The Iowa Lottery has proposed to amend the Administrative Rule relating to claiming prizes in order to clarify the requirements for claiming a prize. This amendment proposes to amend rule 531—11.1 by adopting a new subrule requiring players to sign all tickets before checking or validation. Further, the lottery has proposed to amend the Administrative Rule relating to the bearer instrument status of a ticket. This amendment proposes to amend rule 531—11.4(99G) by deleting reference to prize payment to the physical possessor of an unsigned ticket. These amendments were previously adoption by the Lottery Board and filed as emergency amendments effective March 15, 2008. At the same time the Lottery filed a Notice of Intended Action proposing the same amendments. The Lottery did this so the proposed amendments go through the normal rulemaking process which provides for public comment. These amendments will replace the emergency amendments.

The following are the changes as set out in the Administrative Bulletin:

ITEM 1: Amend rule 531—11.1 (99G) by adopting new subrule 11.1(5) as follows:
     11.1(5) The player must sign the original ticket or share prior to presenting the ticket to another party for the purpose of checking or validating the ticket. The lottery and retailers shall verify that there is a signature on any ticket(s) submitted for checking or validation.

ITEM 2: Amend rule 531-11.4(99G) as follows:
     531—11.4(99G) Ticket is a bearer instrument. A ticket is a bearer instrument until signed in the space designated on the ticket for signature if a signature space is provided. The person who signs the ticket is thereafter considered the owner of the ticket. Payment of any prize may be made to the physical possessor of an unsigned ticket or to the person whose signature appears on the ticket. All liability of the state, the lottery authority board, the lottery authority, the chief executive officer, and the employees of the lottery terminates upon payment.

This rule is intended to implement Iowa Code sections 99G.9(3), 99G.21, and 99G.31.

Amending rule to updated payment method language and require parent or guardian signature on ticket submitted by minor.

     Pursuant to the authority of Iowa Code section 99G.9(3), the Iowa Lottery Authority hereby proposes to amend Chapter 11, “Prizes,” Iowa Administrative Code.

     Chapter 11 is being amended to clarify the requirements for prize payment to minors.

     Any interested party may submit written comments concerning this proposed amendment or may submit a written request to make an oral presentation. The comments or request must include all of the following: the name, address, and telephone number of the party making the comments or request; a reference to the specific proposed amendment that is the subject of the comments or request; and the general content of a requested oral presentation.

     All comments or requests should be addressed to the Iowa Lottery Rules Administrator and should either be mailed to the Iowa Lottery Authority, 2323 Grand Avenue, Des Moines, Iowa 50312; faxed to (515)725–7861; or E–mailed to mtooman@ialottery.com. All comments or requests for oral presentations must be received by the Lottery Rules Administrator no later than May 27, 2008.

     A meeting to hear requested oral presentations is scheduled for May 28, 2008, at 10 a.m. at the Iowa Lottery headquarters. The meeting will be canceled without further notice if no oral presentations are requested.

     This amendment is intended to implement Iowa Code chapter 99G.

The following amendment is proposed.

Amend rule 531—11.6(99G) as follows:

531—11.6(99G) Prize payment to minors. If the person entitled to a prize is under the age of 18, the payment of the prize may be made by delivery of a draft payable cash or a check payable to the order of the minor or to a parent or legal guardian of the minor. Claim forms and tickets submitted by minors must be signed by a parent or legal guardian of the minor.

This rule is intended to implement Iowa Code Supplement sections 99G.9(3), 99G.21(2), 99G.30(3), and 99G.31.