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Road bids to continue, prison settlement on hold, Lottery in limbo

Monday, Jan 26, 2015 - Posted by Rich Miller

* Governing ain’t always as easy as it looks. Holding this up would’ve been a big problem, for instance

Despite its freeze on most new state spending, the Rauner administration has decided to proceed Jan. 30 with an estimated $500 million in roadway maintenance and repair projects across the state, including reconstruction of the interchange between Lake Shore Drive and Interstate 55.

The fate of the bid opening by the Illinois Department of Transportation was still unknown last week when the Rauner administration thawed out spending for the Illinois Tollway’s $1.5 billion construction program this year.

With another large round of IDOT projects coming up in March, contractors fretted that the two sets of bids would be combined. With just one huge bid letting, firms could have ended up with more work than they could handle if they bid too aggressively or none at all in the upcoming construction season if they bid too high.

* An understandable delay, but a decision - with its attendant costs - will have to be made

A legal effort to improve the living conditions at a southern Illinois prison is on hold for at least another month to let new Gov. Bruce Rauner review a proposed settlement agreement.

In an order filed last week, U.S. Magistrate Philip Frazier gave attorneys for the state an extra 30 days to file a preliminary agreement outlining the steps that will be taken to correct problems at the Vienna Correctional Center.

“Due to the change in administrations, the defendants require additional time to obtain approval to agree to any unresolved terms,” attorneys for the state noted in their request for an extension.

* And this Lottery limbo is a mess

Who’s in charge of the huge Illinois Lottery—and under what contract terms are they working?

Anyone who knows the answer to those questions isn’t answering them today in the wake of Attorney General Lisa Madigan’s surprise move Jan. 23 to scuttle a “termination agreement” between the Lottery and the private firm that manages its operations day to day, Northstar Lottery Group.

Madigan said in her opinion that the termination pact, announced in the final days of the Pat Quinn administration, was illegal and would have cost taxpayers millions in extra fees and charges. But the opinion omitted lots of details about who, what and how much. […]

State Rep. Jack Franks, a McHenry County Democrat who’s been a long-time critic of Lottery management, says there’s “no question in my mind” that the management contract has been terminated, even if the termination terms have been junked.

Franks says he reached that conclusion after speaking with Madigan aides. They told him their intent was not to dispute the termination of the management contract, only the terms of what the company would get in exchange.

The company can continue to provide services without a contract, Franks said, but risk not being paid as much as under its old deal. Or it could leave, but that could hurt other business by Northstar’s owners, GTech and Scientific Games.

       

11 Comments
  1. - Been There - Monday, Jan 26, 15 @ 3:30 pm:

    I wonder if one of Northstars owners, SciGames, took the cancellation of its contract into consideration when they announced today that they were closing their slot machine plant up in Lake County?


  2. - anon - Monday, Jan 26, 15 @ 3:42 pm:

    and moving it to Wisconsin????


  3. - LTSW - Monday, Jan 26, 15 @ 3:46 pm:

    Someone needs to take a hard look at all the consent decrees that are in place. There are several in the social services area that are impossible for the state to comply with without huge increases in spending.


  4. - AlabamaShake - Monday, Jan 26, 15 @ 4:30 pm:

    **Someone needs to take a hard look at all the consent decrees that are in place. **

    Good luck.

    They’re in place for a reason, and if Rauner makes some of the cuts he is talking about, there are probably going to be more consent decrees coming.


  5. - Been There - Monday, Jan 26, 15 @ 4:38 pm:

    ===and moving it to Wisconsin???? ===
    No, moving it to Vegas


  6. - DuPage Dave - Monday, Jan 26, 15 @ 6:50 pm:

    Perhaps this company could have done a better job of managing the lottery? This is a classic example of the folly of the “private business is always better” frame of mind. These guys never came close to the promised income, and it’s time for them to be replaced.


  7. - Wordslinger - Monday, Jan 26, 15 @ 6:56 pm:

    Some clarity as to what’s going on with the lottery is in order from the AG.


  8. - fly on the wall - Monday, Jan 26, 15 @ 7:13 pm:

    The Lottery can’t operate without the VENDORS. They OWN all the TERMINALS in the state. The GA got exactly what they wanted, they wrote the new Lottery laws against the advice of the Lottery. No other state has ever done this type of outsourcing of Lottery. This is what the GA wanted so they can live with it.


  9. - Northern Light - Tuesday, Jan 27, 15 @ 2:06 am:

    WWZD - “What Would Zeke Do”?…probably rolling over in his grave! What a mess.


  10. - Late to the Party - Tuesday, Jan 27, 15 @ 5:39 am:

    I am reminded of when the IL State Lottery was split off from IL Dept of Revenue to become its own agency. One of the higher ups at Revenue who was very knowledgeable about such things told me that other state’s lotteries began to get into trouble when those lotteries where spun off to their own lottery agencies . (remember the cheating scandals with other lotteries?)

    IL has been quite fortunate to avoid these sorts of things. I don’t recall anything untoward being reported, even with the Lottery being its own agency.

    But then, what did we do? We farmed out the management and sales of the IL State Lottery and now we are told that we cannot it take back. Maybe this is the scandal we have avoided for all these years.


  11. - walker - Tuesday, Jan 27, 15 @ 8:25 am:

    Rauner will find himself constrained in many ways, and much will continue as is, at least for several months if not years.


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