The Illinois Lottery is not a model Indiana should follow in seeking a private manager to boost revenue, according to Illinois’ own lottery chief. Hoosier Lottery officials say they’ve taken steps to avoid the problems Illinois had with its privatization contract, but several key elements of the process mirror Illinois’.
The $791 million Hoosier Lottery threw open bidding July 11 for a 10-year contract on marketing, sales and distribution services. The lottery wants to be among the fastest-growing in the country, and it’s looking to the gambling industry to help it reach that goal.
The primary goal of the contract is to boost the lottery's net income, which dropped from $218 million in fiscal year 2006 to $188 million during fiscal year 2011 — a 14 percent decline.
The Indiana State Lottery Commission endorsed a plan Wednesday to seek out private companies to take over some operations of the Hoosier Lottery, a state agency whose income has shrunk in recent years.
The Hoosier Lottery hasn't started formally looking at online sales. But spokesman Al Larsen said the lottery will consider it depending on how the program in Illinois works out.
Hoosier Lottery officials have started getting rid of some office and gym equipment that was purchased for the agency's $2 million move to a new downtown Indianapolis headquarters.
Indiana's ethics board is signing off on the interim state lottery director's plans to work with a state contractor once a new lottery chief is found.
Megan Ornellas will serve as interim director of the Hoosier Lottery until a replacement can be found for Kathryn Densborn, who resigned following a flap over her lavish spending on a new headquarters.
Lottery Director Kathryn Densborn had acknowledged that $25,000 in gym equipment and some other items included in the move to a new office may have been poor judgment.
The head of the Indiana Democratic Party wants the director of the Hoosier Lottery to resign after an admission that it overspent on its new headquarters.
Indiana lottery officials say they overspent on their new headquarters and will sell some of their equipment after reports raised questions about the lavish facility.
The Hoosier Lottery sold a total of $740 million in tickets and awarded $456 million in prizes during the 2010 budget year.
The lottery will move in January to the Buick, a 60,000-square-foot building at 13th and Meridian streets owned by principals of Shiel Sexton Construction.
Indianapolis-based Centaur LLC, owner of Hoosier Park horse track and casino in Anderson, filed for Chapter 11 reorganization
on Sunday. The company’s casino, racing and hotel operations will continue without interruption, it said.
The lottery office said Monday that the deadline for claiming the jackpot from the Aug. 19 drawing has been extended until
Feb. 22.
The Hoosier Lottery limped through its latest fiscal year, turning in its poorest sales performance in a half-decade due mostly
to declining demand for Hoosier Lotto tickets and scratch-off games, the Lottery said today.
Indiana has made billions on gambling in nearly two decades, funding key programs, cutting excise and property taxes, and
avoiding tax hikes. The state has seen more than $2 billion in investment without any government incentives,
and more dollars committed in our history than by any industry outside of steel, power and autos.
The Hoosier Lottery has agreed to pay $2.75 million to settle a lawsuit filed by eight black former employees who claim racial
discrimination motivated their firing four years ago.
The state’s overreliance on gambling, what once seemed like easy money, is becoming a major concern to taxpayers.
Hoosiers’ long ride on the gambling gravy train finally may be coming to an end.
