Union submits its plan to revamp the Pennsylvania lottery

January 8, 2013 3:57 pm

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HARRISBURG ??? The union representing state lottery workers says it can outperform the private management company that has pledged $34 billion in profits over the next two decades. In a proposal submitted to Gov. Tom Corbett???s administration this afternoon, the American Federation of State, County and Municipal Employees Council 13 contends that the bid from Britain-based Camelot Global Services PA LLC provides $799 million less in net revenues than the lottery???s current management could provide over the next six years. The 68-page union counter-proposal raises questions about the cash collateral included in Camelot???s bid, pointing to a federal limitation on how much could be drawn down if profits fall below projections. The document also says state employees could implement the new games being considered, such as keno or online offerings, and could do so without sending any profits to an outside company. ???The lottery???s coming off of a fantastic year,??? AFSCME Council 13 executive director David Fillman said. ???We???re looking at an outfit that would be trying to make a profit.??? Department of Revenue spokeswoman Elizabeth Brassell said the administration had received the proposal and will ???need to give it the careful review and consideration it deserves before being in a position to comment on it.??? The Camelot bid is due to expire on Thursday, after an earlier 10-day extension. An additional deadline extension is possible, which would push a decision until after a state Senate hearing scheduled for Monday.

Harrisburg Bureau Chief Laura Olson: lolson@post-gazette.com or 717-787-4254.
First Published January 8, 2013 3:56 pm

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