Illinois lottery looking for a new privatisation partner?

The failure of the Illinois State Lottery’s first attempt to privatise by engaging third party company NorthStar to run the enterprise (see previous reports) has led to lottery officials exploring further options, suggesting that the privatisation model is still favoured over a return to state control.

Our readers will recall that NorthStar is being fired after failing to meet its promised financial targets, and negotiations around its departure are currently underway.

That hasn’t stopped a search for a replacement, according to a weekend report in Chicago Business, which reveals that lottery management wants to have a successor on board by the end of the fiscal year.

Lottery Superintendent Michael Jones told the publication that his team is about to start drafting a formal Request for Proposals for firms interested in succeeding Northstar Lottery Group LLC.

“We anticipate naming a new private manager this fiscal year (June 30, 2015),” Jones said.

The imponderable at present is whether Illinois governor Patrick Quinn will retain his governorship in the November elections, where he faces a strong Republican challenge in the form of Bruce Reuner.

Reuner has played his cards close to his chest in the in-house vs. privatised lottery debate, but could be a decisive factor if he wins power.