SB126

Under existing law, a court granting a divorce has the duty to provide to the parties an explanation, or ensure that an explanation has been provided, of any provision relating to the disposition of pension or retirement benefits that will be included in the decree of divorce or any related order. (NRS 125.150) Section 1 of this bill requires that such explanation be a full explanation of any provisions relating to the disposition of pension or retirement benefits or any related order. Existing law provides for the disposition of pension or retirement benefits provided by the Public Employees' Retirement System or the Judicial Retirement Plan upon the dissolution of marriage. Existing law codifies the “time rules” whereby the community interest in such retirement benefits is calculated by dividing an employee's length of service during marriage by his or her total length of service. (NRS 125.155) With an exception for homemakers, section 2 of this bill replaces the “time rule” with the “frozen benefit rule,” whereby the community interest in such retirement benefits is “frozen” at the salary base and years of service of the party participating in the retirement system on the date on which the decree of legal separation or divorce is entered. The “frozen benefit rule” currently applies to military pensions under the Uniformed Services Former Spouses' Protection Act. (10 U.S.C. § 1408(a)(4)(B)) Under existing law, a person seeking disbursement of pension or ret