State House Sound Bites

Capitol reporter Mary Wilson covers Pennsylvania politics and issues at the Pennsylvania state capitol.

Bid deposit on state lottery returned to British firm

Written by Mary Wilson, Capitol Bureau Chief | Feb 19, 2013 9:08 PM
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Photo by Mary Wilson / witf

As the Corbett administration mulls its next step regarding lottery privatization, the British company with $50 million on the line just got its money back.

The security deposit binding Camelot Global Services to its bid on the Pennsylvania Lottery was returned Monday, said Dan Meuser, secretary of the Department of Revenue, which oversees the lottery. The move comes after Camelot’s contract with the commonwealth was rejected by the state attorney general, who called it unconstitutional and said it violates state law.

Meuser said attorneys are still looking into changing the contract in response.

“However you do run into bidding procedures,” said Meuser. “Changing the bid process, changing the request for proposals and so forth certainly could open you up to new protests, so the whole bidding process – if something like that were done – would likely have to be completely redone.”

Attorney General Kathleen Kane turned the contract down last Thursday. Camelot’s bid was set to expire last Saturday at 5 p.m., but was extended through this Friday to give the administration time to decide whether to appeal Kane’s decision in Commonwealth Court.

“Camelot’s hopeful that a plan can be pieced together in the shorter term – perhaps the longer term,” said Meuser, “but certainly they’re not going to invest their resources without a light at the end of the tunnel.”

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