370 Neb. Admin. Code, ch. 700, § 704
Grand Prizes shall be paid, at the election of the player made the day of or within sixty days after the player is entitled to the prize, with either a per winner annuity or cash payment. Shares of the Grand Prize shall be determined by dividing the cash available in the Grand Prize pool equally among all winners of the Grand Prize. Winner(s) who elected a cash payment shall be paid their share(s) in a single cash payment. The annuitized option prize shall be determined by multiplying a winner's share of the Grand Prize pool by the MUSL annuity factor. The MUSL annuity factor is determined by the best total securities price obtained through a competitive bid of qualified, pre-approved brokers made after the prize win at the time the player elects whether to receive the prize as a per winner annuity or in a single cash payment. In certain instances announced by the MUSL POWERBALL Product Group, the Grand Prize shall be determined pursuant to Regulation 704.05. At the time of purchase, the system will automatically select the annuitized payment. If the player fails to make a prize payment election within sixty days after they are entitled to the prize, the prize shall be paid as a per winner annuity. However, if individual shares of the cash held to fund an annuity are less than $250,000, the MUSL POWERBALL Product Group, in its sole discretion, may elect to pay the winners their share of the cash held in the Grand Prize pool. All annuitized prizes shall be paid annually in thirty payments with the initial payment being made in cash, to be followed by twenty-nine payments funded by the annuity. 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). Funds for the initial payment of an annuitized prize shall be made available by MUSL for payment by the Party Lottery by the fifteenth calendar day following the drawing. A state may elect to make the initial payment from its own funds after validation, with notice to MUSL In the event of the death of a lottery winner during the payment period, the MUSL POWERBALL Product Group, in its sole discretion, upon the petition of the estate of the lottery winner (the "Estate") to the state lottery of the state in which the deceased lottery winner purchased the winning ticket, and subject to federal, state, or district applicable law, may accelerate the payment of all the remaining lottery proceeds to the Estate. If the MUSL POWERBALL Product Group makes such a determination, 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 MUSL POWERBALL Product Group.
All low-tier cash prizes (all prizes except the Grand Prize), shall be paid in cash through the party lottery which sold the winning ticket(s). A party lottery may begin paying low-tier cash prizes after receiving authorization to pay from the MUSL central office.
Annuitized payments of the Grand Prize or a share of the Grand Prize may be rounded to facilitate the purchase of an appropriate funding mechanism. Breakage on an annuitized Grand Prize win shall be added to the first cash payment to the winner or winners. Prizes, other than the Grand Prize, which, under these rules, may become single-payment, parimutuel prizes, may be rounded down so that prizes can be paid in multiples of whole dollars. Breakage resulting from rounding these prizes shall be carried forward to the prize pool for the next drawing.
If the Grand Prize is not won in a drawing, the prize money allocated for the Grand Prize shall roll over and be added to the Grand Prize pool for the following drawing.
The MUSL POWERBALL Product Group may offer guaranteed minimum 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 MUSL POWERBALL Product Group finds that it would be in the best interest of the POWERBALL game. If a minimum Grand Prize amount or a minimum increase in the Grand Prize amount between drawings is offered by the MUSL POWERBALL Product Group, then the Grand Prize shares shall be determined as follows. 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 winners. If there are multiple Grand Prize winners during a single drawing and at least one of the Grand Prize winners has elected the annuitized option prize, then the best bid submitted by MUSL's pre-approved qualified brokers shall determine the cash pool needed to fund the guaranteed annuitized Grand Prize. If no winner of the Grand prize during a single drawing has elected the annuitized option prize, then the amount of cash in the Grand Prize pool shall be an amount equal to the guaranteed annuitized amount divided by the average annuity factor of the most recent three best quotes provided by MUSL's pre-approved qualified brokers submitting quotes. In no case, shall quotes be used which are more than two weeks old and if less than three quotes are submitted, then MUSL shall use the average of all quotes submitted. Changes in the allocation of prize money shall be designed to retain approximately the same prize allocation percentages, over a year's time, set out in these regulations. Minimum guaranteed prizes or increases may be waived if the alternate funding mechanism set out in Reg. 702.03B becomes necessary.
The holder of a winning POWERBALL ticket may win only one prize per game play area in connection with the winning POWERBALL numbers drawn, and shall be entitled only to the prize won by those numbers in the highest matching prize category.
Prize claims shall be submitted within the period set forth in these regulations.
370 Neb. Admin. Code, ch. 700, § 704