WSR 97-04-047

PERMANENT RULES

LOTTERY COMMISSION

[Filed January 31, 1997, 12:25 p.m.]

Date of Adoption: January 10, 1997.

Purpose: To amend WAC 315-10-010, 315-10-020, 315-10-030, 315-10-060 and 315-10-070, and to add new sections WAC 315-10-022, 315-10-025, 315-10-035, 315-10-055, 315-10-062, 315-10-065 and 315-10-075, which streamlines instant game rules found in this chapter.

Citation of Existing Rules Affected by this Order: Amending WAC 315-10-010, 315-10-020, 315-10-030, 315-10-060, and 315-10-070.

Statutory Authority for Adoption: RCW 67.70.040.

Adopted under notice filed as WSR 96-24-102 on December 4, 1996.

Number of Sections Adopted in Order to Comply with Federal Statute: New 0, amended 0, repealed 0; Federal Rules or Standards: New 0, amended 0, repealed 0; or Recently Enacted State Statutes: New 0, amended 0, repealed 0.

Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, amended 0, repealed 0.

Number of Sections Adopted on the Agency's own Initiative: New 7, amended 5, repealed 0.

Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, amended 0, repealed 0.

Number of Sections Adopted using Negotiated Rule Making: New 0, amended 0, repealed 0; Pilot Rule Making: New 0, amended 0, repealed 0; or Other Alternative Rule Making: New 0, amended 0, repealed 0.

Effective Date of Rule: Thirty-one days after filing.

January 30, 1997

Merritt D. Long

Director

AMENDATORY SECTION (Amending Order 3, filed 10/15/82)

WAC 315-10-010 Instant games--Authorized--Director's authority. It is the commission's intent to provide the director broad authority in carrying out the following duties:

(1) The commission hereby authorizes the director to select, operate, and contract relating to and for the operation of instant games ((which meet)) meeting the criteria set forth in this chapter.

(2) The director ((is hereby authorized to select, operate and contract relating to and for the operation of instant games which meet the criteria set forth in this chapter)) shall establish final instant game specifications, including the determination of winning tickets, in executed working papers. The director shall keep executed working papers on file at the headquarters office location and make them available for public review during normal business hours.

[Statutory Authority: 1982 2nd ex.s. c 7. 82-21-038 (Order 3), 315-10-010, filed 10/15/82.]

AMENDATORY SECTION (Amending WSR 89-21-029, filed 10/10/89, effective 11/10/89)

WAC 315-10-020 Definitions. (1) Ticket. The ticket purchased for participation in an instant game and any ticket used in ((authorized)) media promotions and ((authorized)) retailer incentive programs authorized by the director for an instant game.

(2) Instant game. A game in which a ticket is purchased and upon removal of a latex covering on the front of the ticket, the ticket bearer determines his or her winnings, if any.

(3) Ticket bearer. The person who has signed the ticket or has possession of the unsigned ticket.

(4) Play symbols. The numbers or symbols appearing in the designated areas under the removable covering on the front of the ticket. Play symbols were formerly called play numbers. Both terms shall have the same meaning.

(5) Validation number. The multi-digit number found on the ticket and on any ticket stub. There must be a validation number on the ticket or any stub.

(6) Working papers. The documents providing production and winning ticket specifications for each instant ticket game. Executed working papers (including amendments, if any) are signed and dated by the lottery director.

[Statutory Authority: RCW 67.70.040. 89-21-029, 315-10-020, filed 10/10/89, effective 11/10/89; 86-01-060 (Order 83), 315-10-020, filed 12/16/85; 84-05-008 (Order 51), 315-10-020, filed 2/7/84. Statutory Authority: RCW 67.70.040 and 67.70.050. 83-05-029 (Order 14), 315-10-020, filed 2/10/83. Statutory Authority: 1982 2nd ex.s. c 7. 82-21-038 (Order 3), 315-10-020, filed 10/15/82.]

NEW SECTION

WAC 315-10-022 What are the essential elements of instant game tickets? The director shall establish in executed working papers for each instant game the specific form and location in which the following essential elements shall appear on each instant game ticket:

(1) Play field is generally the area under the latex covering that players scratch off to reveal play symbols, play symbol captions, prize symbols, prize symbol captions, and validation numbers;

(2) Play spots are the specific areas under the latex covering where play symbols are located;

(3) Play symbols are symbols, letters, or numbers appearing in each play spot of a ticket;

(4) Play symbol captions are small printed characters generally associated with each play symbol appearing on the play field which correspond with and verify that play symbol. These captions spell out, in full or abbreviated form, the play symbol. There is only one play symbol caption for each play symbol, and each play symbol caption is associated with the three-digit ticket number;

(5) Prize symbols are numeric or symbolic representations, printed either in a display printed prize legend or on the play field, which indicate the amount of money a player may win;

(6) Prize symbol captions are small printed characters generally associated with each prize symbol appearing on the play field which correspond to and verify that prize symbol. The prize symbol caption is a spelling out, in full or abbreviated form, of the prize symbol;

(7) Validation number is a unique multi-digit number on the front of the ticket that appears under the removable latex covering and is identified as "val. no.";

(8) Pack-ticket number is a thirteen-digit number of the form XXXXXXXXX-X-XXX printed on the back of the ticket. The first three digits are the game identifier. The first nine digits of the pack-ticket number constitute the "pack number," which starts at XXX000001; the last three digits constitute the "ticket number," which starts at 000 and indicates the ticket's position within each pack of tickets;

(9) Retailer verification code consists of small letters found under the removable covering on the front of the ticket which the lottery retailer uses to verify instant winners of $600.00 or less. A retailer verification code for a winning ticket of a particular game is a unique multiple letter code which corresponds to the prize value of the ticket for that game. Each letter of the code appears in varying locations beneath the removable latex covering on the front of the ticket; and

(10) Odds of winning shall always appear on the back of the ticket.

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NEW SECTION

WAC 315-10-025 How much does it cost to purchase an instant game ticket? The price of an instant game ticket shall not be less than $1.00 and not more than $5.00, except for those tickets used in media promotions and retailer incentive programs authorized by the director.

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AMENDATORY SECTION (Amending WSR 94-03-020, filed 1/7/94, effective, see WAC 315-04-180)

WAC 315-10-030 Instant games criteria. (1) ((The price of an instant game ticket shall not be less than $1.00 and not more than $5.00, except for those tickets used in authorized media promotions and authorized retailer incentive programs.

(2) Winners of an instant game are determined by the matching or specified alignment of the play numbers on the tickets. The ticket bearer must notify the lottery of the win and submit the winning ticket to the lottery as specified by the director. The winning ticket must be validated by the lottery through use of the validation number and/or any other means as specified by the director.

(3))) The total of all prizes available to be won in an instant game shall not be less than forty-five percent of the instant game's projected revenue.

(((4))) (2) The instant game shall pay out both lower tier prizes and higher tier prizes. Lower tier prizes are of $25.00 or less. Higher tier prizes are of more than $25.00. The director shall determine the number of lower and higher tier prizes.

(((5) The start date and closing date of the instant game shall be publicly announced. Lottery retailers shall not sell any tickets prior to the start date of a game unless expressly authorized by the director. Lottery retailers may continue to sell tickets for each instant game for up to sixty days after the official end of game as authorized by WAC 315-10-060.

(6))) (3) There is no required frequency of drawing or method of selection of a winner in an instant game.

(((7))) (4) At the director's discretion, an instant game may include a grand prize drawing(s). The criteria for the grand prize drawing shall be as follows:

(a) Finalists for a grand prize drawing shall be selected in an elimination drawing(s) from redeemed tickets meeting the criteria stated in specific game rules as determined by the director. Participation in the elimination drawing(s) shall be limited to such tickets which are actually received and validated by the director on or before a date to be announced by the director. The director may reserve the right to place any semi-finalist whose entry was not entered in the elimination drawing(s) and who is subsequently determined to have been entitled to such entry into an elimination drawing of a subsequent instant game, and the determination of the director shall be final.

(b) The number of prizes and the amount of each prize in the grand prize drawing(s) shall be determined by the director to correspond with the size and length of the instant game and to comply with subsection (((3))) (1) of this section.

(c) The dates and times as well as the procedures for conducting the elimination drawing and grand prize drawing shall be determined by the director.

(((8) Procedures for claiming instant game prizes are as follows:

(a) To claim an instant game prize of $600.00 or less the claimant either may present the apparent winning ticket to any lottery retailer regardless of where the ticket was purchased, or may present the apparent winning ticket to the lottery by mail or in person. When a retailer is presented with a claim under this section, the retailer shall verify the claim and, if acceptable, make payment of the amount due the claimant. The prizes shall be paid during all normal business hours of that retailer provided that claims can be validated on the lottery's instant ticket accounting system (ITAS). The retailer shall not charge the claimant any fee for payment of the prize or for cashing a business check drawn on the retailer's account.

(b) In the event the retailer cannot verify the claim, the claimant shall present a claim to the lottery by mail or in person. If the claim is validated by the lottery, a check shall be forwarded to the claimant in payment of the amount due. In the event that the claim is not validated by the director, the claim shall be denied and the claimant shall be promptly notified.

(c) To claim an instant prize of more than $600.00, the claimant shall complete a claim form, as provided in WAC 315-06-120, which is obtained from the lottery retailer or the lottery and mail or present in person the completed form together with the apparent winning ticket to the lottery. Upon validation by the director, a check shall be mailed or presented to the claimant in payment of the amount due, less any applicable federal income tax withholding. In the event that the claim is not validated by the director, the claim shall be denied and the claimant shall be promptly notified.

(d) To claim an instant prize pursuant to WAC 315-10-070(2), the claimant shall notify the lottery of the claim and request reconstruction of the ticket not later than one hundred eighty days after the official end of that instant game. If the director authorizes reconstruction, the ticket shall not be validated nor the prize paid prior to the one hundred eighty-first day following the official end of that instant game. A ticket(s) validated pursuant to WAC 315-10-070(2) shall not entitle the claimant entry into the grand prize drawing, if any, for that or any subsequent instant game.

(e) Any ticket not passing all the validation checks specified by the director is invalid and ineligible for any prize and shall not be paid. However, the director may, solely at his or her option, replace an invalid ticket with an unplayed ticket (or tickets of equivalent sales price from any other current game). In the event a defective ticket is purchased, the only responsibility or liability of the director shall be the replacement of the defective ticket with another unplayed ticket (or tickets of equivalent sale price from any other current game).))

[Statutory Authority: RCW 67.70.040. 94-03-020, 315-10-030, filed 1/7/94, effective, see WAC 315-04-180; 89-21-029, 315-10-030, filed 10/10/89, effective 11/10/89; 88-17-024 (Order 111), 315-10-030, filed 8/11/88; 85-22-057 (Order 81), 315-10-030, filed 11/5/85; 85-16-031 (Order 77), 315-10-030, filed 7/30/85; 85-09-004 (Order 72), 315-10-030, filed 4/5/85; 84-05-008 (Order 51), 315-10-030, filed 2/7/84; 83-16-029 (Order 30), 315-10-030, filed 8/27/83. Statutory Authority: 1982 2nd ex.s. c 7 4. 83-03-034 (Order 10), 315-10-030, filed 1/14/83. Statutory Authority: 1982 2nd ex.s. c 7. 82-21-038 (Order 3), 315-10-030, filed 10/15/82.]

NEW SECTION

WAC 315-10-035 How do I know if I have a winning instant game ticket? Each instant ticket shall be printed with instructions clearly indicating what constitutes a winning ticket. In addition, written descriptions of winning play and prize symbol combinations shall be included in the executed working papers for the production of each game. In general, winners of an instant game are determined by the matching or specified alignment of the play symbols on the ticket. The ticket bearer must submit the winning ticket to the lottery as specified by the director. The winning ticket must be validated by the lottery through use of the validation number or any other means as specified in this chapter or by the director.

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NEW SECTION

WAC 315-10-055 How much time does a player have to redeem winning and/or grand prize drawing instant game tickets? (1) A player may submit a winning ticket for prize payment up to one hundred eighty days after the official end of game.

(2) In order to participate in a grand prize drawing in which the entry is the submittal of one or more winning or nonwinning tickets, a player must redeem and submit such a ticket or tickets within the time limits set forth in chapter 315-11 WAC governing the conduct of that specific game.

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AMENDATORY SECTION (Amending WSR 94-03-020, filed 1/7/94, effective, see WAC 315-04-180)

WAC 315-10-060 Official beginning and end of an instant ticket game. (((1))) The director shall announce the official ((end)) start date and closing date of each instant ticket game in an official lottery publication via printed or electronic media, or both. Lottery retailers shall not sell any tickets prior to the start date of a game unless expressly authorized by the director. ((A player may submit a winning ticket for prize payment up to one hundred and eighty days after the official end of game. In order to participate in a grand prize drawing in which the entry is the submittal of one or more winning or nonwinning tickets, a player must redeem and submit such a ticket or tickets within the time limits set forth in chapter 315-11 WAC governing the conduct of that specific game.

(2) A lottery retailer may continue to sell tickets for each instant game up to sixty days after the official end of that game.

(3) Return of tickets by state liquor control board outlets shall be governed by the interlocal cooperative agreement between the lottery and the state liquor control board.))

[Statutory Authority: RCW 67.70.040. 94-03-020, 315-10-060, filed 1/7/94, effective, see WAC 315-04-180; 89-09-008 (Order 115), 315-10-060, filed 4/10/89; 87-17-012 (Order 103), 315-10-060, filed 8/10/87; 86-12-002 (Order 92), 315-10-060, filed 5/22/86; 86-01-060 (Order 83), 315-10-060, filed 12/16/85; 85-09-004 (Order 72), 315-10-060, filed 4/5/85; 84-05-008 (Order 51), 315-10-060, filed 2/7/84; 84-01-004 (Order 42), 315-10-060, filed 12/8/83.]

NEW SECTION

WAC 315-10-062 May a lottery retailer continue to sell instant game tickets for a particular game after the official end of that game? A lottery retailer may continue to sell tickets for each instant game up to sixty days after the official end of that game.

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NEW SECTION

WAC 315-10-065 Return of instant game tickets by state liquor control board outlets. Return of tickets by state liquor control board outlets shall be governed by the interlocal cooperative agreement between the lottery and the state liquor control board.

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AMENDATORY SECTION (Amending Order 77, filed 7/30/85)

WAC 315-10-070 Ticket validation requirements. (1) To be a valid Washington state lottery instant game ticket, a ticket must meet all of the following validation requirements.

(a) The ticket must have been issued by the director in an authorized manner.

(b) The ticket must not be altered, unreadable, or tampered with in any manner.

(c) The ticket must not be counterfeit in whole or in part.

(d) The ticket must not be stolen nor appear on any list of omitted tickets on file with the lottery.

(e) The ticket must be complete and not blank or partially blank, miscut, misregistered, defective, or printed or produced in error.

(f) If play symbol and play symbol captions are present in the playfield, the ticket must have ((exactly)) at least one play symbol and ((exactly)) at least one play symbol caption under each ((of the rub-off spots, exactly)) play spot. These elements must be present in their entirety, legible, right-side up, and not reversed in any manner.

(g) The ticket must have at least one pack-ticket number, exactly one ((agent)) retailer verification code, and exactly one validation number. ((They)) These elements must be present in their entirety, legible, right-side up, and not reversed in any manner.

(((g))) (h) The validation number of an apparent winning ticket shall appear on the lottery's official list of validation numbers of winning tickets; and a ticket with that validation number shall not have been previously paid.

(((h))) (i) The ticket must pass all additional confidential validation requirements, if any, established by the director.

(2) The director may authorize reconstruction of an alleged winning ticket which was not received and/or cannot be located by the lottery((.)); provided, that the person requesting reconstruction submits to the lottery sufficient evidence to enable reconstruction and that they have submitted a claim for the prize, if any, for that ticket. If the reconstructed ticket is a winning ticket and meets the validation requirements contained in subsection (1) of this section and the specific validation requirements contained in the rules for its specific game, the director may authorize payment of the prize((.)); provided, that the ticket shall not be validated nor the prize paid prior to the one hundred eighty-first day following the official end of that instant game. A ticket(s) validated pursuant to this subsection shall not entitle the claimant entry into the grand prize drawing, if any, for that or any subsequent instant game.

(3) Any ticket not passing all the validation requirements in subsection (1) of this section and the specific validation requirements contained in the rules for its specific game is invalid and ineligible for any prize.

(4) The director may replace any invalid ticket with an unplayed ticket of equivalent sales price from any current instant game. In the event a defective ticket is purchased, the only responsibility or liability of the lottery shall be the replacement of the defective ticket with an unplayed ticket of equivalent sales price from any current instant game, or issue a refund of the sales price. However, if the ticket is partially mutilated or if the ticket is not intact but it still can be validated by other validation tests, the director may pay the prize for that ticket.

[Statutory Authority: RCW 67.70.040. 85-16-031 (Order 77), 315-10-070, filed 7/30/85; 84-22-047 (Order 68), 315-10-070, filed 11/7/84.]

NEW SECTION

WAC 315-10-075 How do I claim an instant game prize? Procedures for claiming instant game prizes are as follows:

(1) To claim an instant game prize of $600.00 or less the claimant either may present the apparent winning ticket to any lottery retailer regardless of where the ticket was purchased, or may present the apparent winning ticket to the lottery by mail or in person. When a retailer is presented with a claim under this section, the retailer shall verify the claim and, if acceptable, make payment of the amount due the claimant. The prizes shall be paid during all normal business hours of that retailer provided that claims can be validated on the lottery's instant ticket scanner. The retailer shall not charge the claimant any fee for payment of the prize or for cashing a business check drawn on the retailer's account.

(2) In the event the retailer cannot verify the claim, the claimant shall present a claim to the lottery by mail or in person. If the claim is validated by the lottery, a check shall be forwarded to the claimant in payment of the amount due. In the event that the claim is not validated by the director, the claim shall be denied and the claimant shall be promptly notified.

(3) To claim an instant prize of more than $600.00, the claimant shall complete a claim form, as provided in WAC 315-06-120, which is obtained from the lottery retailer or the lottery and mail or present in person the completed form together with the apparent winning ticket to the lottery. Upon validation by the director, a check shall be mailed or presented to the claimant in payment of the amount due, less any applicable federal income tax withholding and deductions pursuant to RCW 67.70.255 and WAC 315-06-125. In the event that the claim is not validated by the director, the claim shall be denied and the claimant shall be promptly notified.

(4) To claim an instant prize pursuant to WAC 315-10-070(2), the claimant shall notify the lottery of the claim and request reconstruction of the ticket not later than one hundred eighty days after the official end of that instant game. If the director authorizes reconstruction, the ticket shall not be validated nor the prize paid prior to the one hundred eighty-first day following the official end of that instant game. A ticket(s) validated pursuant to WAC 315-10-070(2) shall not entitle the claimant entry into the grand prize drawing, if any, for that or any subsequent instant game.

(5) Any ticket not passing all the validation checks specified by the director is invalid and ineligible for any prize and shall not be paid. However, the director may, solely at his or her option, replace an invalid ticket with an unplayed ticket (or tickets of equivalent sales price from any other current game). In the event a defective ticket is purchased, the only responsibility or liability of the director shall be the replacement of the defective ticket with another unplayed ticket (or tickets of equivalent sale price from any other current game).

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