tennessee, protesters repeatedly interrupted legislative hearings on the redistricting plans, yet Republicans advanced them for a potential final vote Thursday.
Despite passionate pleas from Black Democratic lawmakers, Republicans in the Alabama House approved a measure to upend the state’s congressional primaries if courts allow them to switch their U.S. House districts. In South Carolina, Democrats chided Republican colleagues for abiding by President Donald Trump’s desires as they took an initial step toward redrawing a district long held by a Black Democratic lawmaker.
The stakes are high for minority voters who stand to lose their preferred representatives and for any Republican lawmakers reluctant to follow Trump’s wishes. In Republican primary elections Tuesday, Trump-endorsed challengers defeated at least five of the seven Indiana state lawmakers targeted by the president’s allies for refusing to support a congressional redistricting effort last year.
The Supreme Court ruled last week that Louisiana relied too heavily on race when creating a second Black-majority House district as it attempted to comply with the Voting Rights Act. The ruling significantly altered a decades-old understanding of the law, giving Republicans in Louisiana and elsewhere grounds to try to eliminate majority-Black districts that have elected Democrats.
The ruling intensified an already fierce national redistricting battle ahead of a November midterm election that will determine control of the closely divided House.
Since Trump prodded Texas to redraw its U.S. House districts last year, eight states have adopted new congressional districts. From that, Republicans think they could gain as many as 13 seats while Democrats think they could gain up to 10. But some of the new districts could be competitive in November, meaning the parties may not get all they sought.
Tennessee plan splits up Memphis district
Republicans on Wednesday proposed a new U.S. House map that would split Memphis’ home of Shelby County into three districts, instead of the current two. The map would break up Tennessee’s lone Democratic-held district, centered on the majority-Black city, creating a ripple effect of alterations to districts throughout the western and central parts of the state.
“Tennessee is a conservative state, and our congressional delegation should reflect that. This bill ensures it does,” Republican state Sen. John Stevens said.
Republican House Speaker Cameron Sexton said the proposed districts were drawn based on population and politics, not racial data.
To adopt new House districts, Tennessee lawmakers also are seeking to repeal a state law prohibiting mid-decade redistricting.
Democrats and civil rights activists denounced the efforts during Wednesday’s committee hearings.
The proposal “is Black vote dilution at an industrial scale,” said Sekou Franklin, a political science professor at Middle Tennessee State University who is part of the Tennessee branch of the NAACP.
Protesters interrupted a Senate committee meeting, loudly chanting “Hands off our vote!” After senators suspended the hearing, state troopers cleared people from the room. Senators resumed their work elsewhere, advancing the legislation.
Later Wednesday, protesters in the hallway beat on the walls and doors of a committee room where senators were meeting. A House committee also paused its work as state troopers escorted chanting protesters from the room.
The candidate qualifying period in Tennessee ended in March, but legislation would reopen it to allow new candidates to join the races and existing candidates to switch districts. The primary election is Aug. 6.
Democrats noted that the state Supreme Court in April 2022 rejected a challenge to the current congressional map, finding it was too close to the election to make changes. This year, there’s even less time before the primary elections, raising the potential of confusion for both candidates and voters, Democrats said.
Alabama House backs a new primary
The Republican-led Alabama House on Wednesday passed legislation authorizing special congressional primaries as Republicans eye the possibility of getting a different congressional map in place for the November elections. The bill now moves to the state Senate.
Alabama is seeking to lift a federal court order that created a second congressional district with a near-majority of Black voters. That map led to the 2024 election of Rep. Shomari Figures, a Black Democrat. Republicans want instead to use a 2023 map drawn by state lawmakers that would give the GOP an opportunity to reclaim Figures’ south Alabama district.
The legislation won House approval on a party-line vote after four hours of fiery debate during which Black legislators said the moment calls back to the state’s shameful Jim Crow-era history.
“It’s a tragic step backward for Black Alabama voters. But we’ve been here before, and we will not give up this fight,” Democratic state Rep. Adline Clarke said.
Democratic state Rep. Juandalynn Givan likened the legislation to poll taxes and counting jelly beans in a jar — a virtually impossible task that was used to suppress Black voters during the Jim Crow era.
“It is a calculated political maneuver born out of fear, a fear that is of Black people and most importantly Black political power,” Givan said.
Tensions rose later Wednesday as dozens of protesters temporarily blocked a hallway outside the Senate, singing “We Shall Overcome” and shouting “we’re not going back” as security officers tried to get them to leave.
Alabama’s legislation hinges on the U.S. Supreme Court or a district court agreeing to lift the injunction.
“We’re going to be ready if the court hands down a favorable ruling,” said Republican state Rep. Chris Pringle, who sponsored the bill.
Alabama’s primaries are May 19. If a court grants the state’s request, the legislation would ignore the results for congressional seats and direct the governor to schedule a new primary under the revised districts.
South Carolina moves toward redistricting
The South Carolina House on Wednesday approved a resolution giving lawmakers permission to return later, after their regular work ends, to redraw congressional districts that could eliminate the state’s only Democratic-held district. The proposal now goes to the Senate, where it would need a two-thirds vote.
Republican House leaders said after the vote that they plan to introduce a new map Thursday and hold committee meetings on Friday. But during debate Wednesday, Republicans fended off specific questions from Democrats, including why they were willing to stop the June 9 U.S. House primary elections well after candidates filed and how much a rescheduled primary could cost.
Democratic Rep. Justin Bamberg said he felt sorry for Republicans who he said were giving up their principles to follow the whims of Trump.
“The president of the United States is a very powerful man. Wields a heavy, heavy thumb — Truth Social, X, Meta, Instagram. To be honest I don’t envy our Republican colleagues,” Bamberg said.
Democratic Rep. Leon Stavrinakis said democracy will die if lawmakers redraw voting districts for political reasons every time power changes or to protect someone in office.
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Chandler reported from Montgomery, Alabama; Collins from Columbia, South Carolina; and Lieb from Jefferson City, Missouri. Associated Press reporter Kristin M. Hall contributed.
VAN ZANDT COUNTY — A search is underway for individuals believed to have attacked an elderly East Texas man on Tuesday evening. The Van Zandt County Sheriff’s Office said the aggravated assault occurred Tuesday from around 4 p.m. to 5 p.m. in the 8800 block of FM Road 279 in Edom. A preliminary investigation indicates that an elderly man from Edom was involved in a physical altercation and was assaulted by unidentified individuals who were driving a red Ford Expedition.
Anyone with information or who may have witnessed the incident is asked to contact Investigator D. Henson at [email protected], Investigator C. Hanner at [email protected], or the Van Zandt County Sheriff’s Office at (903) 567-4133.
MARSHALL — The City of Marshall is mourning the passing of its municipal court judge, who died earlier this week. According to city officials and our news partner KETK, Judge Tristen Ellis died on Monday after serving as municipal judge since November 2025. The city said that Ellis leaves behind a legacy of integrity, fairness and dedicated public service.
“Judge Ellis was a valued member of the Marshall community and brought wisdom and professionalism to the Municipal Court,” Mayor Amy Ware said. “He was widely respected for his unwavering commitment to justice.”
His family will announce information about Ellis’s memorial services, and updates will be provided at a later date regarding the appointment of an interim judge.
GLADEWATER — Gladewater ISD is moving forward with a series of major upgrades after voters approved the district’s $8.1 million bond during Saturday’s municipal election. The district was one of nine across the region where voters said “yes” to new school funding. A significant portion of the bond will go toward campus safety, including installing keyless entry systems at every school. The district will also purchase new school buses equipped with seat belts, thereby improving student transportation safety.
Another major focus of the bond is strengthening the district’s Career and Technical Education (CTE) programs, an investment aimed at preparing the future workforce of East Texas. Superintendent Rae Ann Patty said the upgrades will ensure students are learning on equipment that reflects real?world industry standards.
Work will begin this summer, starting with HVAC system upgrades and the purchase of new buses. Most construction and classroom improvements are expected to be completed during the 2027–2028 school year.
The bond marks a significant step forward for Gladewater ISD as it works to enhance safety, modernize learning spaces, and expand opportunities for students across the district.
KILGORE — A pedestrian was killed last month in Kilgore after falling from the bed of a pickup truck and being struck by a police vehicle responding to a crash, according to a report from the Texas Department of Transportation. According to our news partner KETK, the incident began when a driver of a pickup truck, believed to be intoxicated, was traveling north on State Highway 135 with a passenger in the bed of the truck in the early hours of April 18. The passenger, who was also reportedly intoxicated, had been asleep during the ride.
According to the report, the passenger woke up at some point, and around the same time, the driver missed an exit and attempted to make a U-turn. During that maneuver, the passenger fell from the bed of the truck onto the roadway. The Kilgore Police Department said they received an automatic 911 call from a smartphone, along with GPS coordinates for its location. Dispatchers sent units to the potential crash after they “could hear an unresponsive individual with labored breathing throughout the call.”
The crash report states that a person driving a Kilgore Police Department vehicle was traveling northbound on State Highway 135 en route to a crash and encountered the pedestrian—who was wearing dark clothing and no reflective materials—lying in the outside lane. Read the rest of this entry »
WILLS POINT – The Kaufman County Sheriff’s Office is currently searching for 76-year-old Alfredo Chavez, who was last seen in Wills Point on April 23. Chavez is described as 5’7? Hispanic man, who weighs around 120 pounds and has brown eyes and brown hair. According to a Silver Alert, he was last seen in the 14300 block of Clark Lane in Wills Point on April 23 at 2 p.m., while wearing a dark long-sleeve shirt, green sweatpants and flip-flops.
The sheriff’s office said Chavez may be with a small Chihuahua dog. They also said he suffers from dementia, may be disoriented, may knock on the door of nearby homes and only speaks Spanish.
On April 25, the sheriff’s office said Chavez was still missing after an extensive search of the area. Anyone with information about his disappearance is asked to contact the Kaufman County Sheriff’s Office at 469-376-4500.
AUSTIN (THE TEXAS TRIBUNE) — In March, Lt. Gov. Dan Patrick directed state senators to explore ways to close “gambling loopholes” that allow online prediction markets to operate in Texas, raising concerns that state elections and sporting events could be manipulated for profit.
Patrick’s directive was the first time a state leader officially acknowledged the existence of rapidly growing prediction markets, which let users wager on outcomes tied to anything from the weather to election winners and sports scores.
Most prediction markets didn’t operate in the U.S. before 2025.
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Any attempts by the Texas Legislature to restrict prediction operators, however, would run into federal roadblocks as the Trump administration insists that oversight belongs to a U.S. agency, not the states.
The Commodity Futures Trading Commission has taken vigorous steps to retain exclusive regulatory oversight, suing to block five states from taking legal action against predictive markets, including a lawsuit filed Tuesday against Wisconsin.
Prediction market operators argue that state gambling laws don’t apply to them because users aren’t placing bets, they’re risking money on predictions — no different than other exchange-traded financial contracts that speculate on the future performance of commodities. Congress created the CFTC in 1974 to regulate futures trading.
Sara Slane, head of corporate development for Kalshi, the country’s largest prediction market, said she believes federal regulators provide adequate oversight, a perspective Kalshi is “never shy” about sharing with state officials.
“We are regulated at the federal level, but of course, given now the popularity of prediction markets, we are doing a lot of educating on the state level,” Slane said. “That’s the dialogue that we’ll envision having, certainly, in the state of Texas.”
Amid fears of insider trading and market manipulation, other states have struggled to regulate prediction markets under their current gambling laws, including 15 states that have sued, investigated or sent cease and desist orders to operators for allegedly violating gambling restrictions or failing to acquire gambling licenses.
Texas, however, has been slower to react, uncharacteristic for a state that has stood firm against efforts to expand online wagering.
The National Association of Attorneys General and the Ohio attorney general’s office asked Texas in March to join a legal brief arguing that the CFTC does not have sole authority to regulate the markets, emails obtained by The Texas Tribune show. Although 39 states signed on, Texas Attorney General Ken Paxton’s office didn’t respond.
Prediction markets say they’re different from sportsbooks. Gambling addicts say it’s all the same
The same thing happened last week when the two organizations again asked Texas to support a similar brief joined by 37 states.
In August 2025, Paxton was one of four state attorneys general who did not sign a letter urging then-U.S. Attorney General Pam Bondi to crack down on offshore gambling.
Paxton’s office did not respond to requests for comment on whether state gambling laws applied to prediction markets and why Texas did not join the two briefs or the letter to Bondi. When the Tribune asked to view internal communications related to prediction markets, the office declined, saying the information was protected by attorney-client privilege. The Ohio attorney general’s office and the national group declined to comment.
Opponents of legalized gambling say prediction markets, despite being portrayed as a form of futures trading, are simply a new form of gaming, producing the same problems as other types of wagering, including addiction, financial ruin and family strain.
“This is public health. It rewires the brain, it requires increasing amounts of dopamine, people will bet more and more and more,” said Russ Coleman, board chair for Texans Against Gambling. “The number of suicides that will result, the number of families that will be broken up, the number of embezzlement cases — it will hit.”
Jonathan Covey, director of policy for Texas Values, a conservative advocacy group, said the markets have the potential for additional harm because many facilitate wagering on elections.
“Elections, they’re not just economic activity, they’re core functions of our state sovereignty,” Covey said. “We have Penal Code chapter 47 that says election betting is illegal, and prediction markets have been trying to sort of relabel that activity.”
Last week, Kalshi revealed that it had fined three congressional candidates, including one in Texas, for attempting to wager on their own elections. That revelation — and the recent arrest of a U.S. Army soldier accused of using classified information for an almost $410,000 payday on another platform — has added fuel to opponents’ concerns that the current regulatory framework is unprepared to address potential manipulation.
Betting on federal oversight
Prediction markets operate by offering “event contracts” tied to different outcomes, such as the number of strikeouts in an Astros’ ballgame or the winner of the Texas attorney general Republican runoff. Sports-related contracts represent 80% to 90% of Kalshi’s monthly trading volume, according to investment research platform Artemis.
There are very few explicit federal restrictions on futures trading beyond motion picture box office receipts and, thanks to the Onion Futures Act of 1958, the price of onions. A CFTC advisory in March also clarified that contracts related to war, assassination or terrorism are not allowed.
Polymarket, which bills itself as the world’s largest prediction market, has offered contracts based on the wars in Iran and Ukraine, but those are hosted on a platform outside of the U.S. and are not subject to CFTC regulation. Polymarket also maintains a U.S. product under CFTC regulation.
The CFTC permits prediction market operators to self-regulate their contracts, a structure Chair Michael Selig described as the government granting them “quasi-regulatory authority.” The CFTC, he told a U.S. House hearing mid-April, can review and reject contracts, acting as the “second line of defense” after the operators themselves.
“The Commodity Exchange Act sets forth a regulatory scheme where the exchanges are the first line of defense,” Selig said.
That self-governing was displayed last week when Kalshi announced enforcement action against the congressional candidates who bet on their own races, including Zeke Enriquez, who finished 11th in the 21st Congressional District Republican primary. Kalshi fined Enriquez $784 and banned him from using the exchange for five years for buying less than $100 worth of event contracts in the GOP primary.
The CFTC also solicited public comments from mid-March through Thursday for input on future rules specifically addressing prediction markets. On Thursday, the National Conference of State Legislatures, which represents state lawmakers including those in Texas, submitted a comment urging the CFTC to place event contracts related to sports under state gambling laws.
In Texas, Patrick opened the door to potential regulation in March when he directed the State Affairs Committee to study how federal law has been exploited to “circumvent Texas gambling prohibitions.” As presiding officer of the Texas Senate, he has long opposed efforts to loosen state gambling restrictions.
Patrick also told senators to prepare recommendations for the 2027 session of the Legislature to ensure prediction markets do not endanger the integrity of elections and sports in Texas.
The committee has no meetings currently scheduled.
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Coleman said Patrick’s directive was a “happy surprise” as his organization works to raise awareness of the rapidly expanding prediction markets. While uncertain what effect it will have, he hoped it indicated Patrick’s continued opposition to gambling writ large.
“Maybe it was stretching a little bit to read too much into that, but it says that he’s paying attention,” Coleman said.
The CFTC’s efforts to discourage states from regulating prediction markets started after Selig, appointed by President Donald Trump, began in December as the only commissioner at the agency, which is designed to be led by five presidential appointees. Selig and the CFTC did not respond to multiple requests for comment.
Covey said Selig’s treatment of prediction markets was “concerning” because states have traditionally had the power to determine what kinds of gambling are permitted within their borders.
“The CFTC is treating these as financial documents, but the states are the ones that have always regulated gambling,” Covey said. “When a federal agency pushes to expand these markets nationwide, it risks overriding state authority and exposing consumers to something that many states would otherwise restrict.”
Covey said operators, relying on federal oversight, have set up shop in states without formal notification, leaving political leaders playing catch-up.
“I think that this issue has not been highlighted, and a lot of people are not aware of it,” Covey said.
In Republican-led Texas, efforts to regulate prediction markets may be complicated by many state officials’ close ties to Trump. Truth Social, the social media platform created by the president, announced in October it would launch its own prediction market platform. Donald Trump Jr. is an adviser for Kalshi and Polymarket.
“There’s a lot of political overtones to this,” Coleman said.
As courts, Congress weigh in, sportsbooks enter the picture
People on both sides of the issue expect questions about state vs. federal regulation to be decided by the U.S. Supreme Court. Three federal appeals courts are reviewing disputes between prediction market operators and states, with oral arguments completed in two cases and a third set for next week — although no cases are pending before the 5th U.S. Circuit Court of Appeals, which oversees Texas.
“This is so, so far down the road that I can truly understand why state lawmakers are saying, ‘OK, great, Dan Patrick, it’s on the interim charge, thank you, we’ll keep our eye on this,’ but at this point it’s got to play out in the courts,” Coleman said.
Several bills have been introduced in Congress to restrict who can use prediction markets and prohibit contracts related to sports or war, including one sponsored by Rep. Greg Casar, D-Austin. On Thursday, the U.S. Senate unanimously passed a resolution banning senators from using prediction markets. Sen. Bernie Moreno, R-Ohio, said on the Senate floor that the ban also applied to Senate staff.
Meanwhile, prediction markets have provided sportsbooks access to residents of states like Texas where online gambling is generally forbidden.
Two of the largest online sportsbooks, FanDuel and DraftKings, have launched prediction market products offering sports contracts that accept money from Texans. Gaming advocates had worked, unsuccessfully, to persuade Texas lawmakers to legalize daily fantasy sports in 2017 and online sports betting in 2023 and 2025. Today, opening DraftKings’ sports betting app in Texas automatically pivots players to its prediction market.
DraftKings says there is “clear consumer interest” in Texas.
“Drawing on more than a decade of experience serving sports fans, and informed by ongoing, thoughtful dialogue with regulators and policymakers, DraftKings has developed a platform designed to enhance the fan experience while making available responsible engagement tools and resources,” a statement from a DraftKings spokesperson read.
FanDuel responded to questions about their prediction markets by pointing to interviews with other outlets, including a CNN interview with company President Christian Genetski, who described the markets as a “reasonable facsimile” to sportsbooks.
What could Texas do?
Carol Ann Maner, chair of the Texas Coalition on Problem Gambling, a nonpartisan organization focused on bolstering resources to combat gambling addiction, said the exponential growth of prediction markets is a great concern from a public health perspective.
The coalition has not identified examples of problem gambling stemming from prediction markets, but Maner said the similarities between them and sportsbooks means the risks are no different.
“It would be almost like malpractice on our part to pretend not to know that this would be harmful,” she said.
Gambling opponents say Texas lawmakers still have several opportunities to regulate or investigate prediction markets without crossing the CFTC.
Covey suggested scrutinizing advertising that is often indistinguishable from sportsbook operations and can target younger audiences. Federal regulations allow prediction markets to be used by those 18 and older, while most states restrict gambling to those 21 and up.
“Their advertising really is a pretty significant insight into where they feel like they’re pulling their customer base from,” Covey said.
Kalshi and Polymarket previously ran Instagram ads in Texas that explicitly called their services “betting,” the Tribune found in September. Ads using direct gambling terminology were removed after Event Horizon and the Tribune reported on their proliferation, but new ads still frame the markets as a more profitable alternative to sportsbooks.
Legislators could also request or subpoena information from operators to glean details on how Texans use prediction markets. The Senate State Affairs Committee used that tool last year when it scrutinized lottery couriers, learning that 99.9% of the largest courier’s sales in 2024 were done online, which Patrick and other lawmakers said violated state law.
Another idea is banning state officials and employees from participating in prediction markets if they have insider information. Four state governors have issued executive orders barring state employees from using nonpublic information to influence contracts purchased on prediction markets. The orders do not outright ban employees from using the markets.
Slane said she understands why state leaders may be apprehensive about giving up oversight but is confident Kalshi is on “firm legal ground” being regulated exclusively by the feds.
“It’s not a fight that we want to be in, but we’re not surprised that we are in it,” Slane said. “I think when people sort of take a step back, certainly from a state level, and they’re simply viewing this as a federal preemption issue over states’ rights, your natural intuition is to be the defender of your state rights.”
Nayomie Mendoza has become accustomed to how Cinco de Mayo is celebrated in the U.S.: the platters of tacos, the pitchers of margaritas and the jubilant sounds of mariachi bands.
She is among a number of Mexican American business owners who’ve become more vocal about also honoring Mexican history and the significance of the holiday, as a way to combat anti-immigrant sentiments amid heightened immigration enforcement efforts that have targeted Latino communities.
Mendoza, owner of Cuernavaca’s Grill in Los Angeles, said she prefers a celebration that reflects “everything that as a community we’re enduring today.” So, Mendoza will host Cinco de Mayo festivities at her restaurant that, along with traditional mariachi and Mexican cuisine, will include a nod to Mexican perseverance over the French in the Battle of Puebla over 160 years ago.
“Just looking at how much they did with very little resources,” she said. “It just showed resilience. So, on Cinco de Mayo we always make it a testament of our resilience.”
Restaurants owners aren’t the first Latino community leaders to reclaim Cinco de Mayo in the U.S. — moving away from a flattening of Mexican culture toward highlighting history and community. This year, the celebrations are noticeably embracing traditional Mexican culture and focused on preservation, said Sehila Mota Casper, director of Latinos in Heritage Conservation.
“These are just incredible moments of educating and knowledge sharing,” Mota Casper said. “The more we educate, the more knowledge we share, the better a community and people we become.”
Restaurants emphasize authenticity over tequila shots
Hispanic-owned firms accounted for 8.4% of 5.9 million U.S. employers in 2024, according to the Census Bureau’s annual survey of businesses. They also were approximately 18% of all restaurant businesses in the United States last month, according to the National Restaurant Association, which uses census data.
U.S. revelers hoping to crowd restaurants and toss back shots of tequila may find more wholesome and intentionally planned offerings, said Raul Luis, who owns the Birrieria Chalio Mexican Restaurant, with locations in Los Angeles and Fort Worth, Texas. On Cinco de Mayo, he wants his customers to eat and drink the types of “guisados” — traditional Mexican braises or stews served as taco filling — that one would eat when invited into a Mexican family’s home.
Well-made, traditional cooking will keep customers coming back, even if they aren’t Hispanic, Luis said.
“It’s the ultimate opportunity for restaurants to take advantage of that moment and bring them in and entice them to authentic Mexican food,” Luis said.
What Cinco de Mayo celebrates
Cinco de Mayo marks the anniversary of the 1862 victory by Mexican troops over invading French forces at the Battle of Puebla. The triumph over much larger French troops who were better-equipped was an enormous emotional boost for Mexican soldiers led by Gen. Ignacio Zaragoza.
In Mexico, historical reenactments are held annually in the central city of Puebla to commemorate the victory. Participants dress as Mexican and French troops and as Zacapoaxtlas — the Indigenous and farmer contingent that helped Mexican troops win.
In the U.S., May 5 is seen as a day to celebrate Mexican American culture, stretching back to the 1800s in California. Festivities typically include parades, street food, block parties, mariachi competitions and baile.
Folklórico, or folkloric ballet, features whirling dancers in bright, ruffled dresses and their hair tied with shiny ribbons.
The day often is mistaken for Mexican Independence Day, which is on Sept. 16.
Latino activists and scholars say that disconnect in the U.S. is bolstered by the hazy history of Cinco de Mayo and marketing that plays on stereotypes that include fake, droopy mustaches and gigantic, colorful sombreros.
A testament to Mexican resilience
Since returning to the White House in 2025, President Donald Trump has continued to label Mexican immigrants as criminals and gang members, and Latino communities have been a target of his hard-line immigration tactics. Memes shared from official White House social media accounts perpetuate negative stereotypes about Latinos, while a federally led English-only initiative and ban on diversity, equity and inclusion programs all seem to target communities of color.
All together, it’s generated a great deal of fear in Latino communities.
Mendoza, the Los Angeles restaurant owner, said it’s also been a hard time for the restaurant industry because of rising costs. But in spite of it all, Cuernavaca’s Grill will be celebrating its 20th anniversary this year.
As part of the restaurant’s Cinco de Mayo festivities, she’ll invite customers to contribute to a food and toy drive meant to support those who are struggling in the current climate.
“This is a testament of our resilience,” Mendoza said. “It’s a testament of our hard work. It is pride to our community and everything that we’ve accomplished.”