606

606.1 Unless annuitized payments are authorized by this title, prizes shall be paid in a single cash payment.

606.2 The Agency may elect to fund annuitized prize payments directly, through purchase of annuities or by other means.

606.3 Except as otherwise provide in Chapter 9 of this title, annuitized prizes shall be paid annually in thirty (30) payments with the initial payment being made in cash or check, to be followed by twenty-nine (29) 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 Executive Director. Prize payments may be rounded down to the nearest one thousand dollars ($ 1,000).

606.4 The initial payment of an annuitized prize may be delayed for up to thirty (30) calendar days following the final determination by the Executive Director that the claim is valid.

606.5 The term of a Lifetime Grand Prize in the Cash 4 Life game shall commence on the first Wednesday following the date of the win and shall be paid every Wednesday thereafter for a minimum of ten (10) years and for no more than the lifetime of the natural person who claims the prize and who is validated as the winner of the prize pursuant to this chapter.

606.6 In the event of the death of a Lifetime Grand Prize Cash 4 Life winner during the minimum 10 year payment period, payment will continue to be made to the winner's estate until the minimum 10 year payment period is completed.

606.7 The MEGA MILLIONS® annuitized prize shall be paid in thirty (30) graduated annual installments upon completion of internal validation procedures. The initial payment shall be paid upon completion of internal validation procedures. The subsequent twenty-nine (29) payments shall be paid graduated annually to coincide with the month of the Federal auction date at which the bonds were purchased to fund the annuity with graduated annual installments defined in the Mega Millions Lotteries' Finance and Operations Procedures. Payments shall escalate by a factor of five percent (5%) annually, and annual payments shall be rounded down to the nearest even one thousand dollar ($1,000.00) increment. All such payments shall be made within seven days of the anniversary of the annual auction date.

606.8 If individual shares of the cash held to fund an annuity is less than two hundred fifty-thousand dollars ($250,000.00), the Mega Millions Product Group, in its sole discretion, may elect to pay the winners their share of the cash held in the Grand Prize Pool.

606.9 All Mega Millions annuitized prizes shall be paid graduated annually in thirty (30) payments with the initial payment being made in cash, to be followed by twenty-nine (29) payments funded by the annuity. Prize payments may be rounded down to the nearest one thousand dollars ($1,000.00).

SOURCE: Final Rulemaking published at 29 DCR 2202, 2211 (May 28, 1982); as amended by Final Rulemaking published at 39 DCR 7439, 7447 (October 2, 1992); as amended by Final Rulemaking published at 40 DCR 6959, 6960 (October 1, 1993); as amended by Final Rulemaking published at 44 DCR 6248 (October 31, 1997); as amended by Final Rulemaking published at 45 DCR 1438 (March 13, 1998); as amended by Final Rulemaking published at 50 DCR 1526 (February 14, 2003); as corrected by Errata Notice published at 50 DCR 10654 (December 12, 2003); as amended by Final Rulemaking published at 52 DCR 7224 (August 5, 2005); as amended by Final Rulemaking published at 56 DCR 73 (January 2, 2009); as amended by Final Rulemaking published at 57 DCR 974 (January 22, 2010); as amended by Final Rulemaking published at 60 DCR 14816 (October 18, 2013).