COAP for FERS

Must a COAP be a stand-alone court order like a QDRO? Or could the provisions be incorporated as a section in the divorce judgment and decree? 

A Court Order Acceptable for Processing (COAP) is a court order that us used to transfer retirement and survivor annuity benefit from a Government employee under FERS or CSRS or the FSPS to a former spouse.  It serves the exact same purpose as a QDRO that is used to transfer pension and retirement benefits in private company plans under a number of Federal laws - ERISA, the IRC, the REA and the PPA of 2006.  

99.9% of the time it is a stand alone order that can be 7 to 9 pages long if you address all of the possible issues.  Most states regard a COAP or a QDRO as an enforcement tool, like a garnishment or an attachment, to enfore an obligation seet forth in the Judgment of Divorce.  OPM will accept a Judgment of Divorce as a COAP if it has ALL of the information required by their Regulations.  See attached. 

One problem is that in most states the COAP can be amended if there is a problem, whereas the ability to amend the Judgment of Divorce may expire after the 30 appeal time has run.   

The COAP needs to address, for example. 

(i)  the formula for determining the amount of retirement benefit to be paid to the former spouse; 

(ii)  the percentage of survivor annuity benefits to be paid to the former spouse if the employee predeceases; 

(iii) who will pay the cost of the survivor benefits (if the COAP is silent, the full cost is paid by the employee); 

(iv) the award of Basic Death Benefits; 

(v)  disability retirement; 

(vi) what will happen to the former spouse's share if she predeceases the employee?

(vii) and more.

NOTE:  If a Fedeal Employee has a CSRS or FERSf retirement annuity, he/she will also likely have a TSP account.  

DSG

Handbook for Attorneys OPM.pdf