18- 553 C.M.R. ch. 20, § II-6.0

Current through 2024-51, December 18, 2024

Section 553-20-II-6.0 - Powerball Prize Payment

6.1Powerball Grand Prizes. Powerball Grand prizes shall be paid, at the election of the player made no later than sixty (60) days after the player becomes entitled to the prize, with either a per-winner annuity or single lump sum payment (which may be referred to as the "cash option"). If the payment election is not made at the time of purchase and is not made by the player within sixty (60) days after the player becomes entitled to the prize, then the prize shall be paid as an annuity prize. An election for an annuity payment made by a player before ticket purchase or by system default or design may be changed to a cash option payment at the election of the player until the expiration of sixty (60) days after the player becomes entitled to the prize. The election to take the cash option payment may be made at the time of the prize claim or within sixty (60) days after the player becomes entitled to the prize. An election made after the winner becomes entitled to the prize is final and cannot be revoked, withdrawn or otherwise changed.

Shares of the Grand Prize shall be determined by dividing the funds available in the GPP equally among all winning plays of the Grand Prize. Winner(s) who elect a cash option payment shall be paid their share(s) in a single lump sum payment. The annuitized option prize shall be determined by multiplying a winner's share of the Grand Prize pool by a process as approved by the MUSL Board. Neither MUSL nor the Selling Lotteries shall be responsible or liable for changes in the advertised or estimated annuity prize amount and the actual amount purchased after the prize payment method is actually known to MUSL.

In certain instances announced by the Product Group, the Grand Prize shall be a guaranteed amount and shall be determined pursuant to Section 6.5 of these rules.

If individual shares of the GPP funds held to fund an annuity is less than $250,000.00, the Product Group, in its sole discretion, may elect to pay the winners their share of the funds held in the GPP.

All annuitized prizes shall be paid annually in thirty (30) payments with the initial payment being made in a single payment, to be followed by twenty-nine (29) payments funded by the annuity. Except as may be controlled by a Selling Lottery's governing statute, all annuitized prizes shall be paid annually in thirty (30) graduated payments (increasing each year) by a rate as determined by the Product Group. Prize payments may be rounded down to the nearest one thousand dollars ($1,000.00). Annual payments after the initial payment shall be made by the lottery on the anniversary date or if such date falls on a non-business day, then the first business day following the anniversary date of the selection of the Grand Prize Winning Numbers.

Funds for the initial payment of an annuitized prize or the lump sum cash option prize payment shall be made available by MUSL for payment by the Selling Lottery no earlier than the fifteenth calendar day (or the next banking day if the fifteenth day is a holiday) following the Drawing. If necessary, when the due date for the payment of a prize occurs before the receipt of funds in the prize pool trust sufficient to pay the prize, the transfer of funds for the payment of the full lump sum cash option amount may be delayed pending receipt of funds from the Selling Lotteries. A paying lottery may elect to make the initial payment from its own funds after validation, with notice to MUSL.

If a Party Lottery purchases or holds the prize payment annuity for a prize won in that jurisdiction, that Party Lottery's game rules, and any prize payment agreement with the prize winner, shall indicate that the prize winner has no recourse on the MUSL or any other Party Lottery for payment of that prize.

In the event of the death of a lottery winner during the annuity payment period, unless prohibited by jurisdictional law, the MUSL Finance & Audit Committee, in its sole discretion excepting a discretionary review by the Product Group, upon the petition of the estate of the lottery winner (the "Estate") to the lottery of the jurisdiction in which the deceased lottery winner purchased the winning Powerball Play, and subject to federal, state, district or territorial applicable laws, may accelerate the payment of all of the remaining lottery proceeds to the Estate. If such a determination is made, then securities and/or cash held to fund the deceased lottery winner's annuitized prize may be distributed to the Estate. The identification of the securities to fund the annuitized prize shall be at the sole discretion of the Finance & Audit Committee or the Product Group.

6.2Powerball Prize Payments. All prizes (whether described as "cash" payment prizes or otherwise) shall be paid through the Selling Lottery that sold the winning play(s) and at the discretion of the Selling Lottery that sold the winning Play(s) may be paid by cash, check or warrant or electronic transfer.

A Selling Lottery may begin paying low-tier cash prizes after receiving authorization to pay from the MUSL central office. If a Selling Lottery, due to jurisdictional law requirements, separately determines its low-tier prize amounts, it shall be solely responsible for its low-tier prize liability, and may begin paying low-tier cash prizes after a Drawing when it determines appropriate to do so.

6.3Powerball Prizes Rounded. Annuitized payments of the Powerball Grand Prize or a share of the Powerball Grand Prize may be rounded to facilitate the purchase of an appropriate funding mechanism. Breakage on an annuitized Powerball Grand Prize win shall be added to the first payment to the winner or winners. Prizes other than the Powerball Grand Prize, which, under these rules, may become single-payment, pari-mutuel prizes, may be rounded down so that prizes can be paid in multiples of whole dollars. Except with regards to low-tier prizes paid by a Selling Lottery which separately determines its low-tier prize amounts pursuant to Section 6.2, breakage resulting from rounding these prizes shall be carried forward to the prize pool for the next Drawing.

6.4Powerball Prize Rollover. If the Powerball Grand Prize is not won in a Drawing, the prize money allocated for the Powerball Grand Prize shall roll over and be added to the GPP for the following Drawing.

6.5Funding of Guaranteed Powerball Prizes. The Product Group may offer guaranteed minimum Powerball Grand Prize amounts or minimum increases in the Grand Prize amount between Drawings or make other changes in the allocation of prize money where the Product Group finds that it would be in the best interest of the game.

6.5.1 If a minimum Grand Prize amount or a minimum increase in the Grand Prize amount between Drawings is offered by the Product Group, then the Grand Prize shares shall be determined as follows:

6.5.1.1 If there are multiple Grand Prize winners during a single drawing, each selecting the annuitized option prize, then a winner's share of the guaranteed annuitized Grand Prize shall be determined by dividing the guaranteed annuitized Grand Prize by the number of winning Powerball Plays;

6.5.1.2 If there are multiple Grand Prize winners during a single Drawing and at least one (1) of the Grand Prize winners has elected the annuitized option prize, then the MUSL Annuity Factor shall be utilized to determine the cash pool. The cost of the annuitized prize(s) will be determined at the time the annuity is purchased through a process approved by the MUSL Board;

6.5.1.3 If no winner of the Grand Prize during a single Drawing has elected the annuitized option prize, then the amount of cash in the GPP shall be an amount equal to the guaranteed annuitized amount divided by the MUSL Annuity Factor.

6.5.2 Minimum guaranteed prizes or increases may be waived if the alternate funding mechanism set out in Sections 4.4.1 and 4.4.2 of these rules becomes necessary. Approval of the Group is required to change the guaranteed minimum Grand Prize amounts or minimum increases in the Grand Prize amount. The Group may increase, decrease or eliminate the guaranteed minimum Grand Prize increase effective any time following the next Drawing following the action taken by the Group.

6.6Limited to Highest Powerball Prize Won. The holder of a winning Powerball Play may win only one (1) prize per Powerball Play in connection with the Winning Numbers drawn and shall be entitled only to the prize won by those numbers in the highest matching prize category. All liabilities for a Powerball prize, and Power Play prize are discharged upon payment of a prize claim.

6.7Powerball Prize Claim Period. Prize claims shall be submitted within the period set by the Selling Lottery selling the Powerball Play. For Maine, all Grand Prize claims shall be made within one (1) year after the Drawing date.

6.8Expired Unclaimed Prizes. Prizes which are unclaimed for a period of one (1) year after the Drawing date on the ticket revert to the expired unclaimed prize pool to be distributed to players in the form of special promotions or drawings.

6.9Winner Disclosure. Subject to the laws and regulations of each Participating Lottery jurisdiction, and at the discretion of the Director of each Participating Lottery where disclosure is permitted, the name and community of the winner of a Powerball Grand Prize or Match 5+0 prize will be disclosed in a press conference or a press release of the Participating Lottery.

18- 553 C.M.R. ch. 20, § II-6.0