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Union fails to derail NJ Lottery's privatization effort

New Jersey LotteryNew Jersey Lottery: Union fails to derail NJ Lottery's privatization effort
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But union still trying to overturn on appeal

TRENTON, N.J. — The Christie administration is allowed move forward with its plan to have a private firm to take over parts of the New Jersey lottery after a state appellate court denied a request by the state's largest public workers union to block the deal.

But the court said it will speed up the process of hearing the Communication Workers of America's appeal of the contract.

It's the latest development in an ongoing, partisan debate over the future of the lottery, the state's fourth-largest source of revenue. Gov. Chris Christie's administration says the pending 15-year agreement to have Northstar New Jersey manage the lottery's sales and marketing branches will bring the state more money. Opponents — including Democratic congressmen and state lawmakers — argue that Christie has not been transparent about a deal that they claim could lead to layoffs and may break the law.

In an appeal filed last week in Superior Court in Trenton, the CWA — the union that represents New Jersey's lottery workers — said the contract violates state and federal law.

In an order released today, a two-judge panel granted the union's request for a speedy appeal on an emergent basis. But Appellate Division Judge Anthony Parrileo said they denied the request for a stay of the contract because the union failed to prove irreparable harm if the deal moved forward during the appeal.

Seth Hahn, the CWA's legislative and political director for New Jersey, said today the issue has been disappointing.

"I think there's a failure of leadership here," Hahn said. "The first time anyone will have a chance to weigh in on the appropriateness of this contract will be inside of a courtroom."

Hahn also said he was upset with the court's decision to deny a stay of the contract.

"The ruling just says there's not an immediate irreparable harm," he said. "The court may say that $120 million in a budget is not irreparable harm, but taxpayers of New Jersey may feel differently if this does not work out in their favor."

Michael Drewniak, a Christie spokesman, said "this issue has been completely mischaracterized and overblown by the CWA and some highly partisan Democratic legislators, and we are confident it will continue to be settled in our favor in court."

State Treasury Department spokesman Bill Quinn said earlier this week that the lottery's managers expect to sign the contract soon.

The lottery generates $2.6 billion in ticket sales a year. Last year, the state received $950 million in revenue from the lottery, financing scholarships and programs for the disabled and military veterans.

Under the deal, Northstar would pay the state $120 million up front and promise to bring New Jersey $1.42 billion more in lottery revenue of the next 15 years. The firm would keep 5 percent of the increases if it meets its goals.

The CWA has endorsed state Sen. Barbara Buono, Christie's opponent in this year's governor's race and one of the many Democratic lawmakers who have spoken out about the plan.

Northstar is a consortium made up of GTECH, an Italian-owned company based in Rhode Island that has operated New Jersey's Lottery machines since 1984; Scientific Games International, situated in Georgia; and OMERS, a pension fund for workers in Ontario, Canada.

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8 comments. Last comment 1 year ago by jamella724.
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RedStang's avatar - threefin zpsd48411ab.jpg
Dutchess NY
United States
Member #121966
January 21, 2012
2691 Posts
Offline
Posted: June 13, 2013, 10:30 am - IP Logged

NJ Unions

    haymaker's avatar - Lottery-012.jpg
    egg harbor twp.south jersey shore
    United States
    Member #112972
    June 29, 2011
    3168 Posts
    Offline
    Posted: June 13, 2013, 2:47 pm - IP Logged

    No big deal, it's just the marketing branch.

    If the state were outright selling the lottery that would not be good,

    however I think the state could have gotten a much better deal.

    GTECH being the co. that operates Jersey's machines has all the past #s and knows there's $ to be made on this,

    but they should be held to the #s and not making excuses like that co. that runs Illinois lottery.

     

    I hope that no CWA workers lose their job,

    but their endorsement of Barbara (the hypocrite) Buono is laughable.

    ONO ! not BUONO !

    Never met a tax she did't like.

    sorry for the long post.

    Extraordinary Popular Delusions & the Madness of Crowds    -- Charles Mackay  LL.D.

      rdgrnr's avatar - walt
      Way back up in them dadgum hills, son!
      United States
      Member #73904
      April 28, 2009
      14903 Posts
      Offline
      Posted: June 13, 2013, 8:31 pm - IP Logged

      No big deal, it's just the marketing branch.

      If the state were outright selling the lottery that would not be good,

      however I think the state could have gotten a much better deal.

      GTECH being the co. that operates Jersey's machines has all the past #s and knows there's $ to be made on this,

      but they should be held to the #s and not making excuses like that co. that runs Illinois lottery.

       

      I hope that no CWA workers lose their job,

      but their endorsement of Barbara (the hypocrite) Buono is laughable.

      ONO ! not BUONO !

      Never met a tax she did't like.

      sorry for the long post.

      "sorry for the long post."

      I forgive you.


                                                   
                           
                                               

       

       

       

       

                                                                                                         

      "The only thing necessary for evil to triumph is for good men to do nothing"

                                                                                                  --Edmund Burke

       

       

        Avatar
        New Member
        Albuquerque
        United States
        Member #128946
        June 5, 2012
        8 Posts
        Offline
        Posted: June 19, 2013, 9:31 pm - IP Logged

        No big deal, it's just the marketing branch.

        If the state were outright selling the lottery that would not be good,

        however I think the state could have gotten a much better deal.

        GTECH being the co. that operates Jersey's machines has all the past #s and knows there's $ to be made on this,

        but they should be held to the #s and not making excuses like that co. that runs Illinois lottery.

         

        I hope that no CWA workers lose their job,

        but their endorsement of Barbara (the hypocrite) Buono is laughable.

        ONO ! not BUONO !

        Never met a tax she did't like.

        sorry for the long post.

        GTECH is the company that runs the Illinois lottery. GTECH is a part of Northstar.

          haymaker's avatar - Lottery-012.jpg
          egg harbor twp.south jersey shore
          United States
          Member #112972
          June 29, 2011
          3168 Posts
          Offline
          Posted: June 19, 2013, 10:09 pm - IP Logged

          GTECH is the company that runs the Illinois lottery. GTECH is a part of Northstar.

          Infinti30, thanks for that post, could'nt remember who their partner was.

          Just makes me more suspicious, in a situation where they would take over the entire operation.

           

           

          And welcome to LP

          even though you have been here a while.

          Smile

          Extraordinary Popular Delusions & the Madness of Crowds    -- Charles Mackay  LL.D.

            haymaker's avatar - Lottery-012.jpg
            egg harbor twp.south jersey shore
            United States
            Member #112972
            June 29, 2011
            3168 Posts
            Offline
            Posted: June 19, 2013, 10:23 pm - IP Logged

            "sorry for the long post."

            I forgive you.

            Well thank's mountain man,

            never been forgiven by an oracle, LOL, so one thing is off the bucket list. Cool

             

            I do like to keep my post's short, however you are the king of 1 liners.   Cheers

            Extraordinary Popular Delusions & the Madness of Crowds    -- Charles Mackay  LL.D.

              rdgrnr's avatar - walt
              Way back up in them dadgum hills, son!
              United States
              Member #73904
              April 28, 2009
              14903 Posts
              Offline
              Posted: June 19, 2013, 11:44 pm - IP Logged

              Well thank's mountain man,

              never been forgiven by an oracle, LOL, so one thing is off the bucket list. Cool

               

              I do like to keep my post's short, however you are the king of 1 liners.   Cheers

              I do like to keep my post's short, however you are the king of 1 liners.   Cheers

              I know.Cheers


                                                           
                                   
                                                       

               

               

               

               

                                                                                                                 

              "The only thing necessary for evil to triumph is for good men to do nothing"

                                                                                                          --Edmund Burke

               

               

                Avatar
                Texas
                United States
                Member #132460
                September 4, 2012
                483 Posts
                Offline
                Posted: July 11, 2013, 6:26 am - IP Logged

                I wonder what will be the pros and cons of the privatization. If it will bring more revenue to the government and the current employees will not be affected I gueess it will be a good step to proceed with it. I hope they will come up with a good decision and I hope a lot of people will benefit from this.