The federal government has urged the U.S. Supreme Court to review an Arizona Supreme Court decision on the issue of whether the Uniformed Services Former Spouses Protection Act (10 U.S. Code §1408) bars a domestic relations court from ordering indemnity for a post-judgment conversion of military retirement to VA disability payments.
Colorado, like Arizona, requires a military member who reduces the former spouse's retirement pay post-divorce by waiving a porrtion of the millitary retirement to receive VA disability, to indemnify the former spouse for the lost money. This is the majority rule in most, but not all states.
What is interesting is that the government wants SCOTUS to review the case not to overturn it, but to affirm the Arizona decision requiing indemnity, in order to resolve the issue for that minority of states which have interpreted the law as barring indemnity.
According to SCOTUSblog, the Supreme Court will generally grant cert when asked by the government, so it's likely that the Court will review the matter, and therefore we should see a decision by early summer.
For more information abou, and a link to the government brief, click here: http://www.scotusblog.com/2016/10/federal-government-recommends-another-grant-this-time-in-military-spouse-case/#more-247693
For more information about how Colorado treats VA disability, see the VA Disability & Divorce article in the Military Divorce Guide.