Lottery
4:15 pm
Sun February 17, 2013

Deadline Extended for Contested Lottery Privatization Bid

The bid to run the Pennsylvania Lottery is still valid now that Camelot Global Services has agreed to a one-week extension.
Credit Pennsylvania Lottery

One day after the state attorney general rejected the signed contract to lease the Pennsylvania Lottery to Camelot Global Services for 20 or 30 years, negotiators were reportedly “bleary-eyed” as they worked to postpone a deadline on the deal through this Friday.

A state Revenue Department spokeswoman said the bid extension will buy the administration some time to decide on its next step.

Franklin and Marshall pollster Terry Madonna said the governor does have a legal option.

"The appeal would be to the Commonwealth Court," said Madonna. "That’s the statewide appellate court that handles primary appeals on matters affecting state government."

Madonna said the message will be clear if the attorney general’s decision is upheld in court.

"You can privatize, but you have to do it in a different way," he said. "In this case, get the legislature to do the privatization, just as the governor has asked the legislature to privatize the liquor store operations."

If the bid had expired on Saturday at 5 p.m., Camelot would have gotten back its $50 million bid security.

The state attorney general rejected the contract Thursday on the grounds it violates the state constitution and state law. The contract is also being challenged in court by  Democratic lawmakers and the union that represents lottery employees.