The regulator of Maryland's casino and sports betting vertical and operator of the Maryland Lottery, the Maryland Lottery and Gaming Control Commission, announced that it approved a recommendation to award a new Lottery Central Monitoring and Control System (LCMCS) contract to a subsidiary of the leading gaming solutions supplier and operator, Intralot.
Lottery system contract proposals undergo analysis
The Maryland Lottery's current LCMCS contract with Scientific Games is set to expire on May 4, 2027.
Ahead of that expiration, the Lottery announced a request for proposals (RFP) on July 19 last year.
A total of three companies submitted proposals in response to the Maryland Lottery's FRP.
The list included IGT Global Solutions Corporation, Scientific Games, LLC, as well as Intralot, Inc.
Consequently, each proposal has undergone analysis by experts based on a preset criterion.
"The evaluation committee determined that all three offerors have the ability to fulfill the Maryland Lottery’s requirements, including the requirement that the awardee must achieve Minority Business Enterprise (MBE) participation of 28% over the life of the contract," the Maryland Lottery explained.
The evaluation of each proposal looked into what advantages it offers to the State, technical capabilities, as well as price, including a cost-benefit analysis.
Based on the evaluation, Intralot's proposal ranked second in terms of technical merit, while Scientific Games ranked first.
However, in terms of financials, Intralot's proposal proved superior, while Scientific Games ranked second.
Per the analysis of the Maryland Lottery's evaluation committee, Intralot's total estimated contract term price was $260.4m, while Scientific Games' proposal was at $371.1m.
Considering those figures, IGT's contract proposal ranked third with an estimated total contract term price of $641m.
Intralot's contract proposal was recommended for approval
Following the evaluation, the committee concluded that Intralot's contract proposal provided the most advantage to the State of Maryland, matching the preset guidelines.
The Maryland Lottery explained further: "That determination was reviewed and approved by Maryland Lottery and Gaming’s Procurement Officer and the Agency’s Director prior to being presented to the Commission for its approval."
Considering the Lottery's approval of the recommendation to award the LCMCS contract to Intralot, the next step is a green light by the Board of Public Works.
Once the aforementioned Board gives the go ahead, the contract will be awarded.
Currently, Intralot has contracts with a dozen North American lotteries.
The company powers the lotteries in British Columbia, Canada, as well as Arkansas, but also has established coin-operated amusement machine contracts in important markets such as Illinois, New Mexico, Washington DC and Ohio, among others.
If the final approval is given and Intralot is awarded the contract in Maryland, it would be responsible for manufacturing the counter terminals and self-service vending machines required for the sale of tickets at 4,300 Maryland Lottery retail venues across the state.
Intralot would also be in charge of providing the software required for the running of those machines, including such needed for sales and accounting features and other vital services.
The contract is valid for 10 years and has a renewal option that can extend it for five more years.
