Superintendence begins tender process for seven casino concessions in Chile

Superintendence begins tender process for seven casino concessions in Chile

After approving the definitive rules, the Superintendence for Gambling Casinos (SCJ) published the resolution declaring the tender process for seven municipal casinos in Chile open.

Those companies interested in operating the casinos in Arica, Iquique, Coquimbo, Viña del Mar, Pucón, Puerto Varas and Natales can either download the rules and Bidding System from the SCJ website or pick up a hard copy at the Superintendence’s offices as of Monday.

Superintendence begins tender process for seven casino concessions in ChileIn addition, a 10-day period for potential bidders to make consultations and requests for clarification begins today. These can be made using the online form available in in addition the SCJ’s offices.  For its part, the Superintendence has a 15-day deadline to respond to consultations, which will be published in explanatory memos.

Parties interested in bidding on a concession must submit their proposals and the required documentation at the public hearing for the presentation of technical bids that will be held on 4 November this year.

At this hearing, the SCJ will verify that the technical bids contain all of the documents requested in the recently presented rules. Meanwhile, a representative of the Executive Council will safeguard economic bids until the hearing that is held to open them.

Next stages

After bids have been received, the next step of verifying compliance with special conditions, the origin and sufficiency of funds, and the technical assessment of the project will begin.  Once the evaluation has been completed, the Executive Council will confirm bidders’ scores or will request additional information, and it will decide whether to declare the evaluation phase completed and thus determine  the date for opening economic bids, when the highest offer among those with a minimum score of 60% is awarded the concession.

This process is the first one to be undertaken under Law No. 20,856, in force since August 2015, and which amends the previous law on casinos, No. 19,995. In addition, the new law brings the seven municipal concessions under Superintendence oversight, thus representing a 28% increase in the regulated industry.

The central ideas that the process is articulated around and which constitute the spirit of the new law are to guarantee increased revenues with maximum transparency and objectivity in the adjudication of concessions. This is done by awarding them to the highest economic offer in clear processes, both in terms of format as well as evaluation methodology, causes for exclusion, transparent criteria, the determination of a minimum guaranteed bid, operational continuity of the casinos and public hearings.