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Michigan to create "iLottery"

LANSING, MI (AP)--   Michigan is proceeding with plans to sell tickets and possibly offer games on the Internet.   

The state lottery has chosen a vendor to provide "iLottery" services scheduled to start in late 2014. The decision comes despite lawmakers in June blocking Governor Rick Snyder's request for money to launch the iLottery.

The Snyder administration will spend other money in the lottery budget for the iLottery.

The plan is billed as a way to pump more money into schools by keeping the lottery relevant for people used to buying products online. Some legislators fear increased gambling addiction and a hit to brick-and-mortar stores participating in the lottery.

A bid from Pollard Banknote and NeoGames won over four other proposals. The contract could be worth $23 million in the first four years.