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"Pennsylvania Attorney General Kathleen Kane is rejecting Gov. Tom Corbett's contract to hire a British firm to manage the $3.5 billion Pennsylvania Lottery.Video: Watch Matt Belanger's reportKane said Thursday that she won't approve the 20- to 30-year contract with Camelot Global Services because it contravenes the state constitution and it's not allowed by law.She said state lawmakers should have the right to vote on expanding gaming.Kane also said Keno is not authorized by current gaming laws and circumvents the Gaming Control Board.She said the contract is too vague about the compensation the company would receive.The contract's legality is being challenged in court by Democratic lawmakers and the union that represents lottery employees. Corbett can challenge Kane's decision in court.Corbett has said he believes Camelot can do a better job than the state in raising lottery profits. Democratic lawmakers criticize Corbett as diverting money from programs for the elderly to a foreign firm.Camelot runs the United Kingdom's official lottery. The attorney general's office reviews state contracts for form and legality.Corbett released the following statement after Kane's announcement:\u00A0\"I'm deeply disappointed. I don't agree with the attorney general\u2019s analysis and decision, and we will review our legal options.My job is to protect Pennsylvania\u2019s seniors, and we will continue to do that.We have a growing population where one in four Pennsylvanians will be over the age of 65 by 2017. My goal is to ensure that funding for senior programs keeps pace with that growth.\"Camelot Global Services released this statement:\"\"We are disappointed with Attorney General Kane's decision to reject the private management contract. We guarantee our proposal will produce unprecedented profits for senior programs and we have backed our investment in Pennsylvania with $200 million - transferring all risk from state taxpayers. Camelot has indicated it would headquarter in Pennsylvania, pay all taxes required of any commonwealth business, and keep all lottery jobs in the state. We have also publicly stated we would not oppose union organization by our employees. We have no further comment at this time.\""^^<http://www.w3.org/2001/XMLSchema#string>
<http://www.wgal.com/article/kane-refuses-to-sign-contract-to-privatize-lottery/6224396>