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Illinois ends contract with Northstar Lottery

Posted December 09, 2014 12:01 am

Associated Press

A state contract with the private vendor that ran the Illinois Lottery has been formally terminated - and Gov.-elect Bruce Rauner isn't happy with the terms the current governor negotiated.

Illinois Lottery Director Michael Jones made the announcement Tuesday. Northstar Lottery Group will get reimbursed, up to $12.65 million, for costs related to closing down. Subcontractors Gtech and Scientific Games will continue to provide services to the Lottery at a lower rate.

In August, Gov. Pat Quinn directed the Lottery to end its relationship with Northstar Lottery Group three years into a 10-year contract because of performance concerns. Quinn's office, Lottery officials and Northstar negotiated the termination details to avoid lawsuits.

Gov.-elect Bruce Rauner's spokesman Mike Schrimpf calls it a "bad deal" that will tie the new governor's hands.

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