Meetings Provide Insight into Lottery Private Management Agreement, Says Hennessey
2/7/2013
HARRISBURG -- The House Aging and Older Adult Services Committee recently completed two days of informational meetings on the Pennsylvania Lottery private management agreement, focusing on the funding of senior programs and the agreement itself, committee majority chairman Rep. Tim Hennessey (R-Chester) said today.

“The committee heard testimony from the key parties involved in the proposed lottery management agreement, and discussed possible effects on programs that are currently funded by the lottery,” said Hennessey. “The representatives of the senior programs made it clear that they are looking for increased funding levels. The administration, Camelot and AFSCME also made their case to the committee members. I believe these were productive sessions.”

The first meeting featured organizations such as the Pennsylvania Association of Area Agencies on Aging, the Pennsylvania Homecare Association, AARP Pennsylvania and others.

Hennessey said the groups are seeking to gain additional funding, and are open to new sources.

The second meeting featured Camelot LLC Pennsylvania, the management group awarded the bid for lottery management. Its officials were joined by Corbett administration personnel from the departments of Aging, Revenue and the Governor’s Office of the Budget. The administration defended the contract and laid out details of how it would go into effect, and pledged to assist employees of the lottery in the transition.

In addition, the public sector union AFSCME submitted its own plan for managing the lottery.

Camelot is guaranteeing Pennsylvania $34.6 billion in profit over the life of a 20-year management contract, an average of $200 million per year more than our Lottery was expected to produce on its own.

Hennessey said the management contract has a stated term of 20 years, and a ten year extension provision, but also a state option to terminate the contract after three years should the state wish to do so.

Representative Tim Hennessey
26th District
Pennsylvania House of Representatives

Media Contact: Raymond Smith
717.705.1834
rsmith@pahousegop.com
www.RepHennessey.com
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