Mar 5, 2013 3 min read

The rationale and tactics behind Gov. Tom Corbett’s efforts to sell the management of the Pennsylvania Lottery to a foreign firm defy explanation.

Just the fact that every dollar paid to a private company is a dollar that could have gone to senior programs should raise red flags. Out-of-state firms already are in line to collect $1.2 million in legal fees.

In my relatively short time as state representative, I’ve gained a greater appreciation for all the lottery does for the citizens of the region. And I’ve always been proud of the fact that the Pennsylvania Lottery is the only state lottery that devotes all its proceeds to programs benefitting older state residents.

Our neighbors have undoubtedly kept their homes because of property tax and rent rebates provided by the lottery. Life-saving medicines have been made affordable through PACE, PACENET and PACE plus Medicare thanks to the lottery.

Senior centers have thrived and programs designed to help older Pennsylvanians stay healthy and active have prospered, all because of the Pennsylvania Lottery.

However, the more we learn about the governor’s proposal – it’s no accident that it gained momentum during a two-month break between legislative sessions – the less appeal it has.

Attorney General Kathleen Kane’s review of the contract with Britain’s Camelot LLC confirmed what 80 percent of Pennsylvanians suspected: Major changes to the lottery require an open, collaborative process.

Camelot has pinned its contract promises on expanding online offerings like keno. However, current state employees could do the same with an okay from the Legislature, which created the lottery 41 years ago.

Under current law, campaign contributions from gambling interests are prohibited. However, the Camelot deal allows it to funnel campaign contribution to anyone it wants. In other words, revenue that would otherwise fund senior programs could go to campaign accounts of lottery privatization advocates.

Pennsylvania should not risk its lottery, which produced record $1 billion profits last year, on Camelot, which initially set up a holding company outside of Pennsylvania to exploit tax loopholes.

Illinois ended up in court fighting its lottery operator, which failed to meet revenue projections. It would likely cost millions or billions of dollars to buy our lottery back should Camelot fail to meet its projections in the state.

We do need to grow lottery revenues. In the last fiscal year, the lottery provided almost $37 million in benefits, more than $113 million when combined with prizes and commissions, in Washington, Greene and Fayette counties, where roughly 17 percent of the residents are 65 or older.

However, Gov. Corbett derailed reasonable and bipartisan efforts to grow lottery proceeds with his arbitrary decision to award, with scant public debate and input, a contract to Camelot.

Until the governor, or anyone, can make a valid case for exporting lottery operations, I say keep it home in Pennsylvania, where it was born and belongs.

Pam Snyder

Waynesburg

Snyder represents the 50th Legislative District in the Pennsylvania House of Representatives.