Actually, the $250,000 figure is the minimum roll, not the maximum. No lottery in their right mind would cap rollovers at such a low amount. Ohio capped their jackpots way back when, and their sales never recovered, even after they lifted the cap.
The last jackpot won was $4.5 million cash, but by my calculation there was only about $1.6 million in the jackpot pool. I can see why the lottery made the change, and why players are upset about it; the effective payout rate was a lot higher because the $4mil minimum plus the $1mil rolls were more than 40% of sales could support. That's probably how it managed such big rolls, because fewer people were playing, yet the jackpot kept going up $1mil at a time. Good for players, those who won the jackpot anyway; but no lottery will ever keep that going indefinately.