It doesn't intersect. At the time of Charles's death they were married and both residents of a community property state (Texas or Arizona). My guess is that Arizona law applies even if CV changed his residency because he filed for divorce in AZ and therefore declared himself under Arizona jurisdiction (that is literally a declaration you must make to file for divorce). The Idaho move is irrelevant. At CV's death, Arizona law governed his estate regardless of where Lori or any other relative became a resident. Once he died, she and the kids had beneficiary rights that were based on his and their state of residence.
I'd love to hear from AZ lawyer that I'm wrong because I think this is a fundamental fact we must consider. If I'm right, this is a $1,000,000 custody fight and the story Lori/Chad have hinted at make sense. Lori would be well-advised to hide the kids, even from LE. Remember, EVERYTHING you tell law enforcement in the US is intended to be used AGAINST you by law. Weigh that against the misdemeanor of lying to cops and it's a no-brainer I'd take.
My biggest problem with this theory is that it's very expensive for them!