§ 5.23.105. Rights of an Alternate Payee under a QDRO.  


Latest version.
  • A.

    Notwithstanding Section 5.23.100, an Alternate Payee shall have the right to make a claim for any benefits awarded to the Alternate Payee pursuant to a QDRO as provided in this section. If an Alternate Payee is awarded a specified interest in the Accounts of the Participant pursuant to a QDRO, such interest of the Alternate Payee shall be segregated and separately accounted for by the Trustee in the name and for the benefit of the Alternate Payee.

    B.

    Upon receipt of a domestic relations order, or, if earlier, notice that a domestic relations order may be sought, the Administrative Committee shall suspend distributions from the Participant's Investment Accounts, and shall take steps to ensure that the Participant and each Alternate Payee is aware of the order or proposed order and the suspension of distributions from the Participant's Investment Accounts. Moreover, the Administrative Committee shall determine, within a reasonable period after receipt of such order, whether such order is a QDRO. If the order is determined to be a QDRO, the Alternate Payee's interest under such order shall be segregated and/or distributed in accordance with the QDRO and this Section 5.23.105. If the order is determined not to be a QDRO, and the domestic relations order is not modified as necessary to constitute a QDRO within a reasonable period of time after such determination, the suspension of distributions from the Participant's Investment Accounts shall be discontinued. If an order is not received within a reasonable period of time after the County has been notified that such an order is being sought, the suspension of distributions from the Participant's Investment Accounts shall be discontinued.

    C.

    Distributions to the Alternate Payee shall be made in accordance with the QDRO provided that the QDRO does not conflict with the Plan's distribution provisions or the provisions of this section. Regardless of whether the Participant is eligible to take a distribution under the Plan, the QDRO may provide for an immediate distribution of the Alternate Payee's interest thereunder to the Alternate Payee. If a QDRO does not provide the form of distribution of benefits payable to an Alternate Payee, the Alternate Payee shall have the right to elect distribution in any form provided under this section. Pursuant to the QDRO or the Alternate Payee's election, the Alternate Payee's interest may be distributed in cash in a lump sum payment or in equal monthly, quarterly or annual installments not extending over more than 15 years.

    D.

    The Alternate Payee's interest specified in the QDRO shall be segregated and/or distributed from the Participant's Accounts, and the Investment Funds in which such Accounts are invested, on a pro rata basis.

    E.

    Following the determination that a domestic relations order is a QDRO, and segregation of an Alternate Payee's interest, the Alternate Payee shall have the right to direct the investment of his or her interest in the same manner as provided under Section 5.23.060C with respect to the Participant. The Participant shall continue to have the right to direct the investment of the portion of his or her Accounts that is not awarded to the Alternate Payee pursuant to the QDRO.

    F.

    Unless the QDRO provides otherwise, an Alternate Payee shall have the right, in the same manner as a Participant, to designate a Beneficiary, who shall receive benefits payable to the Alternate Payee in the event that all of the Alternate Payee's benefits have not been distributed at the time of the Alternate Payee's death. If the Alternate Payee does not designate a Beneficiary, or if the Beneficiary predeceases the Alternate Payee, benefits payable to the Alternate Payee which have not been distributed shall be paid to the Alternate Payee's estate. Any death benefits payable under this section shall be paid in a lump sum as soon as administratively practicable after the Alternate Payee's death, with or without the Beneficiary's request.

(Ord. 2001-0097 § 2 (part), 2001.)