The Minutes of the 28th Ordinary Meeting of the Board of Directors of the State Privatization Program and of the Management Board of the State Program for Public-Private Partnerships were published in the State Official Gazette. It outlines the initial definitions for the next phase of the process of granting the Sao Paulo Lottery operation to the private sector.
At the meeting, Arthur Abdallah Mundim, technical advisor to the Undersecretary of Partnerships, indicated that the state will operate the modalities contained in Law 13756/18 (numerical forecasts, federal lottery, specific forecasts, sports forecasts, instant lottery and sports betting).
According to the advisor, the state opted, as indicated by the companies qualified to prepare the studies, to explore the various lottery modalities in the exclusivity model and will be granted in a single lot.
The next steps to carry out the bidding process for the concession of the Sao Paulo Lottery operation to the private sector will be the holding of a public hearing and consultation to hear the interested parties and society with a view to preparing the draft of the Bidding Notice as well as its annexes and model of contract for the exploitation of the lottery within the state of Sao Paulo.
Concession of Lottery Services in the State of Sao Paulo
The President of the CGPPP, RODRIGO GARCIA, brought up the last item on the agenda, stating that advances in the consolidation of the preliminary modeling of the project for the concession of lottery services in the State of Sao Paulo would be appreciated, considering the 11 studies delivered by authorized private initiative on 10/18/2021, from Public Call No. 04/2021 published on 07/08/2021. He recalled that such procedures were authorized by the Counselors at the 23rd Ordinary Joint Meeting of the CDPED and CGPPP of 06/29/2021, at which time the proposal submitted by the Budget and Management Secretariat/SPOG together with the Finance and Planning Secretariat was accepted, including the project in the State Program for Partnerships, and authorizing the constitution of the Working Group responsible for preparing the Public Calling Notice and other related activities.
With the floor, ARTHUR ABDALLAH MUNDIM, Technical Adviser of the Undersecretary of Partnerships, began the presentation by reporting that the object of the concession is the provision of lottery services in the State of Sao Paulo, based on the paradigmatic decision of the Supreme Court in 2020, which defined that States can create differentiated products within the existing lottery modalities that are contemplated in federal legislation.
Thus (i) the sale of lotteries has a public service nature, (ii) the private attribution of the Federal Government to legislate on lotteries does not preclude the material competence of the States to operate lotteries, and (iii) the state legislation instituting and enabling the State lotteries are legal, as long as they are within federal beacons, thus allowing states to regulate and operate lottery services. He also clarified that it is not up to the States to create lottery modalities, other than those contemplated in federal legislation (Law No. 13.756/2018), enabling the design of differentiated products that are suitable for existing formats, which are: (i) Numerical Predictions: prediction of the drawn numbers; (ii) Federal Lottery (passive type): ticket already numbered with the result defined by drawing lots; (iii) Specific Prognosis: indication of numbers from a set of prognostics about the whole numbers and of a football club; (iv) Sports Prediction: suggestion of a set of predictions about the result of one or more football matches; (v) Instant Lottery: presents, immediately, whether the player has been awarded any prize or not; and (vi) Fixed Odds Betting: betting system relating to real sports-themed events, defining at the time of betting how much the bettor can win if the forecast is correct.
Continuing his presentation, he pointed out that the assumptions of the reference model for the project consider the model based on “exclusivity” as the most appropriate, with lottery modalities being granted in a single lot. He ended up presenting a propositional schedule for the next steps for the project.
Once the presentation was completed and the doubts resolved, the President of the CGPPP placed the matter for deliberation by the Councilors, who unanimously decided to accept the preliminary design of the project, and authorize the performance of the hearing and public consultation stages of the minutes of the Notice, contract and other attachments.
There being no further discussion, the President of the CGPPP, RODRIGO GARCIA, thanked everyone for participating, adjourned the meeting, and drew up the minutes, which, after being read and found to be in order, are signed by all present.
RODRIGO GARCIA
HENRIQUE DE CAMPOS MEIRELLES
NELSON LUIZ BAETA NEVES FILHO
RODRIGO FELINTO IBARRA EPITÁCIO MAIA
CLAUDIA POLTO DA CUNHA
MARCOS RODRIGUES PENIDO
THIAGO RODRIGUES LIPORACI
JULIO SERSON
JOÃO OCTAVIANO MACHADO NETO
Source: GMB
