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Director: Bidders must meet Indiana lottery standards

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Indiana won't turn its lottery over to a private company if bidders don't meet the state's high standards, the executive director of the Hoosier Lottery said Friday.

The state has been seeking bids on a 10-year contract to run the Hoosier Lottery. Executive Director Karl Browning released a statement Friday, a day after a spokeswoman for Camelot Global Services, which runs the national lottery in Great Britain, said it dropped out because the state's process encourages bidders to set expected revenue too high. Tatts Group Ltd., which operates several lotteries in Australia, also dropped out.

They were among four companies that submitted information to Hoosier Lottery officials for background checks in anticipation of submitting private management proposals. The other two companies that applied for initial background checks were Rhode Island-based Gtech, which supplies and maintains instant ticket and vending machines in Indiana, and New York-based Scientific Games, which provides the lottery's central online system and terminals.

Browning said officials won't release any information about the proposals until a Sept. 26 lottery commission meeting, when a contract might be awarded.

"If proposals meet our high standards and can significantly increase the lottery's annual income, we will consider moving forward; if they don't, we won't award a contract," he said in the statement.

The state received $188 million in lottery proceeds last year. State lottery officials and Gov. Mitch Daniels are hoping a private firm can boost lottery revenue.

"We have an obligation to test the market to determine if the private sector can bring more value to the lottery operation," Browning said.

Indiana officials announced in July that they would seek a 10-year contract for lottery marketing, sales and distribution services.

Illinois last year became the first state to agree to a private lottery management contract. That contract was awarded to Northstar Lottery Group, a partnership between Gtech and Scientific Games. Northstar brought in record revenue in its first year, but fell well short of the $825 million it promised Illinois officials. The company and the state are in arbitration over the issue.

New Jersey and Pennsylvania also are considering switching to privately managed lotteries.

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  1. In reality, Lilly is maintaining profit by cutting costs such as Indiana/US citizen IT workers by a significant amount with their Tata Indian consulting connection, increasing Indian H1B's at Lillys Indiana locations significantly and offshoring to India high paying Indiana jobs to cut costs and increase profit at the expense of U.S. workers.

  2. I think perhaps there is legal precedence here in that the laws were intended for family farms, not pig processing plants on a huge scale. There has to be a way to squash this judges judgment and overrule her dumb judgement. Perhaps she should be required to live in one of those neighbors houses for a month next to the farm to see how she likes it. She is there to protect the people, not the corporations.

  3. http://www.omafra.gov.on.ca/english/engineer/facts/03-111.htm Corporate farms are not farms, they are indeed factories on a huge scale. The amount of waste and unhealthy smells are environmentally unsafe. If they want to do this, they should be forced to buy a boundary around their farm at a premium price to the homeowners and landowners that have to eat, sleep, and live in a cesspool of pig smells. Imagine living in a house that smells like a restroom all the time. Does the state really believe they should take the side of these corporate farms and not protect Indiana citizens. Perhaps justifiable they should force all the management of the farms to live on the farm itself and not live probably far away from there. Would be interesting to investigate the housing locations of those working at and managing the corporate farms.

  4. downtown in the same area as O'malia's. 350 E New York. Not sure that another one could survive. I agree a Target is needed d'town. Downtown Philly even had a 3 story Kmart for its downtown residents.

  5. Indy-area residents... most of you have no idea how AMAZING Aurelio's is. South of Chicago was a cool pizza place... but it pales in comparison to the heavenly thin crust Aurelio's pizza. Their deep dish is pretty good too. My waistline is expanding just thinking about this!

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