united states coast guard

ALCOAST COMMANDANT NOTICE                                             CANCEL DATE 09 SEP 2021

R 101320 SEP 20
UNCLAS //N07220//
ACN 103/20
A. Title 37 U.S. Code – Pay and Allowances of the Uniformed Services
B. Military Bonus Programs, COMDTINST M7220.2 (series)
C. Naval Engineer Personnel Qualification Standard, COMDTINST M3502.11 (series)
D. Coast Guard Medical Manual, COMDTINST M6000.1 (series)
E. Coast Guard Weight and Body Fat Standards Program Manual, COMDTINST M1020.8 (series)
F. Title 10 U.S. Code – Armed Forces
G. Coast Guard Pay Manual, COMDTINST M7220.29 (series)
1. OVERVIEW: This ACN announces a bonus offer not to exceed $40,000 under
Section 332 of REF (A) for eligible active duty officers to remain as designated
Naval Engineers, CG-NEN-10 (previously identified as CG-ENG-12). Officers must
execute a contractual agreement to obligate four (4) years of active duty
commissioned service. This retention offer is exclusive to the career field of
Naval Engineering (CG-NEN-10) and forms the basis for this incentive. Bonus
pay is supplemental to any other pay and allowances to which a Service member
is entitled.
    a. This ACN authorizes an intervention as recommended by the FY21 Officer
Workforce Planning Team (OWPT) as an incentive to retain active duty Naval Engineers
filling essential underway and ashore NAVENG assignments. To qualify for this bonus,
LT/O3 (not on continuation orders) or LCDR/O4 (not in and/or above zone for CDR/O5)
officers designated as Naval Engineers (CG-NEN-10) will be required to obligate
four (4) years of service and accept assignment to an eligible billet. This is
necessary to support Coast Guard missions to fill critical assignments and optimize
Naval Engineering workforce readiness.
    b. The bonus is authorized for eligible active duty officers who submit
completed written agreements of four (4) years of newly obligated service
during FY21 as defined in REF (B). The new four (4) year active duty service
commitment (ADSC) is the number of years a Service member agrees to obligate
service on the Bonus Agreement.
    c. The bonus offerings in this ACN begin in FY21 (01 Oct 2020 and not
before) and are anticipated to remain in effect until the end of FY21
(30 Sep 2021 and not after) contingent upon Congress extending the authority
to make payments. Monetary interventions may be adjusted or terminated not
less than 30 days in advance.
2. ELIGIBILITY: Qualified officers must be eligible for AY21 assignment
rotation per OPM shopping list guidance and must agree to be assigned to
a Naval Engineering (CG-NEN-10) billet. The bonus applies exclusively to
the following fully qualified active duty officers:
    a. LT/O3 (not on continuation orders) or LCDR/O4 (not in and/or above
zone for CDR/O5);
    b. Designated as a Naval Engineer (CG-NEN-10) or achieve designation
by 30 Sep 2021. Failure to obtain Naval Engineer (CG-NEN-10) designation
by 30 Sep 2021 will result in termination of the Bonus Agreement and
repayment of the unearned bonus;
    c. Current obligated active duty service commitment expires on or
before 30 Sep 2021;
    d. Retain a Naval Engineer (CG-NEN-10) qualification for the time
period in which this bonus is paid;
    e. Agree and accept assignment to an eligible Naval Engineering
(CG-NEN-10) billet during the AY21 assignment process;
    f. Maintain physical and medical standards for continuous
retention IAW REF (D);
    g. Maintain weight and body fat standards IAW REF (E);
    h. Years of total combined commissioned active duty or combined
active duty commissioned service in a reserve component cannot
exceed 21 years, 00 Months and 00 Days as of the effective date of
the bonus agreement.
    i. Have no current obligated active commissioned service, as
defined in Paragraph 3.d. of this ACN, beyond 30 Sep 2021.
    j. Have no more than 25 years, 00 months, and 00 days total
active duty service at the completion of the bonus agreement term.
Not in a retired recall status.
years an officer agrees to obligate commissioned service under a Bonus
Agreement. The ADSC commences on the date after the officer completes
any currently obligated service period or has met all eligibility
requirements, whichever is later.
    b. BONUS AGREEMENT. A written contractual agreement between a Service
member and the Coast Guard in which the Service member agrees to remain on
active duty for a specific period of time. In return, the Service member
receives the bonus contingent upon abiding by all eligibility and retention
conditions of the agreement throughout the entire contractual term. The only
approved Bonus Agreement to be used per this ACN is form “Naval Engineer
(CG-NEN-10) Bonus Agreement.” Once developed and approved, the Bonus
Agreement form will be announced and posted on a subsequent ALCOAST.
    c. BONUS AGREEMENT SUBMISSION DATE. For management, assignment and
oversight purposes, Bonus Agreements must be signed by the member’s Commanding
Officer (CO) no later than 01 Oct 2020. Extension of the application
deadline will not normally be allowed. Officers with exceptional
circumstances may request a waiver for submission of their agreements
past the due date to COMDT (CG-133) thru CG PSC-OPM-2.
    d. CURRENT OBLIGATED ACTIVE DUTY SERVICE: Current obligated active
service includes:
        (1) Any service obligations for initial entry into the Coast Guard
(Academy, OCS, DCE, etc.).
        (2) Obligated service under an existing agreement or obligated service
for receipt of training and education (non-Naval Engineering specific
graduate education).
        (3) Current obligated service does not include obligated service for
promotion, permanent change of station (PCS), Naval Engineering specific
graduate education, tuition assistance, or Post 9/11 GI Bill benefits transfer.
        (1) The Effective date of the Bonus Agreement is the date upon which the
member signs and the Commanding Officer approves/signs the agreement.
        (2) Members signing this bonus agreement will not be paid any portion of
the bonus until they meet the eligibility/qualification criteria contained
in paragraph 2 of this ACN and report to the assigned NEN-10 billet.
4. POLICY: Service members must abide by and continuously maintain the
eligibility criteria of this ACN for the entirety of the obligated ADSC
in the designated career field.
    a. A Service member who is paid a bonus under this offer during the
period of ADSC covered by the signed Bonus Agreement and who fails any
of the following eligibility criteria will be required to repay any and
all unearned portions of the bonus under the provisions of Section 373
of REF (A).
    b. If an officer loses qualification, or is no longer qualified for
those assignments in paragraph 2. of this ACN due to the fault of the
individual, any unearned portion of the bonus payment as of the date
of removal from eligibility will be repaid.
        (1) Entitlement to this bonus will not be restored when loss
of qualification was due to personal fault and the member later
re-qualifies during the original ADSC.
        (2) The Bonus Agreement does not guarantee a member will remain
on active duty for the entirety of the ADSC if earlier administrative
separation, retirement, or involuntary separation for cause is awarded
or appropriate.
    c. Bonus Agreement limits and payment of bonus. The bonus will be
paid in a lump sum IAW REF (A) subject to 22% federal and applicable
state income tax withholdings that are not contributed to a
tax-deferred Thrift Savings Plan (TSP) account. Officers desiring
to contribute bonus monies to a TSP account must consider the TSP
Elective Deferral limit and confirm election not less than 30 days
prior to receipt of the bonus.
        (1) The lump sum will normally be paid on the next pay cycle
after the day the member meets the eligibility requirements, reports
to the assigned billet, and a bonus ticket is submitted to PPC
Customer Care. If the member does not meet the eligibility
requirements by 30 Sept 2021, member is ineligible for the bonus payment.
        (2) Once a Bonus Agreement is signed by the CO, it will remain
in effect until the agreement expires or is terminated. Officers may
request a new agreement upon expiration of their existing agreement
provided a bonus is being offered and the officer meets the eligibility
requirements of the bonus program then in effect.
        (3) IAW Section 371 of REF (A), an officer is prohibited from
receiving a bonus payment pursuant to Subchapters I and II of Title 37,
U.S.C., for the same activity, skill, or period of service.
        (4) It is prohibited for an officer to receive multiple bonus
payments for the same period of service, unless specifically authorized
by the Assistant Commandant for Human Resources (CG-1).
    d. ADSC Adjustments and Bonus Agreement non-compliance.
        (1) When a bonus for an officer is suspended or terminated as
described in this ACN, CG PSC-OPM will not automatically adjust the
ADSC for the officer. A Naval Engineer whose bonus eligibility ends
may submit a request with supporting material to change the ADSC to
CG PSC-OPM, who will consider the request and supporting material
in making a determination as to whether or not to change the ADSC.
        (2) An ADSC does not guarantee a member will remain on
active duty indefinitely if earlier administrative separation is awarded.
        (3) The Coast Guard can initiate involuntary separation under
Military Separations, COMDTINST M1000.4 (series), earlier than the ADSC date.
    e. Repayment of Unearned Bonus Amounts. Per Section 373 of REF (A),
unearned bonuses will be repaid, unless collection is accepted under
authorized conditions.
        (1) Except under conditions described in Paragraph 4.f., the
Coast Guard will demand repayment of any unearned bonus commensurate
with time remaining on the officer’s active duty obligation when
discharged, released from active duty, or the date the officer has
been determined to no longer be in compliance with the Bonus Agreement.
        (2) CG PSC-OPM will include a statement on the separation
authorization for any officer with remaining obligated service from a
bonus agreement that any unearned bonus must be repaid by the officer.
These separation authorization statements must include the reason for
demanding repayment and advise the officer of the opportunity to apply
for an exception to repayment along with the procedures on how to
submit the request.
    f. Authorized exceptions to repayment of unearned bonuses include
the situations listed below and shall be cited by CG PSC-OPM in
separation authorizations or other documentation:
       (1) Separated, retired, or lost bonus eligibility by reason
of combat-related physical disability, illness, or injury, and not
due to misconduct.
       (2) The term “combat-related” has the same meaning as in
Section 1413a of REF (F) and further described in Section
16.D.6. of REF (G).
       (3) Combat-relatedness determinations will be made by
       (4) In cases where an officer with a current Bonus Agreement
in effect 1) dies or 2) is retired or separated with a combat-related
disability, and the death or disability is not the result of the
officer’s misconduct, any bonus installment amount previously paid shall
not be repaid. Further, the full amount of the Bonus Agreement amount
not yet paid prior to the date of 1) death or 2) retirement or separation
due to combat-related disability but to which the officer was eligible
immediately before the death, retirement, or separation and would
otherwise be paid if not for the death, retirement, or separation
shall be included as a lump sum in the officer’s final settlement of
pay and allowances. The lump sum shall be equal to the full remaining
amount specified in the agreement as if the officer continued to be
eligible for the remaining bonus payments. This payment must be paid
not later than 90 days following the officer’s death, retirement, or
       (5) Sole survivorship discharge.
       (6) When explicitly excepted from repayment by Coast Guard
personnel policy.
       (7) All other requests for exceptions to repayment of unearned
bonus amounts must be approved by COMDT (CG-8C). Consideration for
exception to repayment determinations will generally follow the
standards for remission of indebtedness as described in
Section 11.G.5. of REF (G).
       (8) Unearned bonus calculations will be based on the
Defense Finance and Accounting Services accounting method described in REF (B).
    a. Applicant Responsibilities. Review the contents of this
ACN prior to signing a Bonus Agreement.
       (1) Complete, sign, date, and forward the Bonus Agreement
to the designated command representative for signature of the
CO by 01 Oct 2020.
       (2) Keep a copy of the signed agreement for record purposes.
    b. Command Responsibilities. Designate a command representative
who will counsel all bonus eligible Naval Engineers assigned to
the unit. The initial counseling session should be a one-on-one
meeting between each eligible officer and the designated command
representative that outlines the needs of the Coast Guard, how a
bonus fits into the overall Naval Engineer retention effort, and
the Service member’s eligibility. The command must:
       (1) Verify all qualifying eligibility requirements listed
within Naval Engineer Certificate (CG-3500). This document must
be signed by the Service member's CO; “By Direction” or “Acting”
signature authority is prohibited.
       (2) Verify eligibility is met as outlined in paragraph 2.
       (3) Ensure eligible Naval Engineers are aware of the bonus
offering submission deadline (i.e. 01 Oct 2020), eligibility
window, payment authorization, and the ADSC associated with
accepting the bonus offer.
       (4) Ensure each Naval Engineer fully understands the
implications of the agreement and eligibility requirements as per
Paragraph 2 of this ACN.
       (5) Explain that any unearned portions of the bonus will
be repaid on a pro-rata basis for all conditions listed in this ACN.
       (6) Explain that eligible Naval Engineers with an
approved date of separation (DOS) must request withdrawal of the
DOS prior to or upon submission of their bonus application.
Naval Engineers will not receive bonus payments if the DOS
withdrawal request is disapproved.
       (7) Submit signed/endorsed agreements to the unit’s
Servicing Personnel Office (SPO) not later than 08 Oct 2020,
and copy CG PSC-OPM-2 and the Program Manager POCs identified below.
       (8) Commands that are not staffed to effectively
conduct this counseling session should coordinate counseling
with COMDT (CG-452).
    c. Notification of disapprovals will be made to CG PSC-OPM
and the Program Manager listed below. Commanding Officers
shall disapprove Bonus Agreements for officers who:
       (1) Are awaiting a disqualification resulting from
an Evaluation Board;
       (2) Are awaiting involuntary separation;
       (3) Are awaiting or undergoing investigation into
military or civilian offenses which could result in a documented
record of substantiated misconduct or substandard duty performance;
       (4) Have a documented record of substandard performance
or conduct which render them poor candidates for retention
under the terms of a Bonus Agreement;
       (5) Received a Mark of three (3) on any OER metric or
lower and/or received less than a "Promote" rating on the
most recent OER;
       (6) Have a documented record of skills and officer
performance that makes them ineffective for rated duty;
       (7) Have an approved separation on file; or
       (8) Are not in compliance with weight and body fat
standards IAW REF (D).
    d. SPO Responsibilities to process the bonus agreement.
        (1) Ensure the Bonus Agreement has been properly
        (2) Ensure the applicant and their CO sign,
initial and date the Bonus Agreement as appropriate.
Incomplete forms cannot be processed by PPC-MAS for bonus payment.
        (3) Place a copy of the Bonus Agreement in the
officer’s PDR. Submit a copy to PPC-MAS via a PPC Customer Care
Trouble Ticket for processing. Submit a copy to PSC-OPM-2 and
Program Manager POCs listed below.
    e. Eligible Naval Engineers in TDY or PCS Status: There will
be some instances when eligible Naval Engineers may not be
available for bonus counseling due to TDY or PCS. The length of
the absence should determine the action.
        (1) TDY: if the expected TDY length will prevent
completion of the agreement by 01 Oct 2020, then the designated
command representative should counsel the Service member by
whatever means available, and forward the Bonus Agreement and
a copy of this ACN to the deployed supervisor of the applicant
so they can document bonus acceptance. The agreement should be
signed by the applicant and witnessed by the deployed supervisor
and then returned to the permanent duty station for CO approval
and distribution.
        (2) PCS: Departing commands should make every effort to
contact eligible Naval Engineers if they have not left the
immediate area and provide the necessary counseling. If the
officer has departed and was not counseled, notify the receiving
command of the departing command's recommendation for approval
or disapproval. The receiving designated command representative
will complete the counseling process and the receiving CO will
normally approve or disapprove the Bonus Agreement based on
the previous CO recommendation. The receiving command is
responsible for distributing the Bonus Agreement per
Paragraph 5.b.
    f. If any of the above listed conditions change before
the Bonus Agreement submission date in subparagraph 3.c.
above, the applicant may reapply for the bonus within the
explicit time limits of this ACN.
    a. The bonus payments shall terminate when a Naval Engineer:
        (1) Is dismissed or discharged for cause or loss
of confidence;
        (2) Is separated from service as a result of a
court-martial, or is administratively separated;
        (3) Is relieved for cause;
        (4) Fails to and maintain qualification IAW
Cutter Organization Manual for the entirety of the assignment.
        (5) Separates after declining selective continuation;
        (6) Voluntarily retires or separates before
finishing the ADSC;
        (7) Is disqualified for Naval Engineer service;
        (8) Receives a Mark of three (3) on any OER metric
or lower and/or receives less than a "Promote" rating on
an OER during the timeline of the bonus agreement;
        (9) Fails to obtain Naval Engineer (CG-NEN-10)
designation by 30 Sep 2021;
        (10) Separates after being passed over for promotion or
selected by a reduction in force (RIF) board; or
        (11) Fails to maintain weight and body fat standards IAW REF (E).
    b. Suspend bonus payments when a Naval Engineer under a Bonus Agreement:
        (1) Is suspended from Naval Engineer service;
        (2) Is the subject of an investigation; or
        (3) Is medically disqualified for Naval Engineer service.
7. These changes will be implemented into the next revision of REF (B),
which will be released within the next year.
8. Questions regarding the Naval Engineering program should be
addressed to the COMDT (CG-452) Workforce and Policy Manager,
LCDR N. P. Dufresne at or (202) 475-5719,
or the COMDT (CG-452) Workforce and Policy Management Portal site:
9. Questions regarding the assignment process should be directed
to OPM-2 and the Engineering, Logistics, C4IT, Intel Assignment
Officers, LCDR E. A. Ledbetter at:
or LCDR J. L. Dubinsky at
10. Questions from individual officers concerning the execution
of this policy should be addressed to their designated command
representatives. Questions from designated command representatives
for policies regarding bonuses or other human resource management
matters may be directed to the Office of Military Personnel Policy
(CG-133) at:
11. Released by RADM J. M. Nunan, Assistant Commandant for Human Resources.
12. Internet release is authorized.