R 202027Z SEP 12

ALCOAST 422/12
COMDTNOTE 7220
SUBJ: ADVANCE PAY AND PCS ALLOWANCE POLICY
A. Coast Guard Pay Manual, COMDTINST M7220.29 (series)
B. Coast Guard Supplement to the Joint Federal Travel Regulations
Volume 1 (CGS-JFTR), COMDTINST M4600.17 (series)
1. This ALCOAST changes and clarifies policy for authorization of
advance pay and advances of permanent change of station (PCS)
entitlements pursuant to a PCS.
2. Receipt of PCS orders does not automatically entitle a member to
receive advance pay. The purpose of advance pay is to assist members
in meeting the extraordinary expenses related to the relocation of
household goods (HHG). Members with PCS orders that do not authorize
relocation of HHG at government expense cannot receive advance pay.
Members must be entitled to a government funded HHG move and actually
schedule shipment of their HHG to be eligible for advance pay.
3. Effective 01 Oct 2012, Servicing Personnel Offices (SPO) shall
only approve requests for advance pay of up to one month if
applicants meet the conditions in paragraph 2. Any request for two or
three months advance pay must be approved by the members commanding
officer in consideration of the following guidelines.
    A. A full written justification must be submitted by the
applicant
to his or her commanding officer when requesting advance pay in
excess of 1 month. The written justification must include affirmation
that the applicant has not filed for nor contemplates filing for
bankruptcy, or so state if the member is in bankruptcy or is
contemplating doing so.
    B. The request must contain a list of actual or anticipated
expenses that are above and beyond normal PCS entitlements such as
per diem, Dislocation Allowance (DLA), Temporary Lodging Expenses
(TLE), and mileage. Examples of possible justification are: a member
is supporting two households, member is unable to rent or sell the
house at the old PDS, a down payment on the purchase of a house, or
excess HHG shipment charges.
    C. Commanding officers must also take into consideration the
members financial status, especially members who are filing for
bankruptcy or recently filed bankruptcy. Some Bankruptcy Court
jurisdictions hold that a creditor does not have the authority to
recoup any post-petition debt, including advance pay, without
permission from the Bankruptcy Court.  This is true in cases when a
member has filed a Chapter 13 bankruptcy. In such instances, the
government may not be able to collect any amount of the advance pay
unless the Coast Guard Pay and Personnel Center (CG PPC) receives
approval from the court or after the bankruptcy is discharged or
terminated. Additionally, in a situation when CG PPC has witheld
funds for repayment of the advance pay, CG PPC will have to return
the funds to the member. Accordingly, commanding officers should
approach such advance pay requests fully aware that the government
may not be able to collect the advance pay from the member even
though the advance pay was issued after the member filed for
bankruptcy. As a general rule, advance pay should not be authorized
for members that have filed for bankruptcy or are at risk of doing
so.
    D. All advance pay requests from members E-4 and below must still
be approved by their commanding officers.
    E. Commanding officers cannot delegate authority to approve
advance pay.
4. Effective 01 Oct 2012, PCS travel and transportation advances are
limited to 80 percent of the estimated travel and transportation
costs to include MALT, per diem, DLA, and TLE. Payment must not be
made more than 30 days before the member detaches, except under
extenuating circumstances (e.g., member moves dependents before
detaching).
5. These changes will be incorporated into References (A) and (B) in
the near future. This policy does not alter policy for advance Basic
Allowance for Housing, per section 9.D.3.d of Reference (A).
6. For comments and questions contact CWO Daniel Shearin at
202-475-5392 or email Daniel.W.Shearin(at)USCG.MIL.
7. Released by RADM Steven E. Day, Acting Director of Reserve and
Military Personnel.
8. Internet release is authorized.