Circuit Judge Karen Gievers in Tallahassee, Florida recently sided with House Speaker Richard Corcoran, ruling state lottery officials did not follow state law and did not have legal authority to sign off on a 7 million contract with IGT Global Solutions to run lottery games. Gievers declared the contract “void and unenforceable.”
Corcoran’s suit against the lottery secretary said the contract, approved by Governor Rick Scott’s administration last fall, exceeds the Florida Lottery’s authorized budget. It was supposed to run until 2031. Previously, Florida had a contract with GTECH; it merged with International Game Technology and changed its name, creating the subsidiary IGT Global Solutions. The old contract, which began in 2005, was worth about $387 million.
During a recent hearing, attorney Barry Richard, representing the Florida Lottery, presented arguments the contract was legal. He stated the contract is contingent on money from the legislature, and claimed Corcoran was “micromanaging” contracts, undermining the governor and the executive branch. Florida House aides also testified the contract was structured to sidestep legislative oversight, and said last fall lottery officials requested more money from legislators to cover the contract.
The contract increased the number of automated ticket machines selling scratch-off and Powerball tickets from 2,000 to 5,500. It also called for a new smartphone application allowing players to check their tickets and enter second chance sweepstakes.
In a statement, Corcoran and other top Republicans said the ruling was “a victory for the taxpayer and the rule of law,” adding it “reinforces the idea that respecting the separation of powers is not an arcane idea or an out of date philosophy.”
Scott said in a statement he would appeal Gievers’ decision. “The Florida Lottery continues to make record contributions to our public schools and today’s ruling jeopardizes billions of dollars for Florida students,” Scott said.
