(1) This rule applies only to the DCRP.

(2) A participant or alternate payee must submit a certified copy of a family law order (FLO) to MPERA for board approval. The board has delegated authority for approval to the executive director.

(3) MPERA will notify the participant and the alternate payee when it receives a certified copy of a FLO. The notice will explain the procedures for determining if the FLO can be approved. 

(4) While reviewing the FLO, MPERA will work with the recordkeeper to prevent distributions from the participant's account, but allow the participant to manage the investments and segregate the amounts, and earnings thereon, that will be owed to the alternate payee if the FLO is approved.

(5) The segregated amount, with any earnings thereon, will be distributed to the participant if the FLO is not approved within 18 months of the date it was received by MPERA and the participant is entitled to and requests distribution of the account. 

(6) Upon approval of the FLO, MPERA will:

(a) notify the participant and the alternate payee that the FLO is approved; and

(b) work with the recordkeeper to ensure a separate subaccount containing the alternate payee's entitlement is created.

(i) The alternate payee will be given necessary information for managing the investments in the subaccount.

(ii) The subaccount will be distributed to the alternate payee upon termination of service or death of the participant.

(7) The FLO will be applied prospectively if approved more than 18 months after the date it was first received by MPERA.