Senate File 52

                                       SENATE FILE       
                                       BY  REHBERG


    Passed Senate, Date               Passed House,  Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act providing for a valid marital property order under the
  2    Iowa public employee's retirement system.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  4 TLSB 1502XS 80
  5 ec/pj/5

PAG LIN

  1  1    Section 1.  Section 97B.39, Code 2003, is amended to read
  1  2 as follows:
  1  3    97B.39  RIGHTS NOT TRANSFERABLE OR SUBJECT TO LEGAL PROCESS
  1  4 == EXCEPTIONS.
  1  5    The right of any person to any future payment under this
  1  6 chapter is not transferable or assignable, at law or in
  1  7 equity, and the moneys paid or payable or rights existing
  1  8 under this chapter are not subject to execution, levy,
  1  9 attachment, garnishment, or other legal process, or to the
  1 10 operation of any bankruptcy or insolvency law except for the
  1 11 purposes of enforcing child, spousal, or medical support
  1 12 obligations or marital property orders.  For the purposes of
  1 13 enforcing child, spousal, or medical support obligations, the
  1 14 garnishment or attachment of or the execution against
  1 15 compensation due a person under this chapter shall not exceed
  1 16 the amount specified in 15 U.S.C.  } 1673(b).  The division
  1 17 shall comply with the provisions of a marital property order
  1 18 requiring the selection of a particular benefit option,
  1 19 designated beneficiary, or contingent annuitant if the
  1 20 selection is otherwise authorized by this chapter and the
  1 21 member has not received payment of the member's first
  1 22 retirement allowance.  However, a marital property order shall
  1 23 not require the payment of benefits to an alternative payee
  1 24 prior to the member's retirement, prior to the date the member
  1 25 elects to receive a lump sum distribution of accumulated
  1 26 contributions pursuant to section 97B.53, or in an amount that
  1 27 exceeds the benefits the member would otherwise be eligible to
  1 28 receive pursuant to this chapter.  A marital property order is
  1 29 valid for the purposes of this section if the order provides
  1 30 for the payment of an amount from the member, once the member
  1 31 retires, based upon a percentage of the benefit the member
  1 32 would be eligible to receive as of the date of the order if
  1 33 the member retired as of that date.
  1 34                           EXPLANATION
  1 35    This bill provides for the requirements of a valid marital
  2  1 property order under the Iowa public employees' retirement
  2  2 system.  The bill provides that a marital property order shall
  2  3 determine the amount payable by a member pursuant to the
  2  4 order, upon the member's retirement, based upon a percentage
  2  5 of the benefit the member would receive if the member retired
  2  6 as of the date of the marital property order.
  2  7 LSB 1502XS 80
  2  8 ec/pj/5
  2  9