SURFACE WARFARE OFFICER DEPARTMENT HEAD RETENTION BONUS

[Tony]

CLASSIFICATION: UNCLASSIFIED// 
ROUTINE 
R 162146Z FEB 23 MID200080744692U 
FM CNO WASHINGTON DC 
TO NAVADMIN 
INFO CNO WASHINGTON DC 
BT 
UNCLAS 
 
NAVADMIN 046/23 
 
PASS TO OFFICE CODES: 
FM CNO WASHINGTON DC//N1// 
INFO CNO WASHINGTON DC//N1// 
MSGID/GENADMIN/CNO WASHINGTON DC/N1/FEB// 
 
SUBJ/SURFACE WARFARE OFFICER DEPARTMENT HEAD RETENTION BONUS// 
 
REF/A/DOC/ASN/20DEC22// 
REF/B/DOC/U.S.C.// 
REF/C/DOC/DOD/11JUL16// 
REF/D/DOC/BUMED/27JUL16// 
REF/E/DOC/DOD/MAY20// 
 
NARR/REF A IS ASSISTANT SECRETARY OF THE NAVY (MANPOWER AND RESERVE 
AFFAIRS) MEMORANDUM, SURFACE WARFARE OFFICER DEPARTMENT HEAD 
RETENTION BONUS AUTHORIZATION.   
REF B IS TITLE 37 U.S. CODE, PAY AND ALLOWANCES OF THE UNIFORMED SERVICES.   
REF C IS DEPARTMENT OF DEFENSE INSTRUCTION 1304.34, GENERAL BONUS AUTHORITY 
FOR OFFICERS. 
REF D IS BUREAU OF MEDICINE AND SURGERY INSTRUCTION 1300.2B, SUITABILITY 
SCREENING, MEDICAL ASSIGNMENT SCREENING, AND EXCEPTIONAL FAMILY MEMBER 
PROGRAM IDENTIFICATION AND ENROLLMENT.   
REF E IS DEPARTMENT OF DEFENSE FINANCIAL MANAGEMENT REGULATION 7000.14, 
VOLUME 7A, CHAPTER 2, REPAYMENT OF UNEARNED PORTION OF BONUSES AND OTHER 
BENEFITS. 
 
RMKS/1.  This NAVADMIN announces the continuation of the Surface 
Warfare Officer (SWO) Department Head Retention Bonus (DHRB) for 
eligible SWOs. 
 
2.  Program Authority.  In line with reference (a), the SWO DHRB is 
effective through 30 September 2025 unless rescinded or superseded. 
This program is authorized under section 332 of reference (b).  All 
applications for the bonuses contained within this program will be 
submitted to the SWO Assignments Division (PERS-41) for approval, 
payment processing, and tracking. 
 
3.  Program Overview.  This message summarizes the provisions of the 
SWO DHRB.  All information provided herein is applicable to both 
Active Component (AC) SWO personnel and Training and Administration 
of the Reserve (TAR) SWO personnel, except where otherwise noted. 
The following general summary is provided: 
    a.  Year group 2012 and junior are eligible for the DHRB 
program. 
    b.  Early selection at the SWO department head (DH) screening 
board will be rewarded with potentially larger compensation. 
    c.  SWO lieutenant junior grades will have the opportunity to 
commit to DHRB as early as their 3rd year of commissioned service 
(YCS-3) anniversary date if screened on their first look for DH. 
The service obligation incurred by DHRB will begin no earlier than 
the officer's minimum service requirement. 
    d.  References (b) and (c) limit career retention bonus amounts. 
While officers may receive multiple retention bonuses under section 
332 of reference (b) over a career, total bonus payments under this 
authority may not exceed $300K for AC officers and $150K for TAR 
officers. 
 
4.  Program Eligibility: 
    a.  Must meet all four of the following requirements: 
        (1) Qualified and serving as an Active-Duty SWO (designator 
1110 or 1117). 
        (2) Completed at least one division officer tour or be 
assigned to a fleet-up or single longer tour billet as approved by 
PERS-41. 
        (3) Administratively screened for DH afloat by the surface 
DH screening board. 
        (4) Agree to complete two afloat DH tours or a single longer 
DH tour as assigned by PERS-41, or complete commissioned service 
through YCS-10, whichever is later. 
    b.  Eligible officers must be sea duty assignable as defined by 
reference (d).  Additionally: 
        (1) An officer under contract evaluated as no longer fit for 
sea duty by an appropriate medical authority and placed on temporary 
limited duty will have a stop payment placed on their account and 
receive no further SWO DHRB payments. 
        (2) Should a previously ineligible officer later become fit 
for sea duty, PERS-41, in line with the appropriate medical 
authority's findings, will determine if retroactive pay is 
authorized and resume payments at normal intervals for the remainder 
of the contract relative to the current YCS. 
        (3) An officer found unfit for continued naval service by an 
appropriate medical authority will have a stop payment placed on 
their account and receive no further SWO DHRB payments. 
    c.  Operational deferment for medical reasons.  An officer in an 
operational deferment status for medical reasons will remain 
eligible to receive DHRB payments. 
    d.  Career Intermission Program (CIP).  An officer participating 
in CIP will be ineligible to receive DHRB payments during the 
intermission period.  Scheduled payments will resume upon return to 
service and in line with the payment scheme. 
 
5.  Program Execution: 
    a.  The annual SWO DH screening board will determine eligibility 
by the selection of proven performers and conduct a performance 
validation of officers already receiving DHRB payments. 
    b.  The SWO community manager is assigned as the program manager 
and is delegated the authority to administer the SWO DHRB program in 
line with applicable laws, Department of Defense directives, and 
this NAVADMIN. 
    c.  PERS-41 receives applications submitted in the format 
referenced in paragraph 7.  PERS-41 is delegated the authority to: 
        (1) Evaluate the eligibility of officers applying for the 
SWO DHRB program. 
        (2) Approve SWO contracts to remain on Active Duty for the 
stated period in exchange for a SWO DHRB. 
        (3) Administer DHRB payments. 
    d.  All applications require written endorsement from the 
applicant's commander or commanding officer (CO). 
    e.  Officers selected for DH must submit a contract prior to the 
designated time in paragraph 6.a. to receive maximum compensation. 
    f.  Submissions after YCS-9 will not be accepted or approved 
unless the delays were caused by factors outside the officer's 
control.  In those cases, the application submission must include a 
CO's endorsement explaining the cause of the delay and why the 
situation was beyond the officer's control.  In all cases, a final 
determination will be on a case-by-case basis and approved by PERS-41. 
    g.  Officers approved for a DHRB will receive anniversary 
payments on their YCS anniversary date in line with the payment 
structure. 
    h.  Officers under a DHRB agreement are not eligible to apply 
for the permanent military instructor (PMI) program or any 
redesignation programs resulting in a designator change to any 
designator other than 1110 or 1117.  An officer under a DHRB 
agreement may submit an application for PMI or any redesignation 
program once the date of application is within 12 months of the 
final day of bonus obligation. 
 
6.  DHRB Payment Structure: 
    a.  Total compensation is reduced if the DHRB contract is not 
signed prior to YCS-6 for first-look screeners, YCS-7 for second- 
look screeners, and YCS-8 for third-look screeners. 
    b.  SWO AC officers (1110) screened for DH on their first look 
will receive the DHRB in line with the following payment structure 
($105K maximum) if signed between YCS-3 and YCS-8: 
 
 
YCS payment installments      YCS-4   YCS-5   YCS-6   YCS-7   YCS-8 
YCS-4                         $20K 
YCS-5                         $10K    $10K 
YCS-6                         $15K    $25K    $25K 
YCS-7                         $15K    $25K    $25K    $25K 
YCS-8                         $15K    $15K    $25K    $25K    $25K 
YCS-9                         $15K    $15K    $15K    $25K    $25K 
YCS-10                        $15K    $15K    $15K    $25K    $25K 
Total                         $105K   $105K   $105K   $100K   $75K 
    c.  SWO AC officers (1110) screened for DH on their second look 
will receive the DHRB in line with the following payment structure 
($95K maximum) if signed between YCS-4 and YCS-8. 
YCS payment installments      YCS-4   YCS-5   YCS-6   YCS-7   YCS-8 
YCS-4                         $10K 
YCS-5                         $10K    $10K 
YCS-6                         $15K    $25K    $25K 
YCS-7                         $15K    $15K    $25K    $20K 
YCS-8                         $15K    $15K    $15K    $25K    $25K 
YCS-9                         $15K    $15K    $15K    $25K    $25K 
YCS-10                        $15K    $15K    $15K    $25K    $25K 
Total                         $95K    $95K    $95K    $95K    $75K 
    d.  SWO AC officers (1110) screened for DH on their third look 
will receive the DHRB in line with the following payment structure 
($75K maximum) if signed between YCS-5 and YCS-8: 
YCS payment installments      YCS-6   YCS-7   YCS-8 
YCS-6                         $15K 
YCS-7                         $15K    $15K 
YCS-8                         $15K    $20K    $25K 
YCS-9                         $15K    $20K    $25K 
YCS-10                        $15K    $20K    $25K 
Total                         $75K    $75K    $75K 
    e.  In line with references (a) through (c), RC officers may 
only receive a maximum of $12K per year in bonuses, and only during 
the time of obligated service (beginning with YCS-6).  SWO TAR 
officers (1117) screened for DH will receive the DHRB in line with 
the following payment structure ($60K maximum): 
            (a) $12K on the YCS-6 anniversary; 
            (b) $12K on the YCS-7 anniversary; 
            (c) $12K on the YCS-8 anniversary; 
            (d) $12K on the YCS-9 anniversary; 
            (e) $12K on the YCS-10 anniversary. 
    f.  Officers enrolled in the revised junior critical skills 
retention bonus and legacy SWO continuation pay program will remain 
in those programs until all payments are completed. 
 
7.  Application Process: 
    a.  General Notes: 
        (1) Application format can be found on the PERS-41 page of 
the NPC website at https://www.mynavyhr.navy.mil/Career-
Management/Detailing/Officer/Pers-41-SWO/Pay-Incentives/ 
        (2) Applications will be binding upon the date of approval 
by PERS-41. 
        (3) Applications received in the incorrect format or not 
meeting eligibility requirements defined in this NAVADMIN will be 
returned. 
    b.  Officers must mail the signed original agreement and COs 
endorsement to: 
        Commander, Navy Personnel Command (PERS-41) 
        PERS-412/SWO DHRB 
        5720 Integrity Drive 
        Millington, TN 38055 
    c.  Additionally, a copy of the signed original contract and 
CO's endorsement should be submitted by e-mail to the applicable 
assignment officer or civilian assistant. 
 
8.  Recoupment and Repayment Policy.  Repayment policy is governed 
by section 373 of reference (b) and reference (e).  A Service Member 
of the uniformed services who enters into a written agreement with 
specified service conditions for receipt of a bonus is entitled to 
the full amount of the bonus if the member fulfills the conditions 
of the written agreement.  If the member fails to fulfill the 
service conditions specified in the written agreement for the pay, 
then the pay may be terminated, and the Service Member may be 
required to repay an amount equal to the unearned portion of the 
pay.  SWO DHRB payments will be stopped for officers who become 
ineligible for this incentive or fail to complete the full period of 
additional obligated service. 
    a.  Officers who fail to complete DH school or fail to report to 
their first DH tour are subject to recoupment of all payments 
received to date in line with reference (e). 
    b.  Officers processed for detachment for cause (DFC) during 
either DH tour will have a stop payment placed on their account.  If 
the DFC is approved, recoupment will be calculated to begin on the 
date of DFC acknowledgment included in the DFC package.  If the DFC 
is overturned, the stop payment will be cleared after final 
adjudication is received by PERS-41 and the officer will continue to 
receive future scheduled payments.  Retroactive pay for any missed 
payments will be considered on a case-by-case basis in line with 
references (c) and (e). 
    c.  For officers who die while serving under a SWO DHRB service 
agreement, the remaining SWO DHRB balance will be paid as a lump sum 
as part of the settlement of the final military pay account of the 
officer.  If death is determined to be the result of the misconduct 
of the member, future payments will be stopped and unearned portions 
of the bonus will be recouped, as applicable, in line with 
procedures established for members whose inability to complete a 
contracted period of service is voluntary or the result of 
misconduct. 
    d.  Recoupment exception to policy determinations will be made 
by Director, Military Personnel Plans and Policy (OPNAV N13). 
 
9.  Additional guidance, information, and updates regarding the SWO 
DHRB are available at the MyNavy HR website, 
https://www.mynavyhr.navy.mil/Career-Management/Detailing/Officer/Pers-41-
SWO/Pay-Incentives/. 
 
10.  Points of contact: 
    a.  Ms. Robbie Richard, PERS-41, (901) 874-3913/DSN 882 or via e- 
mail at roberta.j.richard.civ(at)us.navy.mil. 
    b.  CDR Wil Fensterer, Surface Warfare Officer Community 
Manager, BUPERS-311, (901) 874-3173/DSN 882 or via e-mail at 
william.a.fensterer.mil(at)us.navy.mil. 
    c.  CDR Mark MacNamara, TAR Community Manager, BUPERS-351, 
(901) 874-4346/DSN 882 or via e-mail at mark.macnamara(at)navy.mil. 
 
11.  This NAVADMIN will remain in effect until superseded or canceled, 
whichever occurs first. 
 
12.  Released by Vice Admiral Richard J. Cheeseman, Jr., N1.// 
 
BT 
#0001 
NNNN 
CLASSIFICATION: UNCLASSIFIED//