Lottery vendors new requirements | Part II
Several years ago GTECH was made to handle a lot of operations, concerning the Indiana lottery. It must work on the development of the lottery, its advertisements and marketing strategies, ticket sales and other things.
GTECH still has and works on its own business plan on the lottery development. And the commission of the lottery has their own state workers, who deal with the questions of some payments and also the security work. A team of five people from this commission works on the plan of GTECH by now.
Now the commission has its own right to stop the contract at any time. It could be done in case if during several years the goals could not be reached and the plan does not work. There was also a presentation shown, where it was told about the fatigue of jackpots.
Some time ago a good income has been earned and it raised and necessity and possibility to pay a sum of money to the government. With its help they will be spent to relief pensions and also to reduce tax programs. The sum was about $250.000.000.
The current sum is not known but some predict that it would about $240.000.000. Also we need to combine this sum with another payment of $16.000.000.
Some of contracts of the lottery do not meet their goals, which has been set and promised and it awakes a lot of questions, certainly. But the situation is worked on and the whole structure is going to be changed for better goals. A lot of questions the representative of the lottery has been asked in the interview and many comments he said. But also he had some questions towards the chairman of democratic party, who has been recently chosen from BMV. He wanted to be sure that all the money, which come from those who pay taxes regularly, work correctly and solve those problems, which must be solved in the shortest terms.
The new contract has a lot of new changes. One of the most important concerns the future of the windfalls. It means that what should be done if they suddenly happen. The old contract has other requirements. According to it all the income, which will be over the needed goal, would be saved. But as for now, the new rules are changed. According to them everything that has been earned above the goal is given to the state. Also not the fee for management is $13.000.000 and earlier it was $15.000.000.
It was not the best news for the commission, but they thought it is good, because it may become even worse. Especially it may be made worse if the goals would not be set.
It was a reasonable question whether is it good or bad to work with GTECH. The commission has been asked a lot of questions. They told that certainly the situation could be worse if they worked alone on their own.
The contract has been done in such a way that to make good for both side, because every of them should have something positive from it.
By now the result of working together is already seen because in comparison to the other states and their lotteries everything goes now much better and it is totally the result of cooperation.
Also it was mentioned that others changes are not planned during the several next years.