N.D. Admin Code 10-16-08-03 - Prize pool and payment

1. The prize pool for all prize categories must consist of up to fifty-five percent of each draw period's sales after the prize reserve account is funded.

2. The prize money allocated to the grand prize pool must be divided equally by the number of plays that win the grand prize. If the grand prize is not won in a draw, subject to any restrictions by the game group, the prize money allocated for the grand prize must roll over and be added to the grand prize pool for the next draw.

3. If there are multiple grand prize winning plays during a draw, each player selecting the annuitized option prize, then a winning play's share of the annuitized grand prize must be determined by dividing the annuitized grand prize by the number of winning plays.

4. A grand prize must be paid, at the election of the winning player made within sixty days after the player becomes entitled to the prize, with either a per winning player annuity or cash payment. If the payment election is not made by the player within sixty days after the player becomes entitled to the prize, then the prize must be paid as an annuity prize. An election for an annuity payment made by a player may be changed to a cash payment at the election of the player until the expiration of sixty days after the player becomes entitled to the prize. Otherwise, the payment election is final. Shares of the grand prize must be determined by dividing the cash available in the grand prize pool equally among all winning plays of the grand prize. A player who elects a cash payment must be paid the share in a single cash payment. A player who elects an annuitized prize must be paid annually in thirty graduated annual payments with the initial payment being made in cash, followed by twenty-nine payments by the best available rate obtained through a competitive bid of qualified bidders. Annual payments after the initial payment must be made by the lottery within seven days of the anniversary date on which the bonds were purchased to fund the annuity.

5. The lottery may not pay a grand or set cash prize until after it receives authorization from the MUSL. The lottery may pay the prize before it receives the funds from the MUSL.

6. The prize pool percentage allocated to set prizes must be carried forward to a subsequent draw if all or a portion of it is not needed to pay the set prizes awarded in the current draw.

Notes

N.D. Admin Code 10-16-08-03

Effective January 31, 2010; amended effective December 1, 2010; October 19, 2013.

General Authority: NDCC 53-12.1-13

Law Implemented: NDCC 53-12.1-13