The São Paulo City Hall approved five companies to conduct studies for the implementation of the municipal lottery. Launched in April this year, the Notice stipulates that the selected companies present scenario diagnostics and operational, economic-financial, and legal-regulatory feasibility surveys. Hebara, Pay4Fun, Big Brazil, BMR Consortium, and Cordeiro, Lima Lawyers were approved. They will have 60 days to deliver the assessments, which involve traditional modalities, sports betting, and online gaming.
In April this year, the São Paulo City Hall issued Public Call Notice 002/2024, inviting companies to present studies on scenario diagnostics and operational, economic-financial, and legal-regulatory feasibility to assist the Public Administration in the implementation and operation of lotteries and betting in the city.
Justifying the launch of the call, the São Paulo City Hall pointed out the growth of the lottery market and its auxiliary role in financing public policies in the city and the potential of the Municipality to improve lottery activities.
After the questioning phase and presentation of proposals, five companies were approved to conduct the requested studies in the Public Call Notice:
1. Big Brazil Technology and Lottery S.A.;
2. BMR Consortium;
3. Cordeiro, Lima Law Firm;
4. Hebara Lottery Products Distributor S.A.;
5. Pay4Fun Payment Institution S.A.
The selected companies will have 60 days to present their studies, which will cover:
Number lottery: one in which saleable elements are commercialized, with prizes offered in cash and/or goods and the draw based on results from official lottery extractions or extractions carried out by charitable or sports associations, supervised by the Public Administration;
Instant lottery: one with instant draws carried out on individual saleable elements, through a combination of numbers or symbols for the distribution of previously established prizes;
Conventional lottery: one with the sale of previously numbered saleable tickets, in physical (printed) or virtual (electronic) form, whose draw will be carried out on pre-set dates, to distribute prizes previously announced to the winners;
Sports forecasting lottery: a lottery in which the bettor tries to predict the results of sports events;
Specific forecast lottery: indication, by the bettor, of a set of integer number forecasts and a football club, defined as the Heart Team, contained in the promotional prints, called ballots; and
Fixed quota betting: a system of bets related to real events of a sports theme or virtual online gaming events, as defined by Federal Law No. 14.790/2023.
At the end of June, Mayor Ricardo Nunes (MDB) presented to the City Council a project for the implementation of the São Paulo City Lottery, approved in a symbolic first vote.
According to Nunes, the gross revenue from the sale of municipal lottery products, physically or virtually, will be primarily allocated to the payment of prizes, the collection of income tax on the prizes, and the expenses of maintenance and operation.
The profit will be allocated to the Municipal Social Development Fund (50%), to reduce the Social Security deficit, and to the payment of court-ordered debts.
The project is already based on the study proposals presented in Public Call Notice 002/2024.
“The creation of a municipal lottery service has the potential to simultaneously enable the auxiliary financing of public policies through the collection of lottery resources, as well as allow the supervision and control of the activities of municipal lottery operators for the safety and protection of the citizens of São Paulo”, states the justification included in the project for the creation of the São Paulo City Lottery.
Source: GMB
