ALCGPSC 146/17 - SUPPORT OF COAST GUARD EXCHANGE SYSTEM AND MORALE, WELL-BEING AND RECREATION PROGRAMS

08 DEC 17

UNLAS//NO7010
ALCGPSC 146/17
SUBJ:  SUPPORT OF COAST GUARD EXCHANGE SYSTEM AND MORALE, WELL-
BEING AND RECREATION PROGRAMS
A.  Coast Guard Financial Resource Management Manual, COMDTINST M7100.4 (series)
B.  Coast Guard Morale, Well-Being, and Recreation Manual, COMDTINST M1710.13 (series)
1.  The Coast Guard Community Services Command (CSC), located in Chesapeake, Virginia
maximizes the Coast Guard Exchange (CGX), and Morale, Well-Being, and Recreation (MWR)
program benefits for Coast Guardsmen in uniform, their families, and all eligible patrons. CSC is
a “for-benefit” enterprise whose efforts are directed at building a system where the Exchange
and MWR programs work to continually expand and enhance these highly valuable benefits.  The
Coast Guard's Exchange System and MWR programs, in parity with the other Armed Forces of
the United States are non-pay compensation programs that are vital in providing for the
readiness, retention, and resiliency of the military community.
2.  The major business lines for the CSC include:
a. CGX Store Operations: CSC operates retail stores in 23 states and Puerto Rico.
b. CGX Deployable Support Exchange (DSE):  The DSE is a mobile "Exchange on Wheels"
ready to deploy during hurricanes, other natural disasters and in support of beneficiaries in
remote locations.
c. CGX Satellite Exchanges: CGX provides management oversight to Ship’s Stores, as well as
shore based satellites in remote locations.
d. MWR Program Management: CSC provides funding, policy, and regulatory oversight for all
USCG MWR programs and distributes the annual per capita dividend funds.  CSC also manages
the Coast Guard’s affiliation with the Boys and Girls Clubs of America, developing world class
youth programming to CG youth both on and off the installation.
e. Coast Guard Sports Program:  The CSC MWR Staff manages and coordinates the Coast
Guard's participation in inter-Service and international military sports participation through the
Armed Forces Sports Program. 
f. NAF Center of Excellence: CSC is the subject matter experts within the Coast Guard for any
NAF-related issue.
3.  The profits generated at CGX provide non-appropriated funding for MWR activities, directly
supporting the resiliency of the Coast Guard family.  The current annual per capita distribution of
dividend funds is $50 per year, per active-duty billet. This distribution is critical to the majority
of our Coast Guard units, especially Stations, Aids to Navigation Teams and the afloat
community, as they have no ability to generate non-appropriated funds themselves and have
limited MWR infrastructure, such as fitness equipment, athletic fields, and basic recreation areas. 
4. Important functions/opportunities:
a. CSC is investing heavily in SHOPCGX.COM, dramatically expanding the product offerings,
and in early 2018 will offer the capability to order all of your uniform items from the Uniform
Distribution Center through SHOPCGX.COM.
b. In accordance with paragraph 5.6.10.21 of reference (a), Coast Guard units are authorized to
use the Coast Guard Exchange as a source of supply for purchases with unit funds. Utilizing
CGX as a source of supply helps to sustain the CGX enterprise and by directing government
purchases of supplies towards CGX, you increase our overall re-investment back into our MWR
programs. Meanwhile, CGX has been instrumental in supporting the Coast Guard through the
hurricane season by providing timely delivery of critically needed items at reduced cost,
including water, generators, blankets, cots, food and other relief items.  They have the capability
to meet most strategic sourcing needs and, by leveraging their extensive logistics network,
provide expedited delivery almost anywhere in the world at typical savings in excess of 30%.
c. Starting this Veterans Day (Nov 11, 2017), honorably discharged veterans now have access to
tax-free online shopping privileges at military exchanges, including SHOPCGX.COM.  This
highly anticipated change in DoD policy grants online exchange shopping privileges to an
estimated eighteen million additional individuals.  CGX is extremely excited about extending
this new privilege to all honorably discharged veterans. 
5.  Through the CGX and MWR systems, CSC provides an integral non-pay compensation
benefit that supports the men and women of the Coast Guard and the entire Coast Guard family. 
They provide its patrons high quality merchandise at value pricing that is virtually unbeatable in
the commercial retail market through our price match guarantee.  CGX stores offer patrons a tax-
free shopping experience and CGX will match any legitimate brick and mortar retailer’s
advertised price or regular store price within the local area, on any identical in-stock item for the
CGX authorized patron who makes a request.  Additionally, CGX offers a 14-day price
guarantee on any item originally purchased from the CGX and subsequently sold at a lower price
by the CGX or any local competitor.  More than just tax-free shopping, CGX’s documented
market-basket savings is over 22% compared to other retailer's prices, representing approximately
$30 million in savings for CGX patrons each year.  CGX recently launched their CGX Rewards
Customer loyalty program.  Customers who enroll in CGX Rewards inside any CGX store will
receive a $10 voucher good towards their next purchase and then acrue reward points for every
dollar they spend at any CGX. For every 500 points, customers will receive a $10 rewards receipt
to spend on their next purchase at CGX.
6.  When you shop at the CGX or online at SHOPCGX.COM, you are putting your money
where your morale is and growing the symbiotic relationship between CGX and CSC’s financial
investment into our MWR programs.  In the past 10 years, CGX has contributed over $23 million
to the Coast Guard MWR program.  In 2009, CSC opened their flagship “large format store” in
Chesapeake, Virginia.  The innovative “big box” approach within a busy retail corridor has been
enormously profitable and was critical towards sustaining the MWR dividend program.  CSC is
developing plans to open a 2nd flagship CGX location in the Northern Virginia/DC area. 
7.  You are encouraged to sign up for the mailing list at SHOPCGX.COM.  Joining the mailing
list ensures you will receive advertisements, exclusive offers and promotions, including special
discounts, scratch-off cards, etc.  You can follow CGX on social media on Facebook, where you
will find news, information, special promotions and sales flyers.  Search for Coast Guard
Exchange on Facebook or SHOPCGX. 
8.  Thank you to you and your family members for their continued support of our Coast Guard
Exchange System and our Morale, Well-Being and Recreation programs, and their impact on the
quality of life for our Coast Guard members, their families and authorized patrons.  The CSC
point of contact for CGX and SHOPCGX.COM is Mr. John Reiley, Chief Operating Officer, at
john.reiley@cgexchange.org or (757) 842-4910.  The CSC point of contact for MWR is Mr. Gary
Scheer, CG MWR Director at gary.scheer@cgexchange.org or (757) 842-4903.  The CSC
Commanding Officer is Captain Bruce C. Brown, who may be reached at
bruce.c.brown@uscg.mil  or (757) 842-4901.
8.  Released by:  RDML M. T. Bell, Jr., Commander, Personnel Service Center.  The Service
Center for our most important resource – Our People.
9.  Internet release authorized.