(iv) The maximum contribution rate to the Grand Prize
Pool shall be 68.0131% of the prize pool (34.0066% of sales). An amount
up to five percent (5%) of a Party Lottery's sales shall be deducted
from a Party Lottery's Grand Prize Pool contribution and placed in
trust in one or more prize pool accounts and prize reserve accounts
held by the Product Group (hereinafter the "prize pool and reserve
deduction") at any time that the prize pool accounts and Party Lottery's
share of the prize reserve accounts is below the amounts designated
by the Product Group. An additional amount up to twenty percent (20%)
of a Party Lottery's sales shall be deducted from a Party Lottery's
Grand Prize Pool contribution and placed in trust in the GPCFP to
be held by the Product Group at a time as determined by the Product
Group.
(v) The Product Group may determine to expend all or
a portion of the funds in the Powerball prize pool accounts (except
the Powerball Grand Prize Pool account and the GPCFP) and the prize
reserve accounts: (1) for the purpose of indemnifying the Selling
Lotteries for the payment of prizes to be made by the Selling Lottery;
and, (2) for the payment of prizes or special prizes in the game,
limited to prize pool and prize reserve contributions from lotteries
participating in the special prize promotion, subject to the approval
of the Board's Finance and Audit Committee or that Committee's failure
to object after given two weeks' notice of the planned action, which
actions may be appealed to the full MUSL Board by the Product Group.
The GPCFP may only be expended to fund the starting minimum annuity
Grand Prize.
(vi) The prize reserve shares of a Party Lottery may
be adjusted with refunds to the Party Lottery from the prize reserve
account(s) as may be needed to maintain the approved maximum balance
and sales percentage shares of the Party Lotteries.
(vii) A Party Lottery may contribute to its sales percentage
share of prize reserve accounts over time, but in the event of a draw
down from a prize reserve account, a Party Lottery is responsible
for its full sales percentage share of the prize reserve account,
whether or not it has been paid in full.
(viii) Any amount remaining in the Powerball prize
pool accounts or prize reserve accounts when the Product Group declares
the end of this game shall be returned to the lotteries participating
in the accounts after the end of all claim periods of all Selling
Lotteries, carried forward to a replacement game or otherwise expended
in a manner at the election of the individual Members of the Product
Group in accordance with jurisdiction statute.
(2) Expected Powerball Prize Payout Percentages. The
Grand Prize payout shall be determined on a pari-mutuel basis. Except
as otherwise provided in this section, all other prizes awarded shall
be paid as single payment set cash prizes. All prize payouts are made
with the following expected prize payout percentages, although the
prize payout percentage per draw may vary:
Attached Graphic
(A) The prize money allocated to the Powerball Grand
Prize category shall be divided equally by the number of Plays winning
the Powerball Grand Prize.
(B) Powerball Set Prize Pool Carried Forward. For Party
Lotteries, the Powerball Set Prize Pool (for single payment cash prizes
of $1,000,000 or less) shall be carried forward to subsequent draws
if all or a portion of it is not needed to pay the Powerball Set Prizes
awarded in the current draw.
(C) Pari-Mutuel Powerball Prize Determinations. Except
as otherwise provided, if the total of the Powerball Set Prizes (as
multiplied by the respective Power Play multiplier, if applicable)
awarded in a Drawing exceeds the percentage of the prize pool allocated
to the Powerball Set Prizes, then the amount needed to fund the Powerball
Set Prizes, including Power Play prizes, awarded shall be drawn first
from the amount available in the Powerball Set Prize Pool and the
Power Play Prize Pool, if any; second from the SPRA, if available,
not to exceed forty million dollars ($40,000,000.00) per Drawing;
and, third from other amounts as agreed to by the Product Group in
their sole discretion.
(D) If, after these sources are depleted, there are
not sufficient funds to pay the Set Prizes awarded, including Power
Play Prizes, then the highest Set Prize shall become a pari-mutuel
prize. If the amount of the highest Set Prize, when paid on a pari-mutuel
basis, drops to or below the next highest Set Prize and there are
still not sufficient funds to pay the remaining Set Prizes awarded,
then the next highest Set Prize, including Power Play prizes, shall
become a pari-mutuel prize. This procedure shall continue down through
all Set Prize levels, if necessary, until all Set Prize levels become
pari-mutuel prize levels. In that instance, the money available from
the funding sources listed in this rule shall be divided among the
winning Plays in proportion to their respective prize percentages.
Powerball Set Prizes and Power Play Prizes will be reduced by the
same percentage.
(E) By agreement, the Licensee Lotteries shall independently
calculate their Set Prize pari-mutuel prize amounts. The Party Lotteries
and the Licensee Lotteries shall then agree to set the pari-mutuel
prize amounts for all lotteries selling the game at the lesser of
the independently-calculated prize amounts.
(e) Probability of Powerball Winning Plays. The following
table sets forth the probability of winning Plays and the probable
distribution of winning Plays in and among each prize category, based
upon the total number of possible combinations in Powerball. The Set
Prize Amount shall be the prizes set for all Selling Lotteries unless
prohibited or limited by a jurisdiction's statute or judicial requirements.
Attached Graphic
(f) Powerball Prize Payment.
(1) Powerball Grand Prizes. The advertised Grand Prize
in a Powerball game is not a guaranteed amount; it is an estimated
amount, and all advertised prizes, even advertised Set Prizes, are
estimated amounts. At the time of ticket purchase, a player must select
a payment option of either a single cash value payment or annuitized
payments of a share of the Grand Prize if the Play is a winning Play.
If no selection is made, payment option will be as described in the
chart below:
Attached Graphic
(A) A player's selection of the payment option at the
time of purchase from the Texas Lottery is final and cannot be revoked,
withdrawn, or otherwise changed.
(B) Shares of the Grand Prize shall be determined by
dividing the cash available in the Grand Prize Pool equally among
all winning Plays of the Grand Prize. A player(s) who elects a cash
value option payment shall be paid his/her share(s) in a single cash
payment. The annuitized option prize shall be determined by multiplying
the winning Play's share of the Grand Prize Pool by the annuity factor
established in accordance with Texas law and the rules of the Texas
Comptroller of Public Accounts. The MUSL Annuity Factor will not be
used for Texas Lottery players. Neither MUSL nor any Selling Lottery
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.
(C) In certain instances announced by the Powerball
Group, the Grand Prize shall be a guaranteed amount and shall be determined
pursuant to paragraph (6) of this subsection.
(D) If individual shares of the Grand Prize Pool funds
held to fund an annuity is less than $250,000.00, the Powerball Group,
in its sole discretion, may elect to pay the winners their share of
the funds held in the Grand Prize Pool. 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.
(E) All annuitized prizes shall be paid annually in
thirty (30) graduated payments, as provided by the MUSL rules, (increasing
each year) at a rate as determined by the MUSL Product Group. Prize
payments may be rounded down to the nearest one thousand dollars ($1,000).
(F) Funds for the initial payment of an annuitized
prize or the lump sum cash value option 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 value option payment amount may be delayed
pending receipt of funds from the Selling Lotteries. The identification
of the securities to fund the annuitized prize shall be at the sole
discretion of the State of Texas. If the State of Texas purchases
the securities, or holds the prize payment annuity for a Powerball
prize won in this state, the prize winner will have no recourse on
the MUSL or any other Party Lottery for payment of that prize.
Cont'd... |