48:01:01:01. Definitions. Terms used in this article are defined as follows:
(1) "Bar code," an array of rectangular marks and spaces used for electronic ticket identification and validation;
(2) "Chain," a group of two or more retail establishments that are owned, leased, or otherwise controlled by one retailer or entity;
(3) "Commission," the South Dakota Lottery Commission;
(4) "Lottery," the executive director and the employees of the South Dakota Lottery;
(5) "Pack," a series of tickets printed for a particular game bearing a common combination of characters that identify the pack-ticket number;
(6) "Pack-ticket number," a combination of characters printed on the ticket which identify the ticket within the pack;
(7) "Player," a participant in an instant game;
(8) "Play areas," the rub-off areas covered with latex on the front of a ticket;
(9) "Play symbols," the symbols that appear under the play areas on the front of a ticket;
(10) "Play symbol caption," the small, printed material beneath each play symbol under each play area on the front of a ticket, which spells out completely or in abbreviated form the play symbol;
(11) "Retailer," a person or entity authorized by the lottery to sell instant game tickets;
(12) "Retailer validation code," the multiletter code that may appear among the play symbols under the play areas on the front of the tickets in varying locations used by retailers to verify instant winners of one hundred dollars or less;
(13) "Ticket," a South Dakota instant game ticket;
(14) "Ticket number," the designated digits of the pack-ticket number identifying a specific ticket; and
(15) "Validation number," the unique characters covered with latex on the front of a ticket.
Source: 14 SDR 53, effective October 11, 1987; 17 SDR 51, effective October 8, 1990; 18 SDR 117, effective January 12, 1992; 20 SDR 166, effective April 12, 1994; 36 SDR 215, effective July 1, 2010; 39 SDR 100, effective December 5, 2012; 51 SDR 55, effective November 18, 2024.
General Authority: SDCL 42-7A-21.
Law Implemented: SDCL 42-7A-21.
CHAPTER 48:01:02
INSTANT LOTTERY RETAILERS
Section
48:01:02:01 Retailer's license application and renewal -- Fee.
48:01:02:02 Sales by lottery directly.
48:01:02:03 to 48:01:02:05 Repealed.
48:01:02:05.01 Notification of change of address or ownership interest.
48:01:02:06 Criteria for suspension or cancellation of retailer's contract.
48:01:02:07 Hearing on suspension or cancellation of retailer's contract.
48:01:02:08 Ticket sales prohibited after contract ended -- Final accounting.
48:01:02:09 Repealed.
48:01:02:10 Inspections.
48:01:02:11 Communication fees and credits.
48:01:02:01. Retailer's license application and renewal -- Fee. Any person selling instant and on-line tickets must be licensed for each retail location where sales occur. The application fee for a person applying to be licensed as an instant and on-line lottery retailer is one thousand two hundred dollars for each location. If the executive director does not approve a license, the executive director may return all or a portion of the application fee. No fee may be refunded after the date any lottery equipment is installed at the retailer's location. A retailer's license must be renewed annually by October thirtieth. The annual renewal fee is one hundred fify dollars and is waived in the first year the license is issued.
Source: 14 SDR 53, effective October 11, 1987; 17 SDR 51, effective October 8, 1990; 20 SDR 166, effective April 12, 1994; 36 SDR 215, effective July 1, 2010; 51 SDR 55, effective November 18, 2024.
General Authority: SDCL 42-7A-21(7)(16)(17).
Law Implemented: SDCL 42-7A-4(1)(4), 42-7A-11, 42-7A-21.
48:01:02:03. Off-premise location.Repealed.
Source: 14 SDR 53, effective October 11, 1987; repealed, 17 SDR 51, effective October 8, 1990.
48:01:02:04. Term of contract.Repealed.
Source: 14 SDR 53, effective October 11, 1987; repealed, 17 SDR 51, effective October 8, 1990.
48:01:02:05. Renewal of contract.Repealed.
Source: 14 SDR 53, effective October 11, 1987; repealed, 17 SDR 51, effective October 8, 1990.
48:01:02:05.01. Notification of change of address or ownership interest. A retailer must notify the lottery 30 days in advance of a change of address of the business location or change of ownership interest in the business of any person defined in SDCL 42-7A-15 and 42-7A-16.
Source: 17 SDR 51, effective October 8, 1990.
General Authority: SDCL 42-7A-4, 42-7A-21.
Law Implemented: SDCL 42-7A-4, 42-7A-11, 42-7A-15, 42-7A-16, 42-7A-21.
48:01:02:06. Criteria for suspension or cancellation of retailer's contract. The executive director may suspend or cancel a retailer's contract for any one or more of the following reasons:
(1) If the retailer's application for a contract contains false or misleading information;
(2) If the retailer violates any of the provisions of SDCL 42-7A or this article;
(3) If the retailer's business address is changed without notifying the lottery;
(4) If the retailer does not display lottery point-of-sale material in a manner which is readily seen by and available to the public;
(5) If the retailer does not make the purchase of tickets convenient and readily accessible to the public;
(6) If the retailer fails to meet minimum sales goals established by this lottery;
(7) If the retailer fails to display instant tickets in dispensers as provided by the lottery;
(8) If the retailer fails to pay all winning tickets of $100 or less;
(9) If a statement, representation, warranty, or certification made or furnished by the retailer to the lottery is determined by the lottery to be false, incorrect, or incomplete;
(10) If the retailer fails to participate in the automated instant ticket validation program;
(11) If the retailer fails to make timely payment of billings for instant tickets;
(12) If the retailer is unable or unwilling to pay its debts or is adjudged bankrupt; or
(13) If the retailer, any one of its stockholders holding five percent or more of any class of its stock or securities, a director, officer, managerial employee, or other person directly or indirectly controlling or operating the retailer's business is indicted for, charged with, or convicted of a felony or any crime involving moral turpitude or gambling or is the subject of any order, judgment, or decree of any federal or state authority barring, suspending, revoking, or otherwise limiting the right of the retailer or individual to engage in any business, practice or activity.
Source: 14 SDR 53, effective October 11, 1987; 17 SDR 51, effective October 8, 1990; 20 SDR 166, effective April 12, 1994; 39 SDR 100, effective December 5, 2012.
General Authority: SDCL 42-7A-4(1)(4), 42-7A-21(3)(5)(6)(7)(14)(16)(17).
Law Implemented: SDCL 42-7A-4(1)(4), 42-7A-14, 42-7A-15, 42-7A-16, 42-7A-21(3)(5)(6)(7)(14)(16)(17).
48:01:02:07. Hearing on suspension or cancellation of retailer's contract. A hearing regarding the proposed suspension or cancellation of a retailer's contract shall be conducted by the commission in accordance with the contested case provisions of SDCL chapter 1-26. If requested by the retailer, the hearing shall be accelerated when further delivery of tickets has been withheld by the executive director.
Source: 14 SDR 53, effective October 11, 1987; 17 SDR 51, effective October 8, 1990; 39 SDR 100, effective December 5, 2012.
General Authority: SDCL 42-7A-4(1)(4), 42-7A-21(3)(5)(6)(7)(14)(16)(17).
Law Implemented: SDCL 1-26-27, 42-7A-4(1)(4), 42-7A-21(3)(5)(6)(7)(14)(16)(17).
48:01:02:08. Ticket sales prohibited after contract ended -- Final accounting. No sales may be made by a retailer from the date of receipt of a notice of suspension or cancellation of the contract.
Source: 14 SDR 53, effective October 11, 1987; 17 SDR 51, effective October 8, 1990; 39 SDR 100, effective December 5, 2012.
General Authority: SDCL 42-7A-4(1)(4), 42-7A-21(16)(17).
Law Implemented: SDCL 42-7A-4(1)(4), 42-7A-21(16)(17).
48:01:02:09. Display of promotional material -- Seasonal retailers. Repealed.
Source: 14 SDR 53, effective October 11, 1987; 17 SDR 51, effective October 8, 1990; repealed, 39 SDR 100, effective December 5, 2012.
48:01:02:10. Inspections. All retailers must allow inspections during normal business hours by authorized representatives of the lottery to determine compliance with the provisions of SDCL 42-7A and this article.
Source: 14 SDR 53, effective October 11, 1987.
48:01:02:11. Communication
fees and credits. A retailer selling instant and on-line tickets shall be
assessed a weekly charge of $12.93 for communication fees. Any retailer selling
$5,000 or more in instant tickets in a single quarter shall be credited 13
weeks of communication fees ($168.09) at the end of that quarter. A retailer
who is part of a chain in which the chain's per store average is $6,000 or more
in instant ticket sales in a single quarter shall be credited 13 weeks of
communication fees ($168.09) at the end of that quarter.
Any retailer licensed prior to July 1,
2010, is exempt from the communications fees established by this section.
Source:
36 SDR 215, effective July 1, 2010.
General
Authority: SDCL 42-7A-4(1) and (4), 42-7A-21(7), (8), and (17).
Law
Implemented: SDCL 42-7A-4(1) and (4), 42-7A-10, 42-7A-11, 42-7A-21(7), (8), and (17), 42-7A-22.
CHAPTER 48:01:03
INSTANT LOTTERY TICKETS
Section
48:01:03:01 Ticket distribution.
48:01:03:02 Ticket sales price.
48:01:03:03 Tickets to be sold in pack order.
48:01:03:04 Payment of bill for lottery tickets.
48:01:03:05 Ticket commission.
48:01:03:06 Incentive programs.
48:01:03:07 Purchase of ticket is compliance agreement.
48:01:03:08 Ticket sales final.
48:01:03:09 Ticket exchange prohibited.
48:01:03:10 Unaccounted tickets.
48:01:03:11 Lost or stolen tickets.
48:01:03:01. Ticket distribution. Tickets for each instant lottery game shall be distributed to retailers in the following manner:
(1) The lottery shall deliver the initial ticket inventory to the retailer. Retail sales of each instant game may begin upon delivery of the tickets to the retailer;
(2) Following the initial delivery of tickets for each game, the lottery may distribute additional tickets to each retailer. The lottery may market multiple instant games simultaneously;
(3) The quantity of tickets to be supplied for initial and additional ticket deliveries shall be determined by the executive director based on the following:
(a) The market served by the retailer;
(b) The number of retailers serving the same market;
(c) Previous ticket sales by the retailer;
(d) The quantity of unsold tickets in the retailer's and lottery's possession;
(e) Scheduled special promotions or community activities; and
(f) The length of time remaining for the current game.
At the conclusion of each game, the lottery may collect all unsold tickets in the possession of each retailer. The lottery shall credit to the retailer the price paid for all full packs of unsold tickets. Credit for returns of partial packs of unsold tickets must be authorized by the executive director.
Source: 14 SDR 53, effective October 11, 1987; 17 SDR 51, effective October 8, 1990; 20 SDR 166, effective April 12, 1994.
48:01:03:03. Tickets to be sold in pack order. Retailers shall sell tickets in pack order.
Source: 14 SDR 53, effective October 11, 1987; 39 SDR 100, effective December 5, 2012.
General Authority: SDCL 42-7A-4(1)(4), 42-7A-21(6)(17).
Law Implemented: SDCL 42-7A-4(1)(4), 42-7A-21(6)(17).
48:01:03:04. Payment of bill for lottery tickets. Upon receipt of the billing, a retailer shall pay the lottery in full for tickets sold by the retailer. The retailer shall remit payment to the lottery by electronic transfer of funds.
The retailer shall establish an account with a financial institution capable of receiving and processing electronic funds transfers. The retailer shall furnish the lottery all information and bank authorizations required to facilitate the timely payment of money due the lottery. The retailer must provide the lottery 14 days advance notice of any proposed account changes to ensure the uninterrupted electronic transfer of funds. The lottery shall withdraw the amount due the lottery from the retailer's account by means of electronic funds transfer on a day specified by the lottery. If the day specified for withdrawal falls on a federal or state holiday, withdrawal shall take place on the following business day.
The retailer shall maintain a balance in the account that is sufficient to cover the amount due the lottery. The lottery may withhold further delivery of tickets to a retailer or may require an accelerated payment schedule if a retailer's payment is late or the account has insufficient funds to satisfy the amount due the lottery.
Source: 14 SDR 53, effective October 11, 1987; 19 SDR 62, effective October 27, 1992; 20 SDR 166, effective April 12, 1994.
General Authority: SDCL 42-7A-8(9), 42-7A-21.
Law Implemented: SDCL 42-7A-8(9), 42-7A-21
48:01:03:05. Ticket commission. A retailer shall receive a commission of five percent of the sales price of each ticket sold.
Source: 14 SDR 53, effective October 11, 1987; 18 SDR 117, effective January 12, 1992; 20 SDR 166, effective April 12, 1994.
General Authority: SDCL 42-7A-21.
Law Implemented: SDCL 42-7A-21
48:01:03:06. Incentive programs. Any game may include a retailer incentive program. The incentive shall not exceed one percent of gross sales.
The formula used to determine incentives shall be the same for all participating retailers in a particular game and shall be published and provided to all retailers selling that game. Incentives may be paid in either cash or merchandise.
Source: 14 SDR 53, effective October 11, 1987; 18 SDR 117, effective January 12, 1992.
General Authority: SDCL 42-7A-21.
Law Implemented: SDCL 42-7A-21
48:01:03:10. Unaccounted tickets. Tickets that cannot be accounted for by a retailer, regardless of the reason, are the responsibility of the retailer. If a retailer claims that unaccounted tickets were stolen or lost, the retailer may request an investigation of the claim. The executive director shall hold prize money in escrow pending findings of an investigation when a claimed ticket for a prize is among those reported stolen or lost by a retailer. The executive director may request a player to disclose the retailer who sold the winning ticket and may withhold award of the prize until disclosure and verification is made.
Source: 14 SDR 53, effective October 11, 1987.
General Authority: SDCL 42-7A-21.
Law Implemented: SDCL 42-7A-21
CHAPTER 48:01:04
INSTANT LOTTERY GAMES
Section
48:01:04:01 Types of instant games and selection of winning tickets.
48:01:04:02 Publication of printed promotional material.
48:01:04:03 Unplayable portions of ticket.
48:01:04:04 Ticket play to be by chance.
48:01:04:05 Ticket validation requirements.
48:01:04:06 Replacement of invalid or defective ticket.
48:01:04:07 Deadline for claiming prizes.
48:01:04:08 Entry in instant game drawing process.
48:01:04:09 Procedure for instant game drawings.
48:01:04:10 Highest instant prize to be paid.
48:01:04:11 Procedure for claiming prize of $100 or less.
48:01:04:12 Procedure for claiming prize of more than one hundred dollars.
48:01:04:13 Acceleration of payment prohibited.
48:01:04:14 Replacement of disputed ticket.
48:01:04:15 Ownership of ticket -- Payment of prize.
48:01:04:16 Prizes claimed in error.
48:01:04:16.01 Disclosure of winner.
48:01:04:17 End of game.
48:01:04:01. Types of instant games and selection of winning tickets. The instant game is played by scratching the latex covering off the front of a ticket to expose the play symbols underneath. Instant games shall use one of the following methods to select winning tickets:
(1) Match three play symbols;
(2) Match two play symbols and have a third prescribed play symbol;
(3) Match three play symbols or match two play symbols and have a third prescribed play symbol;
(4) Add a series of numeric play symbols to arrive at a sum and match that sum with a prescribed number or value;
(5) Add a series of numeric play symbols to arrive at a sum and match that sum with another play symbol;
(6) Add a series of numeric play symbols to arrive at a sum and exceed a prescribed number or value;
(7) Add a series of numeric play symbols to arrive at a sum and exceed another play symbol;
(8) Add a series of numeric play symbols or play symbols having a given numeric value to arrive at a sum and exceed a sum arrived at by adding another series of numeric play symbols or play symbols having a given numeric value;
(9) Find a sequence of numbers or play symbols in a prescribed order;
(10) Collect a series of prescribed play symbols; and
(11) Find a number or symbol within a prescribed range of numbers or symbols.
Source: 14 SDR 53, effective October 11, 1987; 17 SDR 51, effective October 8, 1990; 20 SDR 166, effective April 12, 1994.
General Authority: SDCL 42-7A-21.
Law Implemented: SDCL 42-7A-21
48:01:04:02. Publication of printed promotional material. The executive director shall publish printed promotional material or have printed on the ticket for each instant game information which includes the following:
(1) The number of play areas;
(2) The number and type of play symbols and play symbol captions;
(3) The method of determining winning tickets;
(4) The types of prizes;
(5) The odds of winning; and
(6) The method of redeeming winning prizes.
Source: 14 SDR 53, effective October 11, 1987; 17 SDR 51, effective October 8, 1990; 39 SDR 100, effective December 5, 2012.
General Authority: SDCL 42-7A-8(8), 42-7A-21(2)(3)(4)(17).
Law Implemented: SDCL 42-7A-8(8), 42-7A-21(2)(3)(4)(17).
48:01:04:03. Unplayable portions of ticket. Any portion of a ticket which contains extraneous matter that is not part of the ticket's design or any flaw which renders the ticket unreadable is considered to be unplayable.
Source: 14 SDR 53, effective October 11, 1987; 39 SDR 100, effective December 5, 2012.
General Authority: SDCL 42-7A-4(1), 42-7A-21(2)(4)(17).
Law Implemented: SDCL 42-7A-4(1), 42-7A-21(2)(4)(17).
48:01:04:05. Ticket validation requirements. To be a valid ticket, all requirements unique to a particular instant game and all of the following requirements must be met:
(1) Play symbols, play symbol captions, the retailer validation code, and the validation number must be printed on the ticket in gray-black ink;
(2) The pack-ticket number must be printed on the ticket;
(3) Only one play symbol may appear under each play area;
(4) Only one play symbol caption may appear under each play area and beneath each play symbol;
(5) Only one validation number may appear on the front of each ticket;
(6) Exactly one play symbol must appear under each of the play areas on the front of the ticket;
(7) Each of the play symbols must have a play symbol caption underneath, and each play symbol must agree with its play symbol caption;
(8) Each of the play symbols must be present in its entirety and be fully legible;
(9) Each of the play symbol captions must be present in its entirety and be fully legible;
(10) The ticket must be intact;
(11) The pack-ticket number, retailer validation code, bar code, and validation number must correspond to the lottery's codes and all validation requirements for determining a winning ticket;
(12) No ticket may have a hole punched through the play area or be mutilated, altered, unreadable, reconstituted, or tampered with in any manner;
(13) No ticket may be counterfeit in whole or in part;
(14) The ticket must have been issued by the lottery in a manner authorized by SDCL chapter 42-7A and this title;
(15) No ticket may be stolen or appear on any list of omitted tickets on file at the lottery;
(16) The play symbols, the play symbol captions, the retailer validation code, the pack ticket number, and the validation number must be right-side-up and not reversed in any manner;
(17) The ticket must be complete and not miscut and must have the appropriate bar codes, exactly one pack-ticket number, one validation number, one retailer validation code, and the specified number of play symbols, with confirming play symbol captions;
(18) The validation number of an apparent winning ticket must appear on the lottery's official list of validation numbers of winning tickets, and a ticket with that validation number may not have been previously paid;
(19) No ticket may be blank or partially blank, misregistered, defective, or printed or produced in error;
(20) Each of the play symbols and play symbol captions, the pack-ticket number, the retailer validation code, the bar codes, and the validation number on the ticket must correspond precisely to the executed working papers corresponding to that instant game on file at the state lottery office;
(21) The display printing on the ticket must be regular in every respect and correspond precisely to the executed working papers corresponding to that instant game on file at the state lottery office; and
(22) The ticket must pass all additional confidential validation tests of the lottery.
Source: 14 SDR 53, effective October 11, 1987; 17 SDR 51, effective October 8, 1990; 20 SDR 166, effective April 12, 1994; 39 SDR 100, effective December 5, 2012.
General Authority: SDCL 42-7A-4(1)(4), 42-7A-21(2)(4)(17).
Law Implemented: SDCL 42-7A-4(1)(4), 42-7A-21(2)(4)(17).
48:01:04:06. Replacement of invalid or defective ticket. Any ticket not passing all the validation requirements unique to a particular instant game and those listed in § 48:01:04:03 is void and no prize may be paid. The executive director may, at the executive director's option, replace an invalid ticket with an unplayed ticket in that instant game or a ticket of equivalent sales price from any other current instant game. If a defective ticket is purchased, the only responsibility or liability of the lottery commission or executive director is the replacement of the defective ticket with another unplayed ticket in that instant game or a ticket of equivalent sales price from any other current instant game. This is the sole remedy of a player.
Source: 14 SDR 53, effective October 11, 1987; 17 SDR 51, effective October 8, 1990; 39 SDR 100, effective December 5, 2012.
General Authority: SDCL 42-7A-21(2)(3)(4)(17).
Law Implemented: SDCL 42-7A-21(2)(3)(4)(17).
48:01:04:07. Deadline for claiming prizes. All instant game prizes must be claimed within 180 days of the announced end of the game or, in the case of a drawing prize, within 180 days after the drawing in which the prize was won. Any prize not claimed within the 180 days is forfeited.
Source: 14 SDR 53, effective October 11, 1987.
General Authority: SDCL 42-7A-21.
Law Implemented: SDCL 42-7A-21
48:01:04:08. Entry in instant game drawing process. Any instant game may include a drawing process in which cash or merchandise prizes are awarded. The means of entering and the prizes to be awarded shall be published in promotional material for the game.
Nonconforming and invalidated entries shall be disqualified.
Source: 14 SDR 53, effective October 11, 1987; 17 SDR 51, effective October 8, 1990.
General Authority: SDCL 42-7A-21.
Law Implemented: SDCL 42-7A-21
48:01:04:09. Procedure for instant game drawings. Instant game drawing winners shall be randomly selected pursuant to the drawing procedures approved by the executive director, which shall include the following:
(1) The time and place of the drawing;
(2) The number of drawings and prizes awarded;
(3) The form of entry;
(4) The type of drawing equipment;
(5) The appointment of a drawing manager and security official to examine, test, secure, and operate the drawing equipment;
(6) The random selection of preliminary and final entries;
(7) The appointment of a drawing auditor to oversee that all rules and drawing requirements are met;
(8) The electronic recording of the drawings; and
(9) The written certification to the executive director of winning entries and drawing requirements.
Source: 14 SDR 53, effective October 11, 1987; 17 SDR 51, effective October 8, 1990; 39 SDR 100, effective December 5, 2012.
General Authority: SDCL 42-7A-21(1)(2)(4)(17).
Law Implemented: SDCL 42-7A-21(1)(2)(4)(17).
48:01:04:11. Procedure for claiming prize of $100 or less. To claim an instant game cash prize of $100 or less, a player must either present the winning ticket to any instant game retailer or mail or hand deliver the winning ticket to the lottery. The retailer shall verify the claim and, if valid, pay the amount due to the player. The retailer shall physically void the ticket. If the retailer does not verify the claim, the player shall fill out a claim form obtained from the retailer and present the completed form, together with the disputed ticket, to the lottery for validation. If the claim is validated by the lottery, a check in the amount due shall be forwarded to the player. If the claim is not validated by the lottery, the claim shall be denied and the player shall be notified of the denial.
Source: 14 SDR 53, effective October 11, 1987; 20 SDR 166, effective April 12, 1994.
General Authority: SDCL 42-7A-21.
Law Implemented: SDCL 42-7A-21
48:01:04:12. Procedure for claiming prize of more than one hundred dollars. To claim an instant game prize of:
(1) More than five thousand and one dollars or any noncash prize, a player shall complete the back of the winning ticket and fill out a claim form obtained from any retailer and either mail or hand deliver the completed form, together with the winning ticket, to the lottery for validation; or
(2) More than one hundred dollars but less than five thousand and one dollars, the claimant shall either:
(a) Use an electronic device to either scan the barcode on the ticket, or enter the ticket information as instructed by the lottery; or
(b) Complete the back of the winning ticket and fill out a claim form obtained from any retailer and either mail or hand deliver the completed form, together with the winning ticket, to the lottery for validation.
If the lottery determines that the ticket is a winning ticket, the lottery must process payment for the payment due, less any withholding required by federal laws and SDCL 42-7A-52. If the ticket is not a winning ticket, the lottery must deny the claim and the claimant must be promptly notified.
Source: 14 SDR 53, effective October 11, 1987; 20 SDR 166, effective April 12, 1994; 51 SDR 55, effective November 18, 2024.
General Authority: SDCL 42-7A-21.
Law Implemented: SDCL 42-7A-21, 42-7A-23.
48:01:04:13. Acceleration of payment prohibited. The payment of prize money may not be accelerated before its normal date of payment except in the event of the death of a prize winner during the annuity payment period. The commission, in its sole discretion and upon the petition of the estate of the prize winner, may accelerate the payment of all remaining prize proceeds to the estate. If the commission approves the request, the securities or cash, or both, held for the deceased prize winner which represents the present value of the portion of the future prize payments to be accelerated shall be distributed to the estate. The commission is solely responsible for the valuation of the securities and determination of the present value of the accelerated prize payment.
Source: 14 SDR 53, effective October 11, 1987; 39 SDR 100, effective December 5, 2012.
General Authority: SDCL 42-7A-21(3)(17).
Law Implemented: SDCL 42-7A-21(3)(17).
48:01:04:14. Replacement of disputed ticket. If a winning ticket for an instant game bearing the player's signature in the area designated is not validated by the executive director and the invalidation is disputed by the player, the only remedy for the player is the replacement by the executive director, at the option of the executive director, of the disputed ticket with an unplayed instant game ticket from that instant game or a ticket of equivalent sales price from any other current instant game.
Source: 14 SDR 53, effective October 11, 1987.
General Authority: SDCL 42-7A-21.
Law Implemented: SDCL 42-7A-21
48:01:04:15. Ownership of ticket -- Payment of prize. Until a signature is placed on the back of a ticket in the space designated, the ticket is owned by the physical possessor of the ticket. When a signature is placed on the back of a ticket in the space designated, the player whose signature appears in that area is the owner of the ticket and is entitled to any prize attributable to the ticket. Regardless of the name or names submitted on a claim form, the executive director may only pay the prize to the player whose signature appears on the back of the ticket in the space designated. If more than one signature appears on the back of the ticket, the executive director may only pay the prize to the player who is designated to receive payment by a release signed by all of the players whose names are signed on the back of the ticket in the space designated.
When a player submits a claim for a cash prize by electronic device, the player represents to the lottery that the player is entitled to claim the prize, that there are no other claims to the prize, and that the player is not prohibited by law from purchasing a lottery ticket or being paid a lottery prize. A false representation is a violation of this section and may result in civil fines pursuant to SDCL subdivision 43-7A-4(12).
Source: 14 SDR 53, effective October 11, 1987; 51 SDR 55, effective November 18, 2024.
General Authority: SDCL 42-7A-21.
Law Implemented: SDCL 42-7A-4(12), 42-7A-21, 42-7A-23, 42-7A-33, 42-7A-34.
48:01:04:16. Prizes claimed in error. The lottery commission and executive director are not responsible for instant game tickets claimed by a player in error for a lower prize paid by a retailer.
Source: 14 SDR 53, effective October 11, 1987.
General Authority: SDCL 42-7A-21.
Law Implemented: SDCL 42-7A-21
48:01:04:16.01. Disclosure of winner. The lottery may publish the name, city, state of residence, and prize amount of instant game winners.
Source: 20 SDR 166, effective April 12, 1994; 30 SDR 52, effective October 28, 2003.
General Authority: SDCL 42-7A-21(17).
Law Implemented: SDCL 42-7A-21(17).
48:01:04:17. End
of game. The executive director at any time may publicly announce an ending
date for an instant game by posting notice at each of the lottery validation
centers and publishing notice in the South
Dakota Register. No further tickets in that game may be sold after the
ending date. An instant game may be ended by the executive director because of
marketing conditions or security breaches.
Source:
14 SDR 53, effective October 11, 1987.
General
Authority: SDCL 42-7A-21.
Law
Implemented: SDCL 42-7A-21
NOTE:
The South Dakota Register is
published weekly by the Legislative Research Council. Subscriptions run from
July 1 of one year to June 30 of the next. A subscription is $25 a year and may
be ordered by mailing a check to the Legislative Research Council, State
Capitol, 500 East Capitol, Pierre, South Dakota 57501. Checks should be made
payable to the "State of South Dakota". Information from the Register
is also available free of charge on the Internet at http://legis.state.sd.us/.
CHAPTER 48:01:05
INSTANT LOTTERY TICKET SALES ON INDIAN RESERVATIONS
Section
48:01:05:01 Sale of instant game tickets on Indian reservations authorized.
48:01:05:02 Payment to tribal governments.
48:01:05:03 Accounting records made available.
48:01:05:04 Transfer of funds.
48:01:05:05 Retailer's license application and renewal on Indian reservations -- Fee.
48:01:05:06 Communication fees and credits.
48:01:05:01. Sale of instant game tickets on Indian reservations authorized. Lottery tickets for instant games may be sold within the exterior boundaries of Indian reservations in the state. The sale and distribution of instant game tickets is subject to the provisions of SDCL chapter 42-7A and this article and the terms of the compacts made between the respective tribal governments and the state pursuant to the authority contained in the federal Indian Gaming Regulatory Act, 25 U.S.C. § 2710(3)(A) (1988).
Source: 17 SDR 51, effective October 8, 1990.
General Authority: SDCL 42-7A-19.1, 42-7A-21, 42-7A-49.
Law Implemented: SDCL 42-7A-19.1.
Note: Executed state-tribal compacts under the federal Indian Gaming Regulatory Act are filed with the Secretary of State.
48:01:05:02. Payment to tribal governments. The lottery shall pay each tribal government 50 percent of the state's net proceeds as defined in SDCL 42-7A-24 from the sale of instant lottery tickets within the exterior boundaries of its reservation.
Source: 17 SDR 51, effective October 8, 1990.
General Authority: SDCL 42-7A-19.1, 42-7A-21, 42-7A-49.
Law Implemented: SDCL 42-7A-19.1.
48:01:05:03. Accounting records made available. The lottery shall make available to each tribal government an accounting of instant lottery ticket sales within the exterior boundaries of its reservation. The lottery shall remit to the tribal governments only the funds specified in § 48:01:05:02. The lottery shall hold the funds in an escrow account on behalf of the respective tribal governments and transfer them each year in accordance with the provisions of SDCL 42-7A-24.
Source: 17 SDR 51, effective October 8, 1990.
General Authority: SDCL 42-7A-21, 42-7A-49.
Law Implemented: SDCL 42-7A-19.1, 42-7A-24.
48:01:05:04. Transfer of funds. The lottery shall transfer funds from the sale of instant lottery tickets held in escrow beginning July 1, 1989, to the person or entity designated in the agreement negotiated between each tribal government and the state under § 48:01:05:01.
Source: 17 SDR 51, effective October 8, 1990.
General Authority: SDCL 42-7A-19.1, 42-7A-21, 42-7A-49.
Law Implemented: SDCL 42-7A-19.1.
Note: Executed state-tribal compacts under the federal Indian Gaming Regulatory Act are filed with the Secretary of State.
48:01:05:05. Retailer's
license application and renewal on Indian reservations -- Fee. Any person
selling instant tickets within the exterior boundaries of an Indian reservation
in the state must be licensed. The application fee for a person applying to be
licensed as instant game ticket retailer if $1,200 per location. If a license
is not awarded, the executive director may return all or a portion of the
application fee. However, no fee may be refunded after the date any lottery
equipment is installed at the retailer's location. A retailer's license shall
be renewed annually on October 30. The annual renewal fee is $150, which is
waived in the first year the license is issued.
Source:
36 SDR 215, effective July 1, 2010.
General
Authority: SDCL 42-7A-4(1) and (4), 42-7A-11, 42-7A-19.1, 42-7A-21(7), (16), and (17), 42-7A-49.
Law
Implemented: SDCL 42-7A-4(1) and (4), 42-7A-11, 42-7A-19.1, 42-7A-21(7), (16), and (17).
48:01:05:06. Communication
fees and credits. A retailer selling instant tickets within the exterior
boundaries of Indian reservations in the state shall be assessed a weekly
charge of $12.93 for communication fees. Any retailer selling $5,000 or more in
instant tickets in a single quarter shall be credited 13 weeks of communication
fees ($168.09) at the end of that quarter. A retailer who is part of a chain in
which the chain's per store average if $6,000 or more in instant ticket sales
in a single quarter shall be credited 13 weeks of communication fees ($168.09)
at the end of the quarter.
Any retailer licensed prior to July 1,
2010, is exempt from the communications fees established by this section.
Source:
36 SDR 215, effective July 1, 2010.
General
Authority: SDCL 42-7A-4(1) and (4), 42-7A-19.1, 42-7A-21(7), (8), and (17), 42-7A-49.
Law
Implemented: SDCL 42-7A-4(1) and (4), 42-7A-10, 42-7A-11, 42-7A-19.1, 42-7A-21(7), (8), and (17), 42-7A-22.