| (D) The contribution rate to the GPP from MM Plays
shall be 37.6509% of sales. An amount up to five percent (5%) of a
Party Lottery's sales, including any specific statutorily mandated
tax of a Party Lottery to be included in the price of a lottery play,
shall be added to a Party Lottery's Mega Millions Prize Pool contribution
and placed in trust in one or more prize pool and prize reserve accounts
held by the Product Group at any time that the Party Lottery's share
of the PRA is below the amounts designated by the Product Group. Details
shall be noted in the Comments to
MUSL MM Rule 28.
(E) The Product Group may determine to expend all or
a portion of the funds in the prize pools (except the GPP) and the
prize reserve accounts:
(i) for the purpose of indemnifying the Party Lotteries
in the payment of prizes to be made by the Selling Lotteries; and
(ii) 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 & 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 Board by
the Product Group.
(F) 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.
(G) 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 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.
(H) Any amount remaining in the Mega Millions prize
pool accounts or prize reserve accounts when the Product Group declares
the end of the game shall be returned to the lotteries participating
in the prize pool and prize reserve 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 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 prizes. All prize payouts are made with the following
expected prize payout percentages, which does not include an additional
amount held in prize reserves, although the prize payout percentages
per draw may vary:
Attached Graphic
(A) The Grand Prize amount shall be divided equally
by the number of MM Plays and JJ Plays winning the Grand Prize.
(B) The SPP (for payment of single payment prizes of
one million dollars ($1,000,000.00) or less) shall be carried forward
to subsequent draws if all or a portion of it is not needed to pay
the set prizes awarded in the current draw.
(3) Pari-mutuel Prize Determinations. Except as otherwise
provided for in subparagraph (C) of this paragraph below:
(A) If the total of the Mega Millions Set Prizes (as
multiplied by the respective Megaplier multiplier, if applicable)
awarded in a drawing exceeds the percentage of the prize pool allocated
to the Mega Millions Set Prizes, then the amount needed to fund the
Mega Millions Set Prizes, including Megaplier prizes, awarded shall
be drawn from the following sources, in the following order:
(i) the amount available in the SPP and the Megaplier
Prize Pool, if any;
(ii) an amount from the PRA, if available, not to exceed
forty million dollars ($40,000,000.00) per drawing.
(B) If, after these sources are depleted, there are
not sufficient funds to pay the Set Prizes, including Megaplier prizes,
then the highest Set Prize shall become a pari-mutuel prize. If the
amount of the highest Set Prize, including Megaplier prizes, 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 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 section shall be divided among
the winning MM Plays in proportion to their respective prize percentages.
Mega Millions and Megaplier prizes will be reduced by the same percentage.
(C) By agreement with the Mega Millions Lotteries,
the Mega Millions Lotteries shall independently calculate their set
pari-mutuel prize amounts. The Party Lotteries and the Mega Millions
Lotteries shall than agree to set the pari-mutuel prize amount for
all lotteries selling the game at the lesser of the independently-calculated
prize amounts.
(4) Except as may be required by subsection (f)(1)
of this section, the official advertised Grand Prize annuity amount
is subject to change based on sales forecasts and/or actual sales.
(5) Subject to the laws and rules governing each Party
Lottery, the number of prize categories and the allocation of the
prize fund among the prize categories may be changed at the discretion
of the Mega Millions Lotteries, for promotional purposes. Such change
shall be announced by Mega Millions Lotteries.
(e) Probability of Winning Mega Millions Prizes. The
following table sets forth the probability of winning and the probable
distribution of winning Plays in and among each prize category for
MM Plays, based upon the total number of possible combinations in
Mega Millions.
Attached Graphic
(f) Mega Millions Prize Payment.
(1) Mega Millions Grand Prize. The prize money allocated
from the current Mega Millions prize pool for the Grand Prize, plus
any previous portions of prize money allocated to the Grand Prize
category in which no matching MM Plays or JJ Plays were sold will
be divided equally among all Grand Prize winning MM Plays and JJ Plays
in all Participating Lotteries. The Annuity Grand Prize amount will
be paid in thirty (30) graduated annual installments. Grand Prizes
won shall be funded by the Selling Lotteries in accordance with the
formula set by the Mega Millions Lotteries. The Mega Millions Lotteries
may set a minimum guaranteed annuitized Grand Prize amount that shall
be advertised by the Selling Lotteries as the starting guaranteed
annuitized Grand Prize amount. 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. A player's selection of the payment option at the
time of purchase from the commission is final and cannot be revoked,
withdrawn, or otherwise changed. If no selection is made, payment
option will be as described in the chart below:
Attached Graphic
(2) Mega Millions Prize Rollover. If in any Mega Millions
Drawing there are no MM Plays or JJ Plays that qualify for the Grand
Prize category, the portion of the prize fund allocated to such Grand
Prize category shall remain in the Grand Prize category and be added
to the amount allocated for the Grand Prize category in the next consecutive
Mega Millions Drawing.
(3) A player(s) who elects a cash value option payment
shall be paid his/her share(s) in a single cash payment upon completion
of validation procedures determined by the commission. The cash value
option amount shall be determined by the Mega Millions Lotteries.
(4) All annuitized prizes shall be paid annually in
thirty (30) graduated annual installments upon completion of validation
procedure determined by the commission. The initial payment shall
be paid upon completion of the validation procedures and the subsequent
twenty-nine (29) payments shall be paid annually to coincide with
the winning draw date, and shall escalate by a factor of 5% annually.
Prize payments may be rounded down to the nearest one thousand dollars
($1,000) increment. 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.
(5) If individual shares of the Grand Prize Pool 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 cash held in the Grand Prize Pool.
(6) 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 Party Lottery on a schedule approved by
the Product Group. 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 cash value option payment amount may be delayed pending
receipt of funds from the Cont'd... |
