April 12, 2005, Introduced by Senator BASHAM and referred to the Committee on Appropriations.
A bill to amend 1991 PA 46, entitled
"Eligible domestic relations order act,"
by amending section 2 (MCL 38.1702).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 2. As used in this act:
(a) "Alternate payee" means a spouse of a participant under a
judgment of separate maintenance, or a former spouse, child, or
dependent of a participant, who is named in an eligible domestic
relations order.
(b) "Benefit" means an annuity, a pension, a retirement
allowance, or an optional benefit accrued or accruing to a
participant under a retirement system or a postretirement subsidy
payable to a participant under a retirement system.
(c) "Domestic relations order" means a judgment, decree, or
order of a court made pursuant to the domestic relations law of
this state and relating to the provision of alimony payments, child
support, or marital property rights to a spouse of a participant
under a judgment of separate maintenance, or to a former spouse,
child, or dependent of a participant.
(d) "Earliest retirement date" means the earliest date on
which a participant meets all of the requirements for retirement
under a retirement system except for termination of employment.
(e) "Eligible domestic relations order" or "EDRO" means a
domestic relations order that is considered an eligible domestic
relations order under section 11 or that meets all of the following
requirements:
(i) The domestic relations order states the name, last known
address, and social security number of the participant.
(ii) The domestic relations order states the name, last known
address, and social security number of the alternate payee.
(iii) The domestic relations order states the amount or
percentage of the benefit to be paid to an alternate payee, or the
manner under which the retirement system is to determine the amount
or percentage of the benefit to be paid to an alternate payee.
(iv) The domestic relations order states that it applies to the
retirement system and that the retirement system shall make
payments to the alternate payee as required under the eligible
domestic relations order and this act.
(v) The domestic relations order does not require the
retirement system to provide a type or form of benefit not provided
by the retirement system or a form of payment not provided by this
act.
(vi) The domestic relations order does not require the
retirement system to provide an increased benefit determined on the
basis of actuarial value.
(vii) The domestic relations order does not require the payment
of a benefit to an alternate payee that is required to be paid to
another alternate payee under a previously filed eligible domestic
relations order.
(viii) The domestic relations order is filed before the
participant's retirement allowance effective date or, if the
domestic relations order is filed after the participant's
retirement allowance effective date, the domestic relations order
is filed no later than 120 days after a final judgment of divorce
between the participant and the alternate payee.
(f) "Participant" means a member, deferred member, vested
former member, deceased former member, or retirant under the
retirement system.
(g) "Postretirement subsidy" includes, but is not limited to,
all of the following:
(i) A supplemental annuity.
(ii) A supplemental payment to a participant.
(iii) A percentage increase to a benefit payable to a
participant.
(iv) Any other payment to a participant or increase to a
benefit payable to a participant, excluding health benefits.
(h) "Retirement system" means a public employee retirement
system created and established by this state or any political
subdivision of this state.