RULE NO.:RULE TITLE:

53ER17-72POWERBALL®

SUMMARY: This emergency rule sets forth the provisions for the conduct of the lottery Draw game, POWERBALL®, and replaces rule 53ER16-55.

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:

53ER17-72 POWERBALL®.

(1) Definitions.

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

(a) Advertised Jackpot Prize- The estimated annuitized Jackpot Prize amount as determined by MUSL prior to the Jackpot Prize drawing. The “Advertised Jackpot Prize” is not a guaranteed prize amount and the actual Jackpot Prize amount may vary from the advertised amount, except in circumstances where there is a guaranteed Jackpot Prize amount as described in subparagraph (8)(e).

(b) Drawing- refers collectively to the formal draw event for randomly selecting the winning indicia that determine the number of winners for each prize level of the POWERBALL® game and the Power Play® multiplier. Winning indicia include the Winning Numbers for the POWERBALL game, and the Power Play multiplier.

(c) Jackpot Prize- The top prize in the POWERBALL game.

(d) MUSL- The Multi-State Lottery Association.

(e) MUSL Board- The governing body of the MUSL.

(f) 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.

(g) Play - The six numbers, the first five chosen from a field of sixty-nine numbers and the last one chosen from a field of twenty-six numbers, that appear on a ticket as a single lettered selection to be played by a player in the POWERBALL game.

(h) Set Prize- All prizes except the Jackpot Prize and, except as set forth in paragraph (10)(g) and (h), will be equal to the prize amount established by the Product Group for the prize level.

(i) "Winning Numbers" means the indicia randomly selected during a drawing which shall be used to determine winning Plays for the POWERBALL game contained on a ticket.

(2) How to Play POWERBALL.

(a) POWERBALL is a multi-state lottery Draw game (also known as an online lottery game) which is offered to players in Florida by the Florida Lottery via authorized Florida Lottery retailers. In POWERBALL, players select five numbers from a field of one through sixty-nine and one Powerball number from a separate field of one through twenty-six for each Play.

(b) Players may make their POWERBALL ticket selections by marking a play slip or by telling the retailer their desired selections. There are five panels on a play slip, each containing an upper play area and a lower play area. Each panel played will cost $2.00 per Play, per drawing. Players may mark their desired numbers on the play slip by selecting six numbers (five in the upper play area and one 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) Play slips must be Florida Lottery approved and players must use only blue or black ink or pencil for making selections. The use of mechanical, electronic, computer generated or any other non-manual method of marking play slips is prohibited. Play slips may be processed through a Florida Lottery full service vending machine or processed by a retailer to obtain a ticket. Retailers also are authorized to manually enter numbers selected by a player.

(d) Advance Play. Players may play up to fifty-two 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. 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. Advance play is not available with Jackpot Combo.

(e) Jackpot Combo. Players may elect to play “Jackpot Combo” by marking the “Jackpot Combo $6” box on the play slip or by telling the retailer. Players will receive three Quick Pick tickets for the next available drawing consisting of one $2.00 FLORIDA LOTTO® with XTRA ticket, one $2.00 POWERBALL® ticket and one $2.00 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 to determine the Winning Numbers shall be conducted by MUSL two 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 POWERBALL Winning Numbers in any order for the drawing date for which the ticket was purchased, in one of the following combinations:

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

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

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

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

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

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

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

(h) Eighth Prize: One 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. All liabilities for a POWERBALL prize are discharged upon payment of a prize claim.

(6) POWERBALL Odds of Winning.

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

1. Jackpot Prize- 1:292,201,338.0000

2. Second Prize- 1:11,688,053.5200

3. Third Prize- 1:913,129.1813

4. Fourth Prize- 1:36,525.1673

5. Fifth Prize- 1:14,494.1140

6. Sixth Prize- 1:579.7646

7. Seventh Prize- 1:701.3281

8. Eighth Prize- 1:91.9775

9. Ninth Prize- 1:38.3239

(b) The overall odds of winning a prize in a POWERBALL drawing are 1:24.8671.

(7) POWERBALL Prize Pool.

(a) The POWERBALL Prize Pool for all prize categories shall consist of fifty percent of each drawing period’s sales. The POWERBALL Prize Pool shall be funded in accordance with criteria set by the Product Group.

(b) Expected Prize Payout Percentages. The Jackpot Prize payout shall be determined on a pari-mutuel basis. Except as provided in these rules, all other prizes awarded shall be paid as Set Prizes with the following expected prize payout percentages, although the actual prize payout percentage per drawing will vary by drawing.

Estimated Percentage of

Prize

Prize

Prize Pool Allocated

Match

Category

Payment

to Prize Category

Five first set numbers and the Powerball number

Jackpot Prize

Jackpot Prize

68.0131%

Five first set numbers

Second Prize

$1,000,000

8.5558%

Four first set numbers and the Powerball number

Third Prize

$50,000

5.4757%

Four first set numbers

Fourth Prize

$100

0.2738%

Three first set numbers and the Powerball number

Fifth Prize

$100

0.6899%

Three first set numbers

Sixth Prize

$7

1.2074%

Two first set numbers and the Powerball number

Seventh Prize

$7

0.9981%

One first set number and the Powerball number

Eighth Prize

$4

4.3489%

The Powerball number

Ninth Prize

$4

10.4373%

(c) Prize money allocated to the Jackpot Prize category will be 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 Prizes, except as provided in paragraph (10)(g) and (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 MUSL and not to the winner.

(8) POWERBALL Jackpot Prize Payment.

(a) Shares of the Jackpot Prize shall be determined by dividing the funds available in the Jackpot Prize pool equally among all winning plays of the Jackpot Prize. Neither MUSL nor the Florida Lottery shall be responsible or liable for the difference between the Advertised or estimated Jackpot Prize amount and the actual Jackpot Prize amount after the prize payment method is known to MUSL.

(b) Players can choose one of two payment options for receiving their portion of the POWERBALL Jackpot Prize. Payment options are “Cash Option” (which may be referred to as a “single lump sum payment”) and “Annual Payment.” Jackpot Prize winners have sixty days after the winning draw date to choose between the two 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 subparagraph (8)(d)6., below.

(c) Cash Option Payment.

If the Jackpot Prize is not a guaranteed amount, the Cash Option amount offered shall be the cash amount available in the Jackpot Prize pool divided by the number of winners. If the Jackpot Prize is a guaranteed amount, the Cash Option amount offered shall be determined as set forth in subparagraphs (8)(e) 2. and 3., as applicable. In order to select the Cash Option, the Jackpot Prize winner must submit his or her ticket for payment within sixty days after the winning draw date. If the Jackpot Prize winner does not elect the Cash Option within sixty days after the winning draw date, the Annual Payment option will be applied, except as provided in subparagraph (8)(d)4., below. A Jackpot Prize winner who chooses the Cash Option payment will receive his or her share in a single lump sum payment, less applicable federal income tax withholding.

(d) Annual Payment Option.

1. If a Jackpot Prize winner elects the Annual Payment option, his or her share of the Jackpot Prize will be paid in thirty graduated annual installments that will increase by a rate determined by the Product Group, less applicable federal income tax withholding.

2. The Florida Lottery will make the initial annual payment of a prize and all further annual payments upon receipt of funds from MUSL.

3. The amount of the annual prize payment shall be determined by multiplying the winner’s share of the Jackpot Prize pool by a process as approved by the MUSL Board. MUSL shall purchase and hold the investments to fund the Jackpot Prize winner’s annual prize payments.

4. If the winner’s share of the Jackpot Prize is less than $250,000, the Product Group is authorized to pay such winner their Grand Prize share in one lump sum payment, without regard either to the winner’s choice of prize payment method or to whether the winner claimed the Grand Prize share more than sixty days after the drawing.

5. 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 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.

6. 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 make a written request to the Florida Lottery to accelerate payment of all the remaining prize proceeds to the Estate. Such request will be forwarded by the Florida Lottery to MUSL for processing. MUSL will decide, in its sole discretion, whether or not to grant the payment, and if so, the form of such payment, whether in securities or cash.

(e) Guaranteed Minimum Jackpot Prize. The minimum guaranteed annuity Jackpot Prize amount is $40 million and each successive Jackpot Prize in the same roll cycle will be at least $10 million more than the previously established jackpot. When the Jackpot Prize is won at the guaranteed minimum, 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 minimum 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 MUSL Annuity Factor shall be utilized to determine the cash pool. The cost of the annuitized prize(s) will be determined at the time the annuity is purchased through a process as approved by the MUSL Board.

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 minimum amount divided by the MUSL Annuity Factor.

(f) 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.

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

(h) 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.

(9) Set Prize Payment. Set Prizes shall be paid in a single cash payment, less any applicable federal income tax withholding.

#### (10) Power Play®.

(a) Power Play Prize Pool. The Power Play Prize Pool for all Power Play prize categories shall consist of fifty percent of each drawing period’s sales. The Power Play Prize Pool shall be funded in accordance with criteria set by the Product Group. The actual prize payout percentage per drawing will vary by drawing. 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.

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

(c) Power Play Drawing. A separate, random Power Play drawing will be conducted and the results announced during each of the regular POWERBALL drawings. In each Power Play drawing, the number 2, 3, 4, 5 or 10 shall be drawn (the Power Play number, sometimes called the multiplier number). When the initially Advertised Jackpot Prize for a drawing is $150 million or less, the possible Power Play numbers included in the Power Play drawing will be 2, 3, 4, 5 and 10. When the initially Advertised Jackpot Prize for a drawing is greater than $150 million, the possible Power Play numbers included in the Power Play drawing will be 2, 3, 4 and 5. The Power Play number drawn will increase the value of the prizes for the second tier as provided below. The Power Play number will be used to multiply the value of the prizes for the third through ninth tiers.

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

When the 10X Power Play is available:

Multiplier

Probability of Prize Increase

Chance of Occurrence

10X

1 in 43

2.3255%

5X

2 in 43

4.6512%

4X

3 in 43

6.9767%

3X

13 in 43

30.2326%

2X

24 in 43

55.8140%

When the 10X Power Play is not available:

Multiplier

Probability of Prize Increase

Chance of Occurrence

10X

0 in 42

0.00%

5X

2 in 42

4.7619%

4X

3 in 42

7.1429%

3X

13 in 42

30.9523%

2X

24 in 42

57.1429%

(e) Application of Power Play Number.

1. Second Prize. The Power Play number selected increases the Second Prize for a winning POWERBALL with Power Play ticket to $2,000,000.00, except as provided in (10)(g) and (h).

2. Third through Ninth Prizes. The Power Play number selected increases the prize amount for the Third through Ninth Prizes. A Third through Ninth Prize winner who purchased 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 Power Play number for that drawing.

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

With Power

Play 10X

Match 5+0

Second

$1,000,000

$2,000,000

$2,000,000

$2,000,000

$2,000,000

$2,000,000

Match 4+1

Third

$50,000

$100,000

$150,000

$200,000

$250,000

$500,000

Match 4+0

Fourth

$100

$200

$300

$400

$500

$1,000

Match 3+1

Fifth

$100

$200

$300

$400

$500

$1,000

Match 3+0

Sixth

$7

$14

$21

$28

$35

$70

Match 2+1

Seventh

$7

$14

$21

$28

$35

$70

Match 1+1

Eighth

$4

$8

$12

$16

$20

$40

Match 0+1

Ninth

$4

$8

$12

$16

$20

$40

(g) 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 the Power Play 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. In that instance, the money available from the funding sources shall be divided among the winning Plays in proportion to their respective prize percentages. POWERBALL and Power Play prizes will be reduced by the same percentage.

(h) 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.

(i) 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.

(j) All Power Play prizes shall be paid in a single lump-sum payment, less any applicable federal income tax withholding.

(11) 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 (for prizes less than $600) or Lottery office beginning on the first business 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, 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 drawing date.

(d) POWERBALL tickets cannot be canceled.

(12) The effective date of this rule is October 28, 2017.

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), 24.124(1) FS. History—New 10-28-17, Replaces 53ER16-55.

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: 10-28-17.