NOTICES
DEPARTMENT
OF REVENUE
Mega Millions® Terminal-Based Lottery Game
[43 Pa.B. 2684]
[Saturday, May 11, 2013]Under the State Lottery Law (72 P. S. §§ 3761-101—3761-314) and 61 Pa. Code § 875.4 (relating to notice of terminal-based lottery game rules), the Secretary of Revenue hereby provides public notice of changes to the Mega Millions® terminal-based lottery game rules that were published at 40 Pa.B. 676 (January 30, 2010); and amended at 40 Pa.B. 5263 (September 11, 2010), 40 Pa.B. 6846 (November 27, 2010), 41 Pa.B. 2778 (May 28, 2011) and 42 Pa.B. 621 (January 28, 2012).
This amendment adds a definition for MUSL Board and further provides for the calculation of the jackpot category prize.
Additionally, this amendment provides for using the prize reserve accounts for indemnifying the MUSL Mega Millions® Product Group Members and the Mega Millions® Lotteries in the payment of prizes.
This amendment also specifies how MUSL Mega Millions® Product Group Members may fund their portion of the Liability Cap and further provides for the sources of funds to be used to pay Megaplier® prizes.
These changes will be effective on the publication date of this Notice.
The correct version of this document is as follows, with ellipses referring to the existing text as it appeared at 40 Pa.B. 676—681, 40 Pa.B. 5263—5264, 40 Pa.B. 6846—6847, 41 Pa.B. 2778—2779 and 42 Pa.B. 621:
* * * * * 2. Definitions: The following words and terms, when used in this notice, have the following meanings, unless the context clearly indicates otherwise:
* * * * * MUSL Board—The governing body of MUSL that is comprised of the chief executive officer of each MUSL member lottery.
* * * * * 7. Prizes available to be won and determination of prize winners:
* * * * * (b) Determinations of the Mega Millions® prize winners for tickets correctly matching, in the same play, the winning numbers selected by the Mega Millions® drawing officials are:
(1) Holders of tickets upon which the player's five numbers selected from the field of numbers 1 through 56 and the player's one number selected from the field of numbers 1 through 46 matches the Mega Millions® winning numbers, in a single play, for the drawing in which the ticket is entered, shall be the winner of the jackpot category prize. Prize money allocated to the jackpot category prize will be divided into as many shares as there are winning jackpot category prize plays as provided in this section.
(i) Prior to each drawing, the Mega Millions® Lotteries shall determine the annuity jackpot category prize amount to be advertised. The advertised annuity jackpot category prize amount, as determined by the Mega Millions® Lotteries, shall be estimated and established based upon sales and the annuity factor established for the drawing.
(ii) If the sales support an annuity jackpot category prize that is at least $1 million higher than the advertised annuity jackpot category prize, as determined by the Mega Millions® Lotteries, the resulting annuity jackpot category prize will be the cash equivalent of the highest fully funded million, based on actual sales and the annuity factor established for the draw date. If the sales support an annuity jackpot category prize that is lower than the advertised annuity jackpot category prize amount, as determined by the Mega Millions® Lotteries, the resulting annuity jackpot category prize amount to be paid will be the highest fully funded million dollars, based on actual sales and the annuity factor established for the draw date. In no event, however, shall the annuity jackpot category prize paid be less than the advertised annuity jackpot category prize of the immediately prior drawing in which there were no winning jackpot category prize plays.
* * * * * (c) An amount up to five percent of a MUSL Mega Millions® Product Group member's sales shall be placed in trust in one or more prize reserve accounts held by the MUSL Mega Millions® Product Group at any time that the MUSL Mega Millions® Product Group member's share of the prize reserve account or accounts is below the amounts designated by the MUSL Mega Millions® Product Group. The MUSL Mega Millions® Product Group, with approval of the MUSL Finance and Audit Committee, may establish a maximum balance for the prize reserve account or accounts. The MUSL Mega Millions® Product Group may determine to expend all or a portion of the funds in the accounts for the purpose of indemnifying the MUSL Mega Millions® Product Group Members and the Mega Millions® Lotteries in the payment of prizes to be made by the participating lotteries, subject to the approval of the MUSL Board and for the payment of prizes in the game subject to the approval of the MUSL Finance and Audit Committee. The shares of a member of the MUSL Mega Millions® Product Group may be adjusted with refunds to the member from the prize reserve account or accounts as may be needed to maintain the approved maximum balance and shares of the MUSL Mega Millions® Product Group member. 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 MUSL Mega Millions® Product Group in accordance with jurisdiction law.
(d) Should total prize liability for all lotteries selling the Mega Millions® game, exclusive of jackpot category prize rollover from previous drawings, exceed the Liability Cap, the second through fifth category prizes shall be paid on a pari-mutuel basis, provided, however, that in no event shall the pari-mutuel prize be greater than the fixed prize. The amount to be used for the allocation of such pari-mutuel prizes shall be the Liability Cap less the amount paid for the jackpot category prize and the sixth through ninth category prizes. To fund their portion of the Liability Cap, the MUSL Mega Millions® Product Group Members may utilize: (i) the amount allocated to the set prizes, including any Megaplier® prizes, and carried forward from previous draws, if any, and (ii) an amount from the prize reserve accounts. The California Lottery is excluded from this calculation for the second through ninth category prizes.
* * * * * 10. Megaplier® promotion.
* * * * * (h) If the total of the Mega Millions® set prizes, as determined in section 7(b) and the Megaplier® prizes, as determined in this section, awarded in a drawing exceeds the percentage of the sales allocated to the Mega Millions® set prizes and the Megaplier® prizes, then the amount needed to fund the Mega Millions® set prizes and the Megaplier® prizes awarded shall be drawn from the following sources, in the following order: (i) the amount allocated to the set prizes, including Megaplier® prize amounts, and carried forward from previous draws, if any; (ii) an amount from the reserve accounts not to exceed the lesser of 300% of draw sales or 50% of draw sales plus $50 million. If, after these sources are depleted, there are not sufficient funds to pay the second through the ninth category prizes awarded, including the Megaplier® prizes, then the second through fifth category prize levels shall become a parimutuel prize, as set out in section 7(d). The funds dedicated to the payment of Mega Millions® set prizes and the Megaplier® prizes shall be combined in the rare instance when the set prizes are paid on a parimutuel basis, so that the Megaplier® will remain in effect for all prize levels. The second category prize may be reduced as announced by the Mega Millions Product Group.
* * * * * DANIEL MEUSER,
Secretary
[Pa.B. Doc. No. 13-883. Filed for public inspection May 10, 2013, 9:00 a.m.]
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