HI HB2468

Authorizes the Employees' Retirement System to make direct payments to spouses or former spouses of members or retirants when awarded all or a portion of retirement benefits through a court-ordered domestic relations proceeding.

Establishes requirements for "Hawaii domestic relations orders" including clear specification of member/retirant name, alternate payee information, benefit amount or percentage, payment period, and system applicability.

For awards made before member retirement, uses "separate interest approach" with alternate payee receiving actuarially equivalent benefit as monthly annuity; for awards after retirement, uses "shared payment approach" apportioning the retirant's existing benefit between retirant and alternate payee.

Prohibits Hawaii domestic relations orders from requiring system actions outside plan provisions, modifying beneficiary designations, providing non-standard benefits, or creating liens; limits order review period to 18 months with protections for both parties pending determination.

Appropriates funds for one full-time claims examiner position and implementation costs for the Employees' Retirement System; effective January 1, 2018.