370 Neb. Admin. Code, ch. 1600, § 1603

Current through September 17, 2024

Section 370-1600-1603 - PRIZE POOL

1603.01 Prize Pool

The prize pool for all prize categories offered by the Party Lotteries shall consist of up to fifty-five percent (55%) of each drawing period's sales, or a different percentage when established by the Game Rules, including any specific statutorily-mandated tax of a Party Lottery to be included in the price of a lottery ticket, after the prize reserve accounts are funded to the amounts set by the Product Group, but may be higher or lower based upon the number of winners at each prize level, as well as the funding required to meet a guaranteed Annuity Grand Prize as may be required by rule 30.1(a) of the Game Rules. Any amount remaining in the prize pool or reserves and set aside for the Party Lotteries at the end of this game shall be carried forward to a replacement game or expended in a manner as directed by the Product Group in accordance with jurisdiction law.

1603.02 Prize Reserve Accounts

An amount up to five percent (5%) of a Party Lottery's sales, or a different percentage when established by the Game Rules, including any specific statutorily-mandated tax of a Party Lottery to be included in the price of a lottery ticket, shall be added to a Party Lottery's Grand Prize Pool contribution and placed in trust in one or more prize reserve accounts held by the Product Group at any time that the Party Lottery's share of the prize reserve account(s) is below the amounts designated by the Product Group. The Product Group, with approval of the Finance & Audit Committee, may establish a maximum balance for the prize reserve account(s). The Product Group may determine to expend all or a portion of the funds in the accounts for the payment of prizes or special prizes in the game; subject to the approval of the Finance and Audit Committee. The 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 shares of the Party Lotteries. Any amount remaining in a prize reserve account at the end of this game shall be carried forward to a replacement prize reserve account or expended in a manner as directed by the Product Group in accordance with jurisdiction law.

1603.03 Expected Prize Payout Percentages

The Grand Prize shall be determined on a pari-mutuel basis. All other prizes awarded shall be paid as set cash prizes with expected prize payout percentages as set out in the Game Rules.

1603.03A The Grand Prize amount shall be divided equally by the number of game boards winning the Grand Prize.

1603.03B Except for winning prizes sold by the California Lottery, the prize pool percentage allocated to the Set Prizes 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.

1603.04 Liability Cap

All rules regarding liability caps shall be as established in the Game Rules.

1603.04A The official advertised Grand Prize annuity amount is subject to change based on sales forecasts and/or actual sales. Additionally, this prize amount may be rounded up to the next highest affordable multiple of one million dollars, at the discretion of the Party Lotteries.

1603.04B 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.

370 Neb. Admin. Code, ch. 1600, § 1603