POWERBALL®  

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    DEPARTMENT OF THE LOTTERY

    RULE NO.:RULE TITLE:

    53ER14-5POWERBALL®

    SUMMARY: This emergency rule sets forth the provisions for the conduct of POWERBALL® and replaces rules 53ER13-48 and 53ER13-76.

    THE PERSON TO BE CONTACTED REGARDING THE EMERGENCY RULE IS: Diane D. Schmidt, Legal Analyst, Department of the Lottery, 250 Marriott Drive, Tallahassee, Florida 32399-4011

     

    THE FULL TEXT OF THE EMERGENCY RULE IS:

     

    53ER14-5 POWERBALL®.

    (1) Definitions.

    The following words and terms, when used in this rule, have the following meanings, unless the context clearly indicates otherwise:

    (a) Annuity prize – A Jackpot Prize paid in annual installments.

    (b) MUSL The Multi-State Lottery Association.

    (c) MUSL Powerball Product Group (“Product Group”) The group of lotteries that have joined together to offer the POWERBALL lottery game under the terms of the MUSL agreement and MUSL Powerball Product Group rules.

    (d) Selling Lottery A lottery authorized by the Product Group to sell POWERBALL tickets.

    (e) Set prize All prizes except the Jackpot Prize that are advertised to be paid by a single lump-sum payment and, except as set forth in paragraph (9)(h), will be equal to the prize amount established by MUSL for the prize level.

    (2) How to Play POWERBALL.

    (a) POWERBALL is a multi-state lottery online terminal game. In POWERBALL, players select five (5) numbers from a field of one (1) through fifty-nine (59) and one (1) Powerball number from a separate field of one (1) through thirty-five (35).

    (b) Players may make their POWERBALL ticket selections by marking a play slip or by telling the retailer their desired selections. There are five (5) panels on a play slip, each containing an upper play area and a lower play area. Each panel played will cost $2.00 per drawing. Players may mark their desired numbers on the play slip by selecting six (6) numbers (five (5) in the upper play area and one (1) in the lower play area) from each panel played. Players may also mark the “QP (Quick Pick) box located at the bottom of each play area for the terminal to randomly select any or all of the six numbers from either or both play areas. A “Void” box is also located at the bottom of each panel and should be marked by the player if an error was made in his or her selections in a panel.  For each panel played, the first five of the six numbers appearing in a single horizontal row on a POWERBALL ticket shall be the numbers selected from the upper play area of the play slip, and the last number shall be the Powerball number selected from the lower play area of the play slip.

    (c) Players must use only blue or black ink or pencil for making selections. Play slips may be processed through a Florida Lottery vending machine or processed by a retailer to obtain a ticket. Retailers also are authorized to manually enter numbers selected by a player.

    (d) Players may play up to fifty-two (52) consecutive POWERBALL drawings by using the “advance play” feature. To use the advance play feature, players may either mark the number of drawings desired in the “Advance Play” section of a play slip or tell the retailer their desired number of consecutive advance drawings. The number of consecutive drawings marked will include the next available drawing and will apply to each panel (A-E) played. Advance play is not available with Jackpot Combo. In the event that a planned change in the POWERBALL game requires that the number of advance plays available for purchase be reduced to zero before implementation of the change, an advance play countdown schedule will be posted on the Lottery’s website.

    (e) Jackpot Combo. Players may elect to play “Jackpot Combo” by marking the “Jackpot Combo $5” box on the play slip or by telling the retailer.  Players will receive three (3) Quick Pick tickets for the next available drawing consisting of one (1) $2.00 FLORIDA LOTTO® with XTRA ticket, one (1) $2.00 POWERBALL® ticket and one (1) $1.00 MEGA MILLIONS® ticket. Tickets in Jackpot Combo play cannot be player selected and cannot be canceled.

    (f) For an additional $1.00 per play, players may mark the Power Play® box to increase the second through ninth prizes. Power Play will apply to all panels and advance play marked.

    (3) POWERBALL Drawings.

    (a) POWERBALL drawings shall be conducted by MUSL two (2) times per week, on Wednesday and Saturday, at approximately 10:59 p.m., ET.

    (b) The Florida Lottery shall not be responsible for incorrect circulation, publication or broadcast of official winning numbers.

    (4) Determination of Prize Winners.

    In order for a ticket to be a winning ticket, numbers appearing in a single horizontal row on the ticket must match the official winning POWERBALL numbers in any order for the draw date for which the ticket was purchased, in one of the following combinations:

    (a) Jackpot Prize: Five (5) numbers selected from the first set of balls plus the Powerball number selected from the second set of balls.

    (b) Second Prize: Five (5) numbers selected from the first set of balls and not the Powerball number from the second set of balls.

    (c) Third Prize: Four (4) numbers selected from the first set of balls plus the Powerball number selected from the second set of balls.

    (d) Fourth Prize: Four (4) numbers selected from the first set of balls and not the Powerball number from the second set of balls.

    (e) Fifth Prize: Three (3) numbers selected from the first set of balls plus the Powerball number selected from the second set of balls.

    (f) Sixth Prize: Three (3) numbers selected from the first set of balls and not the Powerball number from the second set of balls.

    (g) Seventh Prize: Two (2) numbers selected from the first set of balls plus the Powerball number selected from the second set of balls.

    (h) Eighth Prize: One (1) number selected from the first set of balls plus the Powerball number selected from the second set of balls.

    (i) Ninth Prize: No numbers selected from the first set of balls and the Powerball number selected from the second set of balls.

    (5) Limited to Highest Prize Won. The holder of a winning ticket may win only one prize per play in connection with the winning numbers drawn and shall be entitled only to the prize won by those numbers in the highest matching prize category.

    (6) POWERBALL Odds of Winning.

    (a) The odds of winning the prizes described in subsection (4) are as follows:

    1. Jackpot Prize- 1:175,223,510.0000

    2. Second Prize- 1:5,153,632.6471

    3. Third Prize- 1:648,975.9630

    4. Fourth Prize- 1:19,087.5283

    5. Fifth Prize- 1:12,244.8295

    6. Sixth Prize- 1:360.1420

    7. Seventh Prize- 1:706.4325

    8. Eighth Prize- 1:110.8129

    9. Ninth Prize- 1:55.4065

    (b) The overall odds of winning a prize in a POWERBALL drawing are 1:31.8464.

    (7) POWERBALL Prize Pool.

    (a) Prize Pool. The prize pool for all prize categories shall consist of approximately 50% of each drawing period’s sales.

    (b) Expected Prize Payout Percentages. The Jackpot Prize shall be determined on a pari-mutuel basis. Except as provided in these rules, all other prizes awarded shall be paid as set cash prizes with the following expected prize payout percentages:

    Tickets Containing the Following

     

     

    Approximate Percentage of

    in a Single

    Prize

    Prize

    Winnings Pool Allocated

    Horizontal Row

    Category

    Payment

    to Prize Category

    Five first set numbers and the Powerball number

    Jackpot Prize

    Jackpot Prize

    63.9511 %

    Five first set numbers

    Second Prize

    $1,000,000

    19.4038%

    Four first set numbers and the Powerball number

    Third Prize

    $10,000

    1.5409%

    Four first set numbers

    Fourth Prize

    $100

    0.5239%

    Three first set numbers and the Powerball number

    Fifth Prize

    $100

    0.8167%

    Three first set numbers

    Sixth Prize

    $7

    1.9437%

    Two first set numbers and the Powerball number

    Seventh Prize

    $7

    0.9909%

    One first set number and the Powerball number

    Eighth Prize

    $4

    3.6097%

    The Powerball number

    Ninth Prize

    $4

    7.2194%

     

    (c) Prize money allocated to the Jackpot Prize category will be paid on a pari-mutuel basis, divided equally by the number of plays determined to be winners of the Jackpot Prize.

    (d) The number of plays determined to be winners of the second through ninth prize categories will be paid as set cash prizes, except as provided in paragraph (9)(h) below. If all or any portion of the set prize pool is not awarded in the current POWERBALL drawing, that portion of the set prize pool shall be carried forward to subsequent POWERBALL drawings.

    (e) Any interest or earnings accrued on a POWERBALL set prize prior to prize payment shall accrue to the State of Florida and not to the winner.

    (8) POWERBALL Jackpot Prize.

    (a) Players can choose one of two payment options for receiving their portion of the POWERBALL Jackpot Prize. Payment options are “Cash Option” and “Annual Payment.”

    (b) Jackpot Prize winners have sixty (60) days after the winning draw date to choose between the two (2) payment options. Once the Jackpot Prize winner signs the Winner Claim Form, files a claim and exercises the winner's chosen option, the election of that option shall be final and cannot be revoked, withdrawn or otherwise changed except as provided in paragraph (8)(i) below.

    (c) In order to select the Cash Option, the Jackpot Prize winner must submit his or her ticket for payment within sixty (60) days after the winning draw date. If the Jackpot Prize winner does not elect the Cash Option within sixty (60) days after the winning draw date, the Annual Payment option will be applied, except as provided in paragraph (8)(f) below.

    (d) Shares of the Jackpot Prize shall be determined by dividing the cash available in the Jackpot Prize pool equally among all winning plays of the Jackpot Prize in all participating lotteries. A Jackpot Prize winner who chooses the Cash Option will receive his or her share of the cash available in the Jackpot Prize pool in a single cash payment, less applicable withholding taxes.

    (e) If a Jackpot Prize winner elects the Annual Payment option, his or her share of the Jackpot Prize will be paid in thirty (30) graduated annual installments that will increase by 4 percent each year, less applicable withholding taxes. The first installment will be paid at the time the prize is claimed. The amount of the prize shall be determined by multiplying the winner’s share of the Jackpot 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 is claimed. MUSL shall purchase and hold the investments that shall fund the Jackpot Prize winner’s prize payments. Neither MUSL nor the Selling Lotteries shall be responsible or liable for the difference between the advertised or estimated annuity prize amount and the actual amount that is purchased after the prize payment method is known to MUSL.

    (f) If individual shares of the cash held to fund Annual Payments are less than $250,000, the Product Group is authorized to pay the winners their share of the cash held in the Jackpot Prize pool.

    (g) Annuitized payment of the Jackpot prize or a share of the Jackpot prize will be rounded down to the nearest one thousand dollars ($1,000) to facilitate the purchase of an appropriate funding mechanism. Rounding differences on an annuitized Jackpot prize win shall be added to the first cash payment to the winner or winners. Prizes other than the Jackpot prize, which become single-payment, pari-mutuel prizes, will be rounded down so that prizes can be paid in multiples of whole dollars. Rounding differences resulting from rounding these prizes shall be carried forward to the prize pool for the next drawing.

    (h) The Florida Lottery will make the initial and any subsequent payments of a prize upon receipt of funds for such prize from MUSL.

    (i) In the event of the death during the annuity payment period of a POWERBALL winner who elected the Annual Payment option, the estate of the deceased winner (the “Estate”) may file a petition with the Florida Lottery to accelerate payment of all the remaining prize proceeds to the Estate. Such petition will be forwarded by the Florida Lottery to MUSL for processing.

    (j) If the Jackpot Prize is not won in a drawing, the prize money allocated for the Jackpot Prize shall roll over and be added to the Jackpot Prize pool for the following drawing.

    (k) Guaranteed Jackpot Prize. The minimum guaranteed annuity prize amount is $40 million. The Jackpot Prize shares shall be determined as follows:

    1. If there are multiple Jackpot Prize winners during a single drawing, each selecting the Annual Payment option, then a winner's share of the guaranteed Jackpot Prize shall be determined by dividing the guaranteed Jackpot Prize by the number of winning plays.

    2. If there are multiple Jackpot Prize winners during a single drawing and at least one of the Jackpot Prize winners has elected the Annual Payment option, then the best bid submitted by MUSL’s pre-approved qualified brokers shall determine the cash pool needed to fund the guaranteed Jackpot Prize.

    3. If no winner of the Jackpot Prize during a single drawing has elected the Annual Payment option, then the amount of cash in the Jackpot Prize pool shall be an amount equal to the guaranteed amount divided by the average annuity factor of the most recent three best quotes provided by MUSL’s pre-approved qualified brokers submitting quotes.

    4. In no case shall quotes be used which are more than two weeks old and if fewer than three quotes are submitted, then MUSL shall use the average of all quotes submitted.

    (l) Federal income taxes shall be applied and withheld from the prize amount at the time payment is made, pursuant to applicable provisions of the Internal Revenue Code and Code of Federal Regulations.

    (m) Any interest or earnings accrued on a POWERBALL Jackpot Prize prior to prize payment shall accrue to MUSL and not to the winner.

    (9) Power Play® Option.

    (a) The Power Play option shall be available in association with the POWERBALL game. The Power Play option will be conducted in accordance with the POWERBALL rules. The POWERBALL Jackpot Prize will not be eligible for increase under the Power Play option.

    (b) At the time of purchasing a POWERBALL ticket, a player may choose the Power Play option for an additional $1.00 per play for each play on the POWERBALL ticket to increase the guaranteed prize amount for the second through ninth tier prizes.

    (c) Power Play drawing. A separate random Power Play drawing will be conducted and the results announced during each of the regular POWERBALL drawings. The multiplier number will be a 2, 3, 4, or 5. The multiplier number drawn will be used to multiply the value of the prizes for the third through ninth tiers. The multiplier number may also be referred to as the Power Play number.

    (d) The following table sets forth the probability of the various multiplier numbers being drawn during a single Power Play drawing.

    Multiplier

    Probability of Prize Increase

    5X

    1 in 10

    4X

    1 in 10

    3X

    1 in 3.33

    2X

    1 in 2

    Multiplier numbers do not apply to the POWERBALL Jackpot or Second Prize

     

    (e) Application of multiplier number.

    1. Third through Ninth Prizes. The multiplier number selected is the number that is used to increase the prize amount for the Third through Ninth Prizes. A Third through Ninth Prize winner who purchases the Power Play feature with his or her POWERBALL ticket shall be paid a prize in the amount of the set prize amount multiplied by the multiplier number for that drawing.

    2. Second Prize. The Second Prize for a winning POWERBALL with Power Play ticket will always be a $2,000,000.00 prize, except as provided in paragraphs (9)(h) and (i).  The multiplier number drawn does not apply to, affect or alter the Second Prize.

    3. Jackpot Prize. The Power Play feature does not apply to the Jackpot Prize.

    (f) POWERBALL tickets that win the Second through Ninth Prizes with the Power Play option will pay the amounts shown below:

     

    Match

    Prize

    Without Power Play

    With Power Play 2X

    With Power Play 3X

    With Power Play 4X

    With Power Play 5X

    Match 5+0

    Second

    $1,000,000.00

    $2,000,000.00

    $2,000,000.00

    $2,000,000.00

    $2,000,000.00

    Match 4+1

    Third

    $10,000.00

    $20,000.00

    $30,000.00

    $40,000.00

    $50,000.00

    Match 4+0

    Fourth

    $100.00

    $200.00

    $300.00

    $400.00

    $500.00

    Match 3+1

    Fifth

    $100.00

    $200.00

    $300.00

    $400.00

    $500.00

    Match 3+0

    Sixth

    $7.00

    $14.00

    $21.00

    $28.00

    $35.00

    Match 2+1

    Seventh

    $7.00

    $14.00

    $21.00

    $28.00

    $35.00

    Match 1+1

    Eighth

    $4.00

    $8.00

    $12.00

    $16.00

    $20.00

    Match 0+1

    Ninth

    $4.00

    $8.00

    $12.00

    $16.00

    $20.00

     

    (g) The prize pool for Power Play set prizes shall consist of up to 49. 36% of each drawing period’s sales. The Power Play prize pool shall be carried forward to subsequent drawings if all or a portion of it is not needed to pay the Power Play prizes awarded in the current drawing.

    (h) If, with respect to a single POWERBALL drawing, the total of the POWERBALL set prizes and the Power Play prizes awarded in a drawing exceeds the percentage in the prize pools allocated to the set prizes and there are insufficient funds from all sources to pay the set prizes for a particular POWERBALL drawing and the associated Power Play prizes, the highest set prize, including the Power Play prize amounts, shall become a pari-mutuel prize. If the amount of the highest set prize, when paid as a pari-mutuel prize, is less than or equal to the next highest set prize and there are still not sufficient funds to pay the remaining prizes, the next highest set prize, including the Power Play prize amounts, shall become a pari-mutuel prize. If necessary under the same test set forth in the preceding sentence, each succeeding set prize level shall be converted to a pari-mutuel prize, in order, until all set prizes become pari-mutuel. POWERBALL and Power Play prizes will be reduced by the same percentage.

    (i) When the POWERBALL set prizes become pari-mutuel, the POWERBALL set prize amounts will be less than the amount shown in paragraph (7)(b) above, and the Power Play prizes shall be changed to an amount announced after the drawing.

    (j) Power Play set prizes which become pari-mutuel will be rounded down so that they can be paid in multiples of whole dollars. Funds remaining after rounding shall be carried forward to the prize pool for the next drawing.

    (k) Except as otherwise provided, all Power Play prizes shall be paid in a single, lump-sum payment.

    (10) POWERBALL Rules and Prohibitions.

    (a) By purchasing a POWERBALL ticket, a player agrees to comply with and abide by all rules of the Florida Lottery.

    (b) Florida POWERBALL prizes shall be claimed only through a Florida Lottery retailer or Lottery office beginning on the day following the drawing. The Lottery is not authorized to accept claims or pay prizes for POWERBALL tickets purchased in other jurisdictions. POWERBALL prize payments shall be made in accordance with the rule of the Florida Lottery governing payment of prizes. A copy of the current rule can be obtained from the Florida Lottery, Office of the General Counsel, 250 Marriott Drive, Tallahassee, Florida 32399-4011.

    (c) Subject to a retailer’s hours of operation and on-line system availability, POWERBALL lottery tickets are available for purchase daily between the hours of 6:00 a.m. and 12:00 midnight, Eastern Time (ET). Ticket sales for a specific POWERBALL drawing will close at 10:00 p.m., ET, on the night of the drawing. Any ticket sold after the close of game will be printed with the next POWERBALL draw date.

    (d) POWERBALL tickets cannot be canceled.

    (11) The effective date of this rule is January 19, 2014.

    Rulemaking Authority 24.105(9)(a), (b), (c), (e), (f), (h), 24.109(1), 24.115(1) FS. Law Implemented, 24.105(9)(a), (b), (c) (e), (f), (h), 24.115(1), 24.116(1), 24.117(2), 24.124(1) FS. HistoryNew 1-19-14, Replaces 53ER13-48 and 53ER13-76.

     

    THIS RULE TAKES EFFECT UPON BEING FILED WITH THE DEPARTMENT OF STATE UNLESS A LATER TIME AND DATE IS SPECIFIED IN THE RULE.

    EFFECTIVE DATE: January 19, 2014.

     

     

     

Document Information

Effective Date:
1/19/2014
Summary:
This emergency rule sets forth the provisions for the conduct of POWERBALL® and replaces rules 53ER13-48 and 53ER13-76.
Contact:
Diane D. Schmidt, Legal Analyst, Department of the Lottery, 250 Marriott Drive, Tallahassee, Florida 32399-4011.
Related Rules: (1)
53ER14-5. POWERBALL®