FY-08 NATIONAL DEFENSE AUTHORIZATION ACT EXPIRATION OF AUTHORITY FOR PAYMENT OF CERTAIN BONUSES UNDER NEW CONTRACTS

RAAUZYUW RUEWMCS0000 3651850-UUUU--RUCRNAD
ZNR UUUUU
R 311808Z DEC 07
FM CNO WASHINGTON DC//N1//
TO NAVADMIN
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UNCLAS //N01040//
NAVADMIN 366/07
MSGID/GENADMIN/CNO WASHINGTON DC/N1/DEC//
SUBJ/FY-08 NATIONAL DEFENSE AUTHORIZATION ACT EXPIRATION OF AUTHORITY 
FOR PAYMENT OF CERTAIN BONUSES UNDER NEW CONTRACTS// 

 REMARKS/1.  THIS 
NAVADMIN PROVIDES IMPLEMENTING GUIDANCE DURING THE PERIOD BETWEEN THE 
EXPIRATION OF AUTHORITIES TO APPROVE CERTAIN BONUSES AND SPECIAL PAY 
PROGRAMS, AND THE ENACTMENT OF A FY-08 NATIONAL DEFENSE AUTHORIZATION 
ACT (NDAA) OR OTHER LEGISLATION THAT EXTENDS REQUIRED AUTHORITIES.
EVERY SAILOR'S CASE WILL BE CONSIDERED ON AN INDIVIDUAL BASIS AND WE 
WILL TAKE WHATEVER MITIGATING STEPS WE CAN TO RESOLVE THE SITUATION TO 
THE SAILOR?S MAXIMUM ADVANTAGE.  ON 1 JANUARY 2008, THERE WILL BE A 
THREE (3.0) PERCENT PAY RAISE INSTEAD OF THE THREE AND A HALF (3.5) 
PERCENT PAY RAISE PROPOSED IN THE NDAA.  THE PLANNED 3.5 PERCENT PAY 
RAISE AND ITS POSSIBLE RETROACTIVE PAYMENT IS DEPENDENT UPON FUTURE 
LEGISLATIVE ACTION. 
2.  COMMENCING 1 JANUARY 2008, APPROVAL OF NEW CONTRACTS FOR BONUSES 
AND SPECIAL PAY PROGRAMS, LISTED IN PARA 3, IS SUSPENDED UNTIL FURTHER 
NOTICE.  THIS AFFECTS ONLY NEW CONTRACTS AND THEREFORE ANNUAL PAYMENTS 
(INCLUDING STIPENDS) FROM PREVIOUS CONTRACTS WILL CONTINUE TO BE PAID.
THIS INFORMATION SHOULD BE CONVEYED IMMEDIATELY TO ALL POTENTIALLY 
AFFECTED PERSONNEL, OFFICER AND ENLISTED.
3.  NO NEW CONTRACTS FOR THE FOLLOWING BONUSES AND SPECIAL PAY PROGRAMS 
WILL BE APPROVED UNTIL ENACTMENT OF THE FY-08 NDAA OR UNTIL EXTENSION 
OF AUTHORITY IS GRANTED THROUGH OTHER LEGISLATION ENACTED BY CONGRESS 
AND PASSED INTO LAW:
    A. AUTHORITIES RELATING TO PAYMENT OF ENLISTMENT, REENLISTMENT AND 
OTHER BONUSES AND SPECIAL PAYS.
        (1) ENLISTMENT BONUS - 37 USC SECTION 309 
        (2) REENLISTMENT BONUS FOR ACTIVE MEMBERS - 37 USC SECTION
308 
        (3) RETENTION BONUS FOR MEMBERS WITH CRITICAL MILITARY SKILL OR 
ASSIGNED TO HIGH PRIORITY UNITS - 37 USC SECTION 323 
        (4) ACCESSION BONUS FOR NEW OFFICERS IN CRITICAL SKILLS - 37 
USC SECTION 324
        (5) INCENTIVE BONUS FOR CONVERSION TO MILITARY OCCUPATIONAL 
SPECIALTY TO EASE PERSONNEL SHORTAGE - 37 USC SECTION 326
        (6) ACCESSION BONUS FOR OFFICER CANDIDATES - 37 USC SECTION 330
        (7) AVIATION OFFICER RETENTION BONUS - 37 USC SECTION 301B
    B. BONUS AND SPECIAL PAYS FOR RESERVE FORCES. 
        (1) SPECIAL PAY FOR SELECTED HEALTH PROFESSIONALS IN CRITICALLY 
SHORT WARTIME SPECIALTIES - 37 USC SECTION 302G
        (2) SELECTED RESERVE REENLISTMENT BONUS - 37 USC SECTION 308B 
        (3) SELECTED RESERVE AFFILIATION OR ENLISTMENT BONUS - 37 USC 
SECTION 308C 
        (4) SPECIAL PAY FOR ENLISTED MEMBERS ASSIGNED TO CERTAIN HIGH 
PRIORITY UNITS - 37 USC SECTION 308D 
        (5) READY RESERVE ENLISTMENT BONUS FOR PERSONS WITHOUT PRIOR 
SERVICE - 37 USC SECTION 308G 
        (6) READY RESERVE ENLISTMENT AND REENLISTMENT BONUS FOR PERSONS 
WITH PRIOR SERVICE - 37 USC SECTION 308H 
        (7) SELECTED RESERVE ENLISTMENT BONUS FOR PERSONS WITH PRIOR 
SERVICE - 37 USC SECTION 308I 
        (8) REPAYMENT OF EDUCATION LOANS FOR CERTAIN HEALTH 
PROFESSIONALS WHO SERVE IN THE SELECTED RESERVE - 10 USC SECTION
16302
    C. BONUS AND SPECIAL PAY AUTHORITIES FOR HEALTH CARE PROFESSIONALS.
        (1) NURSE OFFICER CANDIDATE ACCESSION PROGRAM - 10 USC SECTION 
2130A 
        (2) ACCESSION BONUS FOR REGISTERED NURSES - 37 USC SECTION 302D 
        (3) INCENTIVE SPECIAL PAY FOR NURSE ANESTHETISTS AND OTHER 
NURSE SPECIALTIES - 37 USC SECTION 302E 
        (4) ACCESSION BONUS FOR DENTAL OFFICERS - 37 USC SECTION 302H
        (5) ACCESSION BONUS FOR PHARMACY OFFICERS - 37 USC SECTION 302J
        (6) ACCESSION BONUS FOR MEDICAL OFFICERS IN CRITICALLY SHORT 
WARTIME SPECIALTIES - 37 USC SECTION 302K
        (7) ACCESSION BONUS FOR DENTAL SPECIALIST OFFICERS IN 
CRITICALLY SHORT WARTIME SPECIALTIES - 37 USC SECTION 302L 
    D. SPECIAL PAY AND BONUS AUTHORITIES FOR NUCLEAR OFFICERS.
        (1) SPECIAL PAY FOR NUCLEAR-QUALIFIED OFFICERS EXTENDING PERIOD 
OF ACTIVE SERVICE - 37 USC SECTION 312 
        (2) NUCLEAR CAREER ACCESSION BONUS - 37 USC SECTION 312B 
        (3) NUCLEAR CAREER ANNUAL INCENTIVE BONUS - 37 USC SECTION 312C 
4.  WE WILL BE PREPARED TO HANDLE EACH SITUATION ON AN INDIVIDUAL BASIS; 
HOWEVER, THE FOLLOWING GENERAL POLICY GUIDANCE IS TO BE FOLLOWED UNTIL 
THE LEGISLATION REINSTATING THE REQUIRED AUTHORITIES IS ENACTED:  
    A.  CONTINGENT BONUS ADDENDUM.  IN MOST CASES, INCLUDING 
ENLISTMENTS AND REENLISTMENTS, A CONTINGENT BONUS ADDENDUM CAN BE ADDED 
TO CONTRACTS WHICH ACKNOWLEDGES ELIGIBILITY FOR A BONUS BUT DOES NOT 
GUARANTEE BONUS PAYMENT.  THIS WILL ENABLE BONUSES TO BE PAID WITHOUT 
FURTHER ACTION BY INDIVIDUALS ONCE AUTHORITY IS REESTABLISHED; HOWEVER, 
WHETHER PAYMENTS WILL BE RETROACTIVE WILL DEPEND ON HOW CONGRESS 
REINSTATES THE LAPSED AUTHORITIES. 
    B.  ENLISTMENT/AFFILIATION BONUSES.  ACTIVE AND RESERVE 
ENLISTMENT/AFFILIATION AGREEMENTS EXECUTED DURING THE PERIOD OF LAPSED 
AUTHORITY SHALL NOT INCLUDE ENLISTMENT BONUS GUARANTEES ALTHOUGH A 
CONTINGENT BONUS ADDENDUM MAY BE USED. 
    C.  ENLISTED RETENTION/REENLISTMENT BONUSES.  ACTIVE AND RESERVE 
MEMBERS REENLISTING DURING THE PERIOD OF SUSPENSION ARE NOT ENTITLED TO 
BONUSES UNLESS CONTINGENT BONUS ADDENDUM IS INCLUDED AS PART OF THE 
BONUS REENLISTMENT DOCUMENTS.  SPECIFIC SCENARIOS FOR SRB ELIGIBLE 
SAILORS WHO ELECT TO NOT USE A CONTINGENT BONUS ADDENDUM INCLUDE, BUT 
ARE NOT LIMITED TO:
        (1) A SAILOR WHO REACHES THEIR EAOS ON OR AFTER 1 JANUARY
2008 CAN, AT EAOS, EXTEND FOR ONE MONTH TO RETAIN SRB ELIGIBILITY WITH 
SUBSEQUENT MONTH-BY-MONTH EXTENSIONS AUTHORIZED BEYOND 1 FEBRUARY 2008 
IF NECESSARY.  USE THIS NAVADMIN AS AUTHORITY TO EXECUTE THE ONE-MONTH 
EXTENSION AND NAVPERS 1070/613 ADMINISTRATIVE REMARKS (PAGE 13).  
        (2) A SAILOR WHO WILL EXECUTE PCS ORDERS DURING JANUARY WILL BE 
AUTHORIZED TO REENLIST WITHIN 30 DAYS OF RESTORATION OF AUTHORITY.
SAILORS IN THIS SITUATION MUST SIGN A NAVPERS 1070/613 ADMINISTRATIVE 
REMARKS (PAGE 13) AGREEING TO REENLIST WITHIN 30 DAYS OF REINSTATEMENT 
OF AUTHORITIES.  IF IN TRANSIT, ON LEAVE OR TAD AT THAT TIME, THESE 
MEMBERS WILL BE REQUIRED TO REPORT TO A NAVAL ACTIVITY WITHIN THE 30 
DAY PERIOD TO EXECUTE THEIR REENLISTMENT.  
        (3) A SAILOR WHO IS REQUIRED TO HAVE MINIMUM OBLIGATED SERVICE 
PRIOR TO EXECUTING ORDERS OVERSEAS OR TO A SCHOOL MUST SIGN A NAVPERS
1070/613 ADMINISTRATIVE REMARKS (PAGE 13) AGREEING TO REENLIST WITHIN 
30 DAYS OF PASSAGE OF THE AUTHORIZATION ACT.  THE PROVISIONS OF 
PARAGRAPHS 4.G AND H OF MILPERSMAN 1306-106 WITH REGARD TO NAVPERS 
1070/613 ADMINISTRATIVE REMARKS (PAGE 13) IN LIEU OF HARD OBLISERV FOR 
PERIODS OVER 12 MONTHS REMAIN IN EFFECT.  
WRITTEN APPROVAL FROM COMNAVPERSCOM (PERS-451) IS REQUIRED FOR WAIVERS 
OF THE 30 DAY REQUIREMENT TO OBTAIN OBLISERV AND/OR USE OF NAVPERS
1070/613 ENTRIES FOR PERIODS OF MORE THAN 12 MONTHS.  EMAIL REQUESTS TO 
PERS451(AT)NAVY.MIL.  IF IN TRANSIT, ON LEAVE OR TAD WHEN AUTHORITIES 
ARE REINSTATED, THESE MEMBERS WILL BE REQUIRED TO REPORT TO A NAVAL 
ACTIVITY WITHIN THE 30 DAY PERIOD TO EXECUTE THEIR REENLISTMENT. 
        (4) ANY SAILOR WHO ALREADY HAS AN APPROVED SRB REENLISTMENT 
DATE DURING THE TIME OF THE LAPSED AUTHORITY OR WHO WILL PASS INTO A 
NEW REENLISTMENT ZONE AND WILL BE DISADVANTAGED BY REENLISTING AT A 
LATER DATE WILL BE HANDLED ON AN INDIVIDUAL BASIS.  DUE TO THE 
COMPLEXITIES OF THIS SITUATION THE COMMAND CAREER COUNSELOR SHOULD 
CONTACT COMNAVPERSCOM
(PERS-811F) AT (901) 874-2526/DSN 882, FAX
(901) 874-2623/DSN 882, OR EMAIL ETC(SW/AW) MCCANN AT 
SCOTT.MCCANN(AT)NAVY.MIL.
        (5) A SAILOR WHO EXTENDS BEYOND HIS COMBAT ZONE TAX EXCLUSION 
ELIGIBILITY IN ORDER TO REENLIST FOR AN SRB BONUS WILL LOSE SRB TAX 
ADVANTAGES UNLESS CONGRESS SPECIFICALLY ACTS TO RECTIFY THIS SITUATION.
    D.  OFFICER ACCESSION/AFFILIATION BONUSES.  ACTIVE AND RESERVE 
ACCESSION/AFFILIATION AGREEMENTS EXECUTED DURING THE PERIOD OF LAPSED 
AUTHORITY SHALL NOT INCLUDE BONUS GUARANTEES ALTHOUGH A CONTINGENT 
BONUS ADDENDUM MAY BE USED. 
    E.  OFFICER CONTINUATION PAYS.  OFFICERS MEETING ELIGIBILITY 
REQUIREMENTS SHOULD BE ADVISED TO DELAY SIGNING OBLIGATIONS FOR 
EXTENDED SERVICE UNTIL SUCH TIME AS THE AUTHORITY IS REINSTATED 
ALTHOUGH A CONTINGENT BONUS ADDENDUM MAY BE USED. 
5.  NAVY WILL WORK WITH THE OFFICE OF THE SECRETARY OF DEFENSE TO 
MITIGATE ANY POTENTIAL IMPACT RESULTING FROM THESE LAPSED AUTHORITIES 
AND ENABLE SAILORS TO RECOVER ANY MONIES AND COMBAT-ZONE RELATED TAX 
BREAKS FOR WHICH THEY WOULD HAVE BEEN ELIGIBLE HAD THE NDAA BEEN IN 
EFFECT ON 1 JANUARY 2008.  RESUMPTION OF BONUS CONTRACT APPROVAL WILL 
COMMENCE ONCE THE APPROPRIATE LAW IS ENACTED AND UPON WHICH TIME 
ADDITIONAL GUIDANCE, VIA NAVADMIN, WILL BE PROMULGATED.
6.  FOR SPECIFIC QUESTIONS REGARDING THIS NAVADMIN CONTACT THE NPC 
CALL-CENTER AT (866) U-ASK-NPC (DSN: 882-5672) AND CONSULT THE NPC 
WEBSITE (WWW.NPC.NAVY.MIL) WHERE FREQUENTLY ASKED QUESTIONS (FAQ'S) 
WILL BE REGULARLY UPDATED.  ACTIVE-DUTY ENLISTED SAILORS ARE ENCOURAGED 
TO CONTACT THEIR COMMUNITY MANAGERS OR DETAILERS VIA THEIR COMMAND 
CAREER COUNSELORS.  ACTIVE AND RESERVE OFFICERS SHOULD CONTACT THEIR 
COMMUNITY MANAGERS OR DETAILERS VIA THEIR COMMANDING OR EXECUTIVE 
OFFICERS. SELRES ENLISTED SHOULD CONTACT NCC STOKES,
PHONE: (504) 678-4057/DSN 678, FAX: (504) 678-1204, OR EMAIL AT 
JOHN.STOKES(AT)NAVY.MIL.  
7.  RELEASED BY VADM J. C. HARVEY, JR., N1.// 

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