Maryland Grants Lottery Contract to Most Expensive, Least Technically Proficient Bidder

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Maryland taxpayers and residents are scratching their heads over the state’s Lottery and Gaming Control Agency’s decision to grant a lucrative contract to run the state’s lottery to the most expensive bidder, which one industry insider says ranks lower in technical capability than other bidders.

The Agency awarded Scientific Games International, Inc. the contract despite the fact that it will charge the state $50 million more than would the lowest bidder. Worse, one industry insider says Scientific Games isn’t the best equipped for the job.

“The Maryland Lottery found all three proposals met the award criteria, but they selected the most expensive bid,” the industry insider told me on condition of anonymity. “What makes the Maryland decision more questionable is the fact that the vendor selected has consistently ranked lower in technical capability in similar procurements throughout the country — it makes absolutely no sense.”

Even more bizarre, Maryland Lottery Director Gordon Medenica has been appointed, but not yet confirmed by the state Senate. According to one news source, Medenica has been put on a “trial run” and won’t even receive a confirmation hearing until 2017.