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Corbett Set to Outline Next Step with Lottery

Gov. Tom Corbett is expected to say how he'll respond now that Attorney General Kathleen Kane has rejected his effort to hire a British firm to manage the $3.5 billion Pennsylvania Lottery.

Corbett has said he'd reveal his next move Friday, before the bid by London-based Camelot Global Services expires. Camelot hasn't commented about its plans, either.

Kane said last week that she wouldn't approve the 20- to 30-year contract with Camelot because state law doesn't allow the governor to privatize the management of the lottery nor does it allow the expansion of gambling that the contract would permit.

Corbett can challenge Kane's decision in court.

The contract's legality is also being challenged in court by Democratic lawmakers and the union that represents lottery employees.

Copyright 2013 The Associated Press.