ARC 8354C

ARC 8354C

Proposing rulemaking related to drawings and contests
and providing an opportunity for public comment

A Regulatory Analysis for this rulemaking was published in the Iowa Administrative Bulletin on September 18, 2024. A public hearing was held on the following date(s):

●October 8, 2024

No public comments on the Regulatory Analysis were received at the hearing or in writing. No changes have been made to the text after the Regulatory Analysis publication. The Administrative Rules Coordinator provided preclearance for publication of this Notice of Intended Action onOctober 9, 2024.

Any persons who intend to attend a public hearing and have special requirements, such as those related to hearing or mobility impairments, should contact the Department and advise of specific needs.

ITEM 1.Adopt the following new701—Chapter 1107:

CHAPTER 1107

DRAWINGS AND CONTESTS

701—1107.1(99G) Authorization of drawings and contests. The lottery commission authorizes drawings and contests that meet the criteria set forth in this chapter.

This rule is intended to implement Iowa Code section 99G.9(2).

701—1107.2(99G) Definitions.

“Contest” means a lottery event that may involve nonwinning tickets in which entries are selected as winners and prizes are valued at a total of $5,000 or less.

“Drawing” or “second-chance drawing” means a lottery event involving a random selection of an entry or entries for a prize in which entrants may either use a nonwinning Iowa lottery ticket as an entry or, at the lottery division’s discretion, may enter the drawing using points earned from entering tickets through the Internet or an entry through an alternative method for which a purchase is not necessary.

“Nonwinning ticket” means a ticket that did not win in the original game for which it was printed.

“Presentation” means entering the ticket into a drawing or contest as permitted by the rules of the drawing or the description of the contest.

This rule is intended to implement Iowa Code sections 99G.9(2) and 99G.21.

701—1107.3(99G) Price for drawings or contests. There is no cost to enter a drawing or contest beyond the original ticket price already paid. At the lottery division’s discretion, certain drawings may be designated as accepting entries with a designated number of points earned by entry of nonwinning tickets through the lottery division’s customer loyalty program or by another lottery-approved method.

This rule is intended to implement Iowa Code sections 99G.9(2) and 99G.21.

701—1107.4(99G) Method of play. Contest or drawing winners may be determined from a computer-generated list of all the entries submitted during the eligibility period or by another method approved by the lottery division. The secure drawing system generates a list of winning entry numbers based on the prize levels. Alternates are drawn as determined by the lottery division. Other methods of choosing a winning entry may be determined by the lottery division and, if utilized, will be set forth in the specific drawing rules or contest description. The lottery division will post written contest rules informally at any contest event.

This rule is intended to implement Iowa Code sections 99G.9(2) and 99G.21.

701—1107.5(99G) Prizes.

1107.5(1) The number and amount of prizes for a drawing or contest shall be determined by the lottery division and set forth in the specific drawing rules or contest description.

1107.5(2) At the lottery division’s discretion, a drawing or contest may include a special prize event. The number of prizes, the amount of each prize, the dates and times of the contests or drawings, as well as the procedures for conducting elimination drawings or prize events, are determined by the lottery division and set forth in the specific drawing rules or contest description. Finalists for prize events are selected in the manner stated in the specific drawing rules or contest description.

This rule is intended to implement Iowa Code sections 99G.9(2), 99G.21, and 99G.31.

701—1107.6(99G) Disclosure of odds. Because odds will vary based on the number of entrants in each contest or drawing, odds are not posted.

This rule is intended to implement Iowa Code sections 99G.9(2) and 99G.21.

701—1107.7(99G) Claiming prizes. The specific drawing rules or contest description will set forth the manner in which prizes won should be claimed. If an individual prize is greater than $600 or at the lottery division’s discretion, a player will fill out a claim form.

This rule is intended to implement Iowa Code sections 99G.9(2), 99G.21, and 99G.31.

701—1107.8(99G) Entry validation requirements. A valid entry is a legally acquired nonwinning lottery ticket identified as an entry for the particular drawing or contest. At its discretion, the lottery division may include legally obtained winning and nonwinning Iowa lottery online tickets in drawings and contests.

This rule is intended to implement Iowa Code sections 99G.9(2), 99G.21, and 99G.31.

701—1107.9(99G) Owner of a ticket. The lottery division pays prizes in an Internet-based drawing or contest only to persons who present the selected tickets by entering them into the drawing through the online entry form or other entry mechanism. Players should sign the original ticket to prevent entry of the ticket by another party into the drawings or contests. The signature on the ticket indicates the owner of the ticket. If no signature is present on the ticket, the owner of the ticket is the possessor of the ticket. If there is a question as to the ownership of a ticket, the lottery division will make a determination as to whether and to whom a prize will be awarded, and the lottery division’s determination is binding on all participants in the drawing or contest. A player who wishes to challenge a determination by the lottery division under this rule may request a contested case proceeding as described in 701—Chapter 6.

This rule is intended to implement Iowa Code sections 99G.9(2), 99G.21, and 99G.31.

701—1107.10(99G) Official end of drawing or contest period. The lottery division announces the end of any drawing or contest period.

This rule is intended to implement Iowa Code sections 99G.9(2), and 99G.21.