PURSUANT TO THE PROVISIONS OF THE State Administrative Procedure Act, NOTICE is hereby given of the following action:
Action taken:
Amendment of Parts 2828 and 2832 of Title 21 NYCRR.
Statutory authority:
Tax Law, title 21, ch. XLIV, section 2804.6
Finding of necessity for emergency rule:
Preservation of general welfare.
Specific reasons underlying the finding of necessity:
The New York Lottery will be conducting Lucky Sum as a new feature to existing games available to New York's Numbers and Win 4 players. Game sales are scheduled to commence on or about January 29, 2007 thereby leaving insufficient time for the normal rulemaking process under SAPA § 202 to be completed. This game is necessary to assist the Lottery in reaching its project revenue target for this fiscal year. This feature is intended to improve somewhat slow revenues and will provide needed aid to education by the end of this fiscal year.
Subject:
Lucky Sum promotional game feature.
Purpose:
To add the Lucky Sum promotional game feature to current New York Lottery regulations.
Text of emergency rule:
DIVISION OF THE LOTTERY
21 NYCRR 2828 and 21 NYCRR 2832
Lucky Sum
Section 1. Section 2828.3 is amended by adding a new subdivision (h) to read as follows:
(h) Lucky Sum is a feature of New York's Numbers game. Lucky Sum shall determine winners from bet tickets by correctly matching the sum of the player's number selection against the sum of the winning numbers drawn by the Lottery for that drawing.
(1) To place a bet, a purchaser must communicate
(i) the desired game bet data to an agent pursuant to subdivision (e) of this section; and
(ii) communicate to the agent that such purchaser's desire to add a Lucky Sum wager to the normal wager, who will issue a bet ticket. Such bet ticket will reflect the sum of the numbers played by the purchaser on that wager as the additional Lucky Sum wager.
(2) Lucky Sum wagers shall not be placed with pairs wagers.
(3) Up to fifty percent of the sales from each drawing will be allocated to a prize pool for that drawing.
(4) Prize structure and odds for this feature.
Sum of Number Picked
Number of Ways to Match a Number
Expected Odds
Prize
0
1
1,000
$500.00
1
3
333
$166.00
2
6
167
$83.00
3
10
100
$50.00
4
15
67
$33.00
5
21
48
$23.50
6
28
36
$17.50
7
36
28
$13.50
8
45
22
$11.00
9
55
18
$9.00
10
63
16
$7.50
11
69
14
$7.00
12
73
14
$6.50
13
75
13
$6.50
14
75
13
$6.50
15
73
14
$6.50
16
69
14
$7.00
17
63
16
$7.50
18
55
18
$9.00
19
45
22
$11.00
20
36
28
$13.50
21
28
36
$17.50
22
21
48
$23.50
23
15
67
$33.00
24
10
100
$50.00
25
6
167
$83.00
26
3
333
$166.00
27
1
1,000
$500.00
(5) Lucky Sum bets may be purchased for a minimum of $1.00 per wager.
§ 2. Section 2832.3 is amended by adding a new subdivision (g) to read as follows:
(g) Lucky Sum is a feature of Win-4 game. Lucky Sum shall determine winners from bet tickets by correctly matching the sum of the player's number selection against the sum of the winning numbers drawn by the Lottery for that drawing.
(1) Lucky Sum wagers shall not be placed with pairs wagers.
(2) To place a bet, a purchaser must communicate:
(i) the desired game bet data to an agent pursuant to subdivision (e) of this section; and
(ii) communicate to the agent that such purchaser's desire to add a Lucky Sum wager to the normal wager, who will issue a bet ticket. Such bet ticket will reflect the sum of the numbers played by the purchaser on that wager as the additional Lucky Sum wager.
(3) Up to fifty percent of the sales from each drawing will be allocated to a prize pool for that drawing.
(4) Prize structure and odds for this feature.
Sum of Number Picked
Number of Ways to Match a Number
Expected Odds
Prize
0
1
10,000
$5,000.00
1
4
2,500
$1,250.00
2
10
1000
$500.00
3
20
500
$250.00
4
35
286
$142.00
5
56
179
$89.00
6
84
119
$60.00
7
120
83
$42.00
8
165
61
$30.00
9
220
45
$22.50
10
282
35
$17.50
11
348
29
$14.00
12
415
24
$12.00
13
480
21
$10.00
14
540
19
$9.00
15
592
17
$8.00
16
633
16
$7.50
17
660
15
$7.50
18
670
15
$7.50
19
660
15
$7.50
20
633
16
$7.50
21
592
17
$8.00
22
540
19
$9.00
23
480
21
$10.00
24
415
24
$12.00
25
348
29
$14.00
26
282
35
$17.50
27
220
45
$22.50
28
165
61
$30.00
29
120
83
$42.00
30
84
119
$60.00
31
56
179
$89.00
32
35
286
$142.00
33
20
500
$250.00
34
10
1,000
$500.00
35
4
2,500
$1,250.00
36
1
10,000
$5,000.00
(5) Lucky Sum bets may be purchased for a minimum of $1.00 per wager.
This notice is intended
to serve only as a notice of emergency adoption. This agency intends to adopt this emergency rule as a permanent rule and will publish a notice of proposed rule making in the State Register at some future date. The emergency rule will expire April 18, 2007.
Text of emergency rule and any required statements and analyses may be obtained from:
Julie B. Silverstein Barker, Acting General Counsel, Division of the Lottery, One Broadway Center, P.O. Box 7500, Schenectady, NY 12301-7500, (518) 388-3408, e-mail: jbarker@lottery.state.ny.us
Regulatory Impact Statement
1. Statutory authority: Pursuant to the authority conferred in New York State Tax Law, Section 1604[a] and the Official Compilation of Codes, Rules and Regulations of the State of New York, Title 21, Chapter XLIV, Section 2828 and 2832, the following official game rules shall take effect and shall remain in full force and effect throughout the New York Lottery's Lucky Sum as a new feature to existing games.
2. Legislative objectives: The purpose of operating Lottery games is to generate revenue for the support of education in the State. Amendment of these regulations forwards the mission of the New York State Lottery to generate revenue for education.
3. Needs and benefits: The New York Lottery has sustained competitive pressure from large jackpot lottery games in adjoining states. New Yorkers routinely travel outside the state to participate in those games. The New York Lottery's Lucky Sum, as an existing game feature, allows the New York Lottery to continue its effort to keep and enlarge its market share of players (from within New York State and those visiting New York State from other states) who participate in large jackpot lottery games. The New York Lottery's Lucky Sum as a new feature to existing games is anticipated on a full annual basis, to bring in more than $53.9 million in revenue to benefit education in the State.
4. Costs:
a. Costs to regulated parties for the implementation and continuing compliance with the rule: None.
b. Costs to the agency, the State, and local governments for the implementation and continuation of the rule: No additional operating costs are anticipated, since funds originally appropriated for the expenses of operating the existing lottery games are expected to be sufficient to support this new game.
c. Sources of cost evaluations: The foregoing cost evaluations are based on the New York State Lottery's experience in operating State Lottery games for more than 30 years.
5. Local government mandates: None.
6. Paperwork: There are no changes in paperwork requirements. Game feature brochures will be issued by the New York State Lottery for public convenience at retailer locations free of charge.
7. Duplication: None
8. Alternatives: The alternative to adding New York Lottery's Lucky Sum as an existing game feature is not to proceed and forfeit the investment already made by the New York State Lottery for the game feature. The failure to proceed will also result in lost revenue to education that is anticipated to be earned.
9. Federal standards: None.
10. Compliance schedule: None.
Regulatory Flexibility Analysis, Rural Area Flexibility Analysis, Job Impact Statement
The proposal does not require a Regulatory Flexibility Statement, Rural Flexibility Statement or Job Impact Statement. There will be no adverse impact on jobs, rural areas, small business or local governments.