DEPARTMENT OF HOMELAND SECURITY 

BOARD FOR CORRECTION OF MILITARY RECORDS 

Application for the Correction of 
the Coast Guard Record of: 
 

XXXXXXXXXXX 
XXXXXXXXXXX 

BCMR Docket No. 2009-188 
 

FINAL DECISION 

This is a proceeding under the provisions of section 1552 of title 10 and section 425 of 
title 14 of the United States Code.  The Chair docketed the case upon receiving the applicant’s 
completed  application  on  June  29,  2009,  and  assigned  it  to  staff  member  J.  Andrews  to  pre-
pare the decision for the Board as required by 33 C.F.R. § 52.61(c). 
 
 
appointed members who were designated to serve as the Board in this case. 
 

This  final  decision,  dated  March  11,  2010,  is  approved  and  signed  by  the  three  duly 

APPLICANT’S REQUEST AND ALLEGATIONS 

The applicant asked the Board to reverse the Coast Guard’s recoupment of her Reserve 
enlistment bonus.  She stated that when she enlisted on active duty in the regular Coast Guard, 
she was not told that her Reserve enlistment bonus would be recouped.  She alleged that she was 
invited to enlist on active duty and that she is still earning that Reserve enlistment bonus through 
“her continued service as an active duty Operations Specialist filling the same position” that she 
did as a reservist.   

 

 

 

 

 

SUMMARY OF THE RECORD 

 
On May 15, 2007, the applicant enlisted in the Reserve for 8 years and affiliated with the 
Selected Reserve (SELRES).  She signed a Page 7 acknowledging having been advised that she 
was  eligible  for  a  $6,000  SELRES  enlistment  bonus  and  having  read  and  fully  understood 
COMDTINST 7220.1 series and ALCOAST 056/06.1  She was paid $3,000—the first half of her 
SELRES bonus—upon completion of “A” School.  She was never paid the second half of the 
bonus because on October 22, 2008, she enlisted in the regular Coast Guard for four years.  The 
applicant submitted copies of her Leave and Earnings Statements showing that the Coast Guard 
has recouped $1,558.33 of her SELRES bonus from her active duty pay. 
                                                 
1 COMDTINST 7220.1 states that a SELRES enlistment bonus will be recouped if a member enlists on active duty.  
ALCOAST  056/06  refers  members  who  do  not  complete  their  SELRES  obligation  to  the  recoupment  policy  in 
COMDTINST 7220.1 and online. 

 

 

VIEWS OF THE COAST GUARD 

On September 9, 2009, the Judge Advocate General (JAG) of the Coast Guard submitted 

 
 
an advisory opinion in which he recommended that the Board deny relief.   
 
 
The JAG stated that under COMDTINST 7220.1, SELRES enlistment bonuses are paid 
for  the  duration  of  the  contract  and  that  a  breach  of  the  contract  causes  recoupment  of  the 
unearned portion of the bonus.  COMDTINST 7220.1 expressly states that enlistment on active 
duty will cause recoupment of the bonus.  Therefore, the JAG stated, because the applicant did 
not complete her SELRES commitment, she was not paid the second half of the SELRES bonus 
and  was  sent  a  notice  of  overpayment  regarding  the  unearned  potion  of  the  $3,000  she  had 
already  been  paid.    He  stated  that  the  “indebtedness  of  $1,558.33  resulted  from  the  prorated 
amount of the unearned enlistment bonus that was paid to the member in accordance with the 
time that was served” in the SELRES. 
 
 
The  JAG  noted  that  the  applicant  had  already  requested  waiver  of  the  indebtedness 
through  the  Coast  Guard,  and  her  request  was  denied.    The  JAG  alleged  that  if  the  Board 
“grant[s] the upholding of the reserve bonus, you will further entitle this member to an additional 
$3,000.00 from the initial $6,000.00 that has not been paid to the member.” 
 

RESPONSE TO THE VIEWS OF THE COAST GUARD 

On September 28, 2009, the Chair sent the applicant a copy of the views of the Coast 

Guard and invited her to submit a response within 30 days.  No response was received. 
 

APPLICABLE REGULATIONS 

 
 
ALCOAST 056/06 authorizes an enlistment bonus of $6,000 for members enlisting in the 
SELRES for at least six years.  Paragraph 2 states that half the bonus is paid upon completion of 
initial active duty for training (IADT) and half may be paid one year later if the reservist meets 
SELRES participation standards.  Paragraph 7 states that “information on recoupment of bonuses 
should a member not satisfactorily complete a contract” is contained in COMDTINST 7220.1.  It 
further  states  that  “commands  shall  initiate  recoupment  action  on  members  who  receive  a 
SELRES bonus and then do not meet satisfactory participation requirements.” 
 
COMDTINST  7220.1  contains  the  regulations  for  all  Reserve  bonuses.    Enclosure  (2) 
 
contains  the  regulations  for  SELRES  enlistment  bonuses.    Paragraph  4  states  that  members 
receiving an enlistment bonus should be counseled about their eligibility on a Page 7 (form CG-
3307), and the following template is provided: 
 

Entry Type: Selective Reserve Enlistment Bonus (BON-2) 
Reference: COMDTINST 7220.1 (series) 
Responsible Level: Recruiting Office: _________ 
Entry: 
 
(DATE):  I  have  been  advised  that  I  am  currently  eligible  for  a  Level  _____  Selective  Reserve 
Enlistment Bonus as listed in ALDIST _______, which has been made available to me.   

 
I am eligible to enlist for up to a maximum of ____ years.  My bonus will be computed based on 
_____ months of obligated service. 
 
I  hereby  acknowledge  that  I  have  read  and  fully  understand  the  contents  and  explanation  of 
COMDTINST 7220.1 (series).  
 
 
 
 
(signature of member/date)  

 
(signature of counselor) 

 
 

 
 

 

 

 

 

 

 

 

Paragraph 4 of Enclosure (2)  also states that  reservists will receive the  first half of  an 
enlistment bonus when they complete their IADT, which may include “A” School.  Paragraph 5 
of Enclosure (2) states the following: 
 

Members will submit a request (enclosure (5) to this Instruction) for the remainder of the bonus 
amount  via  their  chain  of  command  to  HRSIC  one  year  after  having  completed  all  phases  of 
IADT.  HRSIC  will  make  the  subsequent  payment  within  two  pay  periods  after  receipt  of  the 
member’s  properly  endorsed  request.  Refer  to  enclosure  (7)  for  termination  and  recoupment 
procedures for members who fail to maintain eligibility requirements. 

 
 
Paragraph 3 of Enclosure (7) states that bonus recoupment action will be initiated if the 
member fails to perform the required drills and training; if the member leaves her bonus-eligible 
rating or billet; or if the member separates from the SELRES “for any reason other than death, 
injury, illness, or other impairment not the result of own misconduct.  Separation or termination 
from the SELRES includes active duty enlistment in the active forces … .” 
 
 
Paragraph  4  of  Enclosure  (7)  shows  that  bonuses  are  recouped  on  a  pro-rata  basis  for 
each month of the six-year (72-month) enlistment contract that the applicant did not serve in the 
SELRES.  For example, a reservist who serves only one year in the SELRES but who received a 
$6,000  bonus  for  a  six-year  contract  (which  amounts  to  $83.33  per  month  of  service)  will  be 
entitled to just $1,000, and any  amount in excess of $1,000 that has already  been paid to the 
member will be recouped. 
 

FINDINGS AND CONCLUSIONS 

The Board makes the following findings and conclusions on the basis of the applicant’s 

 
 
military record and submissions, the Coast Guard’s submissions, and applicable law: 
 

The Board has jurisdiction over this matter under 10 U.S.C. § 1552(a).  The appli-

cation was timely. 

1. 

 
2. 

The applicant alleged that it is unjust for the Coast Guard to recoup the unearned 
portion of her SELRES enlistment bonus when she left the SELRES to enlist on active duty in 
the regular Coast Guard because no one warned her about the recoupment.  She noted that her 
work as an OS3 remained the same after her integration into the regular Coast Guard.  The Board 
begins its analysis in every case by presuming that the disputed information in the applicant’s 
military record is correct as it appears in his record, and the applicant bears the burden of proving 

by a preponderance of the evidence that the disputed information is erroneous or unjust.2  Absent 
evidence to the contrary, the Board presumes that Coast Guard officials and other Government 
employees have carried out their duties “correctly, lawfully, and in good faith.”3  

Under  Enclosure  (7)  to  COMDTINST  7220.1,  SELRES  enlistment  bonuses  are 
recouped on a pro-rata basis when the member separates from the Reserve by enlisting on active 
duty.  The applicant had received half ($3,000) of the $6,000 bonus but had completed only 17 of 
the 72 months of her Reserve contract when she left the Reserve.  Therefore, the applicant has 
not shown that the Coast Guard committed any error by recouping $1.558.33 from her pay after 
she enlisted in the regular Coast Guard on October 22, 2008. 

 
3. 

 
4. 

 
5. 

 
6. 
 
 

The applicant alleged that she was not warned when she enlisted on October 22, 
2008, that her SELRES enlistment bonus would be recouped, and she herself apparently did not 
ask about whether her enlistment in the regular Coast Guard would affect her entitlement to her 
bonus  for  enlisting  in  the  Reserve.    The  Board  knows  of  no  regulation  that  requires  a  Coast 
Guard recruiter to inquire into a potential recruit’s prior receipt of bonuses to ascertain whether 
one  might  be  subject  to  recoupment.    Such  an  inquiry  would  be  prudent  and  would  avert  the 
potential  disgruntlement  and  financial  hardship  that  the  applicant  in  this  case  might  have 
suffered, but current regulations do not require it.   

When the applicant was counseled about her SELRES enlistment bonus on May 
15,  2007,  she  acknowledged  having  read  and  fully  understood  COMDTINST  7220.1,  which 
clearly states that SELRES enlistment bonuses are subject to recoupment if the reservist enlists 
on active duty instead of completing her contract in the Reserve.  She also acknowledged having 
read  and  fully  understood  ALCOAST  056/06,  which  notes  that  SELRES  bonuses  may  be 
recouped if a member does not participate satisfactorily in the SELRES for the term of her con-
tract and refers the reader to COMDTINST 7220.1.  Perhaps the applicant did not actually read 
these regulations or, if she did, she must have forgotten them by the time she enlisted on active 
duty.  However, under these circumstances, the Board cannot conclude that the Coast Guard’s 
recoupment of the unearned portion of her SELRES enlistment bonus is unjust.4 

Accordingly, the applicant’s request should be denied. 

                                                 
2 33 C.F.R. § 52.24(b); see Docket No. 2000-194, at 35-40 (DOT BCMR, Apr. 25, 2002, approved by the Deputy 
General Counsel, May 29, 2002) (rejecting the “clear and convincing” evidence standard recommended by the Coast 
Guard and adopting the “preponderance of the evidence” standard for all cases prior to the promulgation of the latter 
standard in 2003 in 33 C.F.R.§ 52.24(b)). 
3 Arens v. United States, 969 F.2d 1034, 1037 (Fed. Cir. 1992); Sanders v. United States, 594 F.2d 804, 813 (Ct. Cl. 
1979). 
4 For the purposes of the BCMRs, “‘[i]njustice’, when not also ‘error’, is treatment by the military authorities, that 
shocks the sense of justice, but is not technically illegal.” Reale v. United States, 208 Ct. Cl. 1010, 1011 (1976).  
The Board has authority to determine whether an injustice exists on a “case-by-case basis.” Docket No. 2002-040 
(DOT BCMR, Decision of the Deputy General Counsel, Dec. 4, 2002). 

ORDER 

 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

 

 
 
 Lillian Cheng 

 

 
 George J. Jordan 

 

 

 
 
 Paul B. Oman 

 

 

 

 

 

 

 

 

 

 

 

 

The application of XXXXXXXXXXXXX, USCG, for correction of her military record is 

denied.