ADMINISTRATIVE MESSAGE ROUTINE R 111530Z OCT 00 ZYB MIN PSN 448565J32 FM CNO WASHINGTON DC//N1// TO NAVADMIN UNCLAS //N01421// NAVADMIN 260/00 MSGID/GENADMIN/N13// SUBJ/FY-01 MEDICAL CORPS OFFICERS MULTIYEAR SPECIAL PAY (MSP) AND /FY-01 INCENTIVE SPECIAL PAY (ISP) PLAN// REF/A/PL 101-510/BUMED/05NOV1990// REF/B/ASD HA/ASD/15SEP2000// REF/C/SECNAVINST 7220.75C/SECNAV/31MAY1990// NARR/REF A AUTHORIZES MSP FOR MEDICAL OFFICERS. REF B PROVIDES DOD POLICY GUIDANCE FOR ADMINISTRATION OF MSP AND ISP, AND DOLLAR AMOUNTS FOR FY-01. REF C PROVIDES GENERAL GUIDANCE FOR MEDICAL OFFICERS' SPECIAL PAY.// RMKS/1. THIS NAVADMIN ANNOUNCES FY-01 MSP AND ISP PLAN FOR ACTIVE DUTY MEDICAL CORPS OFFICERS. THIS MSG HAS BEEN COORDINATED WITH THE COMMANDANT OF THE MARINE CORPS (CMC), WHO HAS AUTHORIZED TRANSMISSION TO MARINE CORPS ACTIVITIES. AUTHORITY IS DELEGATED TO CHIEF, BUREAU OF MEDICINE AND SURGERY (BUMED) OR HIS DESIGNEE TO EXECUTE CONTRACTS, EFFECTIVE 1 OCT 00. REFS A THROUGH C PERTAIN. 2. MEDICAL MULTIYEAR SPECIAL PAY (MSP). A. ELIGIBILITY REQUIREMENTS. (1) MEDICAL CORPS OFFICERS BELOW GRADE O-7; (2) MUST HAVE AT LEAST EIGHT YEARS CREDITABLE SERVICE AS DETERMINED BY HEALTH PROFESSIONAL PAY ENTRY DATE (HPPED) PER REF C, OR HAVE NO OBLIGATED SERVICE COMMITMENT INCURRED FOR MEDICAL EDUCATION AND TRAINING; (3) HAVE COMPLETED INITIAL RESIDENCY TRAINING, OR SCHEDULED TO COMPLETE INITIAL RESIDENCY TRAINING BEFORE 1 OCT 00; AND (4) MUST EXECUTE A WRITTEN AGREEMENT APPROVED BY BUMED TO REMAIN ON ACTIVE DUTY FOR 2, 3, OR 4 YEARS. B. ANNUAL PAYMENTS. MSP WILL BE PAID ACCORDING TO LENGTH OF CONTRACT. INITIAL ANNUAL INSTALLMENTS WILL BE PAID UPON ACCEPTANCE BY BUMED OF MSP SERVICE AGREEMENT. CONTRACTS WILL BE EFFECTIVE NOT EARLIER THAN DATE OF APPROVAL BY BUMED. THERE IS NO RETROACTIVE AUTHORITY FOR MSP CONTRACTS. SUBSEQUENT INSTALLMENTS WILL BE PAID ON OR ABOUT THE ANNIVERSARY DATE OF BUMED APPROVAL VIA ELECTRONIC FUNDS TRANSFER (EFT) FROM DFAS. FOLLOWING ANNUAL RATES (IN DOLLARS) WILL BE PAID BY SPECIALTY FOR CONTRACT LENGTH SHOWN: CONTRACT LENGTH: 2 YEAR 3 YEAR 4 YEAR CATEGORY ONE 9,000 10,000 14,000 ORTHOPEDICS GENERAL SURGERY PSYCHIATRY FAMILY PRACTICE CATEGORY TWO 8,000 9,000 10,000 NEUROSURGERY PREVENTIVE/OCCUP/PHYS MED AERO MED (RESIDENCY TRAINED ONLY) CATEGORY THREE 6,000 7,000 8,000 GENERAL SURGERY SPECIALTIES (NOTE 1) OB/GYN RADIOLOGY/NUCLEAR MEDICINE OTOLARYNGOLOGY ANESTHESIOLOGY UROLOGY CRITICAL CARE (NOTE 2) EMERGENCY MEDICINE PATHOLOGY DERMATOLOGY INTERNAL MEDICINE INTERNAL MEDICINE/PEDIATRIC SUBSPECIALTIES NEUROLOGY PEDIATRICS OPTHALMOLOGY CATEGORY FOUR: (NO MSP) NOTE (1): SURGICAL SUBSPECIALTIES - FOR PURPOSES OF PAY CATEGORY; INCLUDES ADULT CARDIOLOGY, CARDIO-THORACTIC SURGERY, COLON AND RECTAL SURGERY, ONCOLOGY SURGERY, PEDIATRIC SURGERY, AND PLASTIC SURGERY. NOTE (2): CRITICAL CARE - INTERNAL MEDICINE SUBSPECIALTIES OF GASTROENTEROLOGY, NEPHROLOGY, AND PULMONARY MEDICINE, HEMATOLOGY/ONCOLOGY, AND PEDIATRIC SUBSPECIALISTS OF CARDIOLOGY, GASTROENTEROLOGY, NEONATOLOGY AND PULMONARY MEDICINE. IT ALSO INCLUDES ANY FELLOWSHIP TRAINED CRITICAL CARE OR INTENSIVE MEDICINE SPECIALIST. C. EXISTING MSP CONTRACT. SUBJECT TO BUMED'S ACCEPTANCE, A MEDICAL OFFICER WITH AN EXISTING MSP CONTRACT MAY TERMINATE THAT CONTRACT IN ORDER TO ENTER INTO A NEW MSP CONTRACT, WITH AN EQUAL OR LONGER OBLIGATION AT THE FY-01 MSP ANNUAL RATE. ANY UNEARNED PORTION OF TERMINATED MSP CONTRACT WILL BE RECOUPED PRO RATA. THE EARLIEST CONTRACT EFFECTIVE DATE USING THIS AUTHORITY IS 1 OCT 00. D. ACTIVE DUTY OBLIGATION (ADO) FOR MSP. (1) MSP ADO WILL BE SERVED AFTER ADO(S) FOR MEDICAL EDUCATION AND TRAINING OR PREVIOUS MSP AGREEMENTS. (2) IF NO ADO FOR MEDICAL EDUCATION AND TRAINING EXISTS AT TIME OF A MSP EXECUTION, THE MSP ADO IS SERVED CONCURRENTLY WITH THE MSP AGREEMENT PERIOD. IF THE MSP AGREEMENT IS EXECUTED ON OR AFTER THE STARTING DATE OF THE FELLOWSHIP, ADO WILL BEGIN ONE DAY AFTER FELLOWSHIP ADO IS COMPLETED. ONCE A PHYSICIAN BEGINS TO SERVE THE MSP ADO, IT WILL BE SERVED CONCURRENTLY WITH ANY EXISTING ADO, INCLUDING ADO'S FOR OTHER SPECIAL PAY AGREEMENTS AND MEDICAL EDUCATION AND TRAINING INCURRED AFTER EXECUTION OF THE PARTICULAR MSP AGREEMENT. (3) ADO'S FOR ADDITIONAL SPECIAL PAY, INCENTIVE SPECIAL PAY, PROMOTION AND PCS MAY BE SERVED CONCURRENTLY WITH MSP ADO. (4) MSP OBLIGATION IS BINDING UPON RECEIPT OF FIRST ANNUAL INSTALLMENT. 3. INCENTIVE SPECIAL PAY (ISP). A. PER REF B, FY-01 ISP RATES ARE AUTHORIZED FOR CONTRACTS BEGINNING ON OR AFTER 1 OCT 00 BY SPECIALTY AS INDICATED BELOW: SPECIALTY ANNUAL AMOUNTS IN DOLLARS NEUROSURGERY 36,000 GENERAL SURGERY SUBSPECIALTIES 36,000 ORTHOPEDICS 36,000 OB/GYN 31,000 RADIOLOGY/NUCLEAR MEDICINE 31,000 OTOLARYNGOLOGY 30,000 ANESTHESIOLOGY 29,000 OPTHALMOLOGY 28,000 UROLOGY 28,000 GENERAL SURGERY 26,000 CRITICAL CARE (NOTE 2) 23,000 EMERGENCY MEDICINE 22,000 PATHOLOGY 16,000 DERMATOLOGY 14,000 INTERNAL MEDICINE AND PEDIATRIC SUBSPECIALTIES 14,000 PSYCHIATRY 14,000 INTERNAL MEDICINE 13,000 FAMILY PRACTICE 13,000 NEUROLOGY 13,000 PEDIATRICS 11,000 PREV/OCCUP/PHYS/AERO MED (RESIDENCY TRAINED ONLY) 11,000 NOTE (1): SURGICAL SUBSPECIALTIES - FOR PURPOSES OF PAY CATEGORY; INCLUDES ADULT CARDIOLOGY, CARDIO-THORACIC SURGERY, COLON AND RECTAL SURGERY, ONCOLOGY SURGERY, PEDIATRIC SURGERY, AND PLASTIC SURGERY. NOTE (2): CRITICAL CARE - INTERNAL MEDICINE SUBSPECIALISTS OF GASTROENTEROLOGY, NEPHROLOGY, AND PULMONARY MEDICINE, HEMATOLOGY/ONCOLOGY, AND PEDIATRIC SUBSPECIALISTS OF CARDIOLOGY, GASTROENTEROLOGY, NEONATOLOGY AND PULMONARY MEDICINE. IT ALSO INCLUDES ANY FELLOWSHIP TRAINED CRITICAL CARE OR INTENSIVE MEDICINE SPECIALIST. B. ELIGIBILITY: (1) MEDICAL CORPS OFFICER, BELOW THE GRADE OF O-7, WHO HAVE COMPLETED SPECIALTY QUALIFICATION BEFORE 1 OCT 00. (2) MUST EXECUTE WRITTEN AGREEMENT TO REMAIN ON ACTIVE DUTY FOR PERIOD OF NOT LESS THAN ONE YEAR. (3) MUST BE CURRENTLY CREDENTIALED AND PRIVILEGED AT A MILITARY TREATMENT FACILITY IN THE SPECIALTY FOR WHICH ISP IS TO BE PAID. C. GRADUATE PROGRAM DIRECTORS. DIRECTORS OF GRADUATE MEDICAL EDUCATION PROGRAMS WHO WERE ELIGIBLE FOR ISP UNDER EXISTING AUTHORITY WILL CONTINUE TO BE ELIGIBLE FOR THAT ISP RATE UNTIL PERMANENTLY REASSIGNED FROM TRAINING DIRECTOR POSITION. NEWLY ASSIGNED PROGRAM DIRECTORS WILL ONLY BE ELIGIBLE FOR ISP AMOUNTS AS SPECIFIED FOR THEIR SPECIALTY. D. MEDICAL OFFICERS WITH AN EXISTING ISP AGREEMENT AND NOT UNDER AN MSP, MAY TERMINATE THAT ISP AGREEMENT ONCE, ON OR AFTER 1 OCT 00, ONLY TO ENTER INTO A NEW ONE-YEAR ISP AGREEMENT IF THE NEW AGREEMENT RESULTS IN A HIGHER ISP RATE THAN THE AGREEMENT BEING TERMINATED. THIS PROVISION IS NOT INTENDED TO ALLOW MEDICAL OFFICERS TO ARBITRARILY TERMINATE AN ISP AGREEMENT SOLELY FOR THE PURPOSE OF CHANGING THE ANNIVERSARY DATE TO COINCIDE WITH AN ASP AGREEMENT OR A RETIREMENT, RESIGNATION, OR RELEASE FROM ACTIVE DUTY DATE. THIS PARAGRAPH SUPERSEDES PARA (14) (A) (7) OF REFERENCE (C). 4. ADDITIONAL SPECIAL PAY (ASP). A. MEDICAL CORPS OFFICERS WHO ARE ELIGIBLE FOR VARIABLE SPECIAL PAY (VSP), AND NOT UNDERGOING MEDICAL INTERNSHIP OR INITIAL RESIDENCY TRAINING, AND WHO EXECUTE A WRITTEN AGREEMENT TO REMAIN ON ACTIVE DUTY FOR ONE YEAR, ARE ENTITLED TO ASP FOR ANY CONSECUTIVE 12-MONTH PERIOD AT THE ANNUAL AMOUNT OF $15,000. A COPY OF ALL LOCALLY APPROVED ASP CONTRACTS WILL BE FORWARDED TO BUMED-527. 5. BOARD CERTIFICATION PAY (BCP). A. PER REFERENCE (C), MEDICAL OFFICERS SHOULD SUBMIT A REQUEST AND A COPY OF THEIR BOARD CERTIFICATE TO BUMED-527 TO START BCP. UPON RECEIVING COPY OF RECERTIFICATION, MEDICAL OFFICERS SHOULD ALSO SUBMIT A REQUEST AND A COPY OF THEIR RECERTIFICATION TO CONTINUE BCP. IF NO RECERTIFICATION IS RECEIVED, BCP WILL BE AUTOMATICALLY TERMINATED THE DAY AFTER THE ORIGINAL CERTIFICATION'S EXPIRATION DATE. 6. ADMINISTRATIVE PROCEDURES. A. MSP SUBMISSION PROCEDURES ARE THE SAME AS MEDICAL OFFICER RETENTION BONUS GUIDANCE PROVIDED IN REF C. THE FORMAT FOR MSP REQUEST LETTER WAS REVISED ON 1 SEP 97 AND THIS FORMAT MUST BE USED. CONTACT YOUR DESIGNATED COMMAND SPECIAL PAY COORDINATOR OR ADMINISTRATIVE DEPARTMENT FOR A SAMPLE OF THE REVISED MSP REQUEST LETTER. MSP REQUESTS SUBMITTED IN THE OLD FORMAT WILL BE RETURNED WITHOUT ACTION. BUMED WILL DETERMINE ADO INCURRED FOR MEMBERS WHO TERMINATE CURRENT MSP AND EXECUTE NEW MSP CONTRACTS. MEMBERS WILL BE INFORMED OF ADO VIA APPROVAL NOTIFICATION LETTER. ACCEPTANCE OF FIRST MSP PAYMENT BY MEMBER INDICATES AGREEMENT TO TERMS OF MSP CONTRACT AND ADO. B. ISP SUBMISSION PROCEDURES AND ESTABLISHMENT OF ENTITLEMENT REQUIRE ELIGIBILITY AS ESTABLISHED BY REF C. MEDICAL OFFICERS MUST BE CURRENTLY CREDENTIALED AND PRIVILEGED IN THE SPECIALTY FOR WHICH ISP IS TO BE PAID. USE FORMAT REF C, ENCL (4) OR (5) AS APPLICABLE, FOR REQUESTING ISP BY SUBSTITUTING "ISP" FOR "ASP" WHENEVER IT APPEARS IN THE APPLICATION. COMMANDING OFFICERS WILL APPROVE/DENY FY-01 ISP CONTRACTS PER REF C. ON A CASE BY CASE BASIS, SECNAV MAY APPROVE RECOMMENDATIONS FOR ISP PAYMENTS TO FULLY QUALIFIED PHYSICIANS ASSIGNED TO A POSITION REQUIRING A SUBSTANTIAL PORTION OF TIME PERFORMING MILITARY UNIQUE DUTIES UNDER ADVERSE CONDITIONS OR IN REMOTE OCONUS LOCATIONS THAT PRECLUDE ABILITY TO SPEND APPROPRIATE TIME IN A CLINICAL SETTING. PHYSICIANS IN THESE UNIQUE POSITIONS MUST SUBMIT THEIR REQUESTS TO BUMED (MED-527), VIA THEIR CHAIN OF COMMAND. INFORMATION REGARDING POSITION UNIQUENESS AND CREDENTIALING MUST BE INCLUDED IN THE REQUEST. A COPY OF ALL LOCALLY APPROVED ISP CONTRACTS MUST BE FORWARDED TO BUMED-527. C. MEDICAL CORPS OFFICERS WHO ENTER INTO MSP CONTRACTS FOR FY-01 AS SPECIFIED IN THIS GUIDANCE MAY ENTER ISP CONTRACTS DURING FY-01 AT THE AMOUNTS LISTED ABOVE FOR THE SAME SPECIALTY AS STATED ON THE MSP CONTRACT. OFFICER WILL CONTINUE ISP ELIGIBILITY AT THAT RATE FOR EACH ACTIVE YEAR OF THE MSP CONTRACT. SHOULD FUTURE REASSESSMENTS CAUSE AN INCREASE TO THE ISP RATE FOR A SPECIALTY, THE OFFICER MAY TAKE ADVANTAGE OF THAT INCREASE ONLY BY SIGNING A NEW MSP CONTRACT (AT THE ANNUAL RATE IN EFFECT AT THAT TIME) WITH AN EQUAL OR LONGER OBLIGATION. D. THOSE MEDICAL OFFICERS RECEIVING A MSP UNDER PREVIOUS AUTHORITY ARE NOT ELIGIBLE TO RECEIVE ISP AT THE FY-01 HIGHER RATES WITHOUT RENEGOTIATING FOR A FY-01 MSP CONTRACT WITH AN EQUAL OR LONGER OBLIGATION (AS EXPLAINED IN PARAGRAPH 2C OF THIS MSG). E. MSP AND ISP PAYMENTS FOR OFFICERS PROMOTED TO 0-7 WILL BE RECOUPED PRO RATA, BASED ON THE EFFECTIVE DATE OF PROMOTION TO THAT GRADE. F. POLICY GENERALLY PRECLUDES PAYMENT OF ISP DURING THE SAME FISCAL YEAR IN WHICH RESIDENCY TRAINING IS COMPLETED. WHEN TRAINING IS COMPLETED OUT OF CYCLE AT TIME OTHER THAN THE NORMAL END OF JUNE, THE EFFECTIVE DATE FOR ISP SHALL BE CALCULATED FROM THE COMPLETION OF TRAINING PLUS THREE MONTHS. G. DUE TO ADMINISTRATIVE DELAY IN RELEASE OF FY-01 MSP PLAN, ELIGIBLE MEDICAL OFFICERS ARE AUTHORIZED A ONE-TIME RETROACTIVE APPROVAL OF MSP CONTRACTS FOR A DATE OF 1 OCT 00. OFFICERS DESIRING TO TAKE ADVANTAGE OF THIS ONE-TIME PROVISION MUST ENSURE THAT THEIR MSP SERVICE AGREEMENT LETTER WITH COMMAND ENDORSEMENT IS RECEIVED BY BUMED-527 NLT COB 20 DEC 00. CONTRACTS RECEIVED AFTER 20 DEC 00 WILL BE EFFECTIVE NOT EARLIER THAN DATE OF APPROVAL BY BUMED. H. IF A MEMBER IS CURRENTLY UNDER HIS/HER FIRST TERM OBLIGATION AS AN ACTIVE DUTY MEDICAL OFFICER WITHOUT ADO FOR TRAINING, AND THEIR ASP, ISP, AND MSP DATES ARE NOT ALIGNED WITH THEIR DATE OF RELEASE FROM ACTIVE DUTY, MEMBER MAY REQUEST TO ALIGN THEIR ASP, ISP, MSP DATES TO COINCIDE WITH THEIR RELEASE FROM ACTIVE DUTY DATES. 7. TERMINATION OF ENTITLEMENT TO SPECIAL PAY. A. CHIEF, BUMED MAY TERMINATE OR DENY AT ANY TIME A MEDICAL CORPS OFFICER'S ENTITLEMENT TO ASP, ISP AND MSP. REASONS FOR DENIAL/TERMINATION MAY INCLUDE BUT ARE NOT LIMITED TO LOSS OF PRIVILEGES, COURTS MARTIAL CONVICTION, VIOLATION OF UCMJ, FAILURE TO MEET OR MAINTAIN ELIGIBILITY REQUIREMENTS INCLUDING PHYSICAL FITNESS ASSESSMENT (PFA) FAILURE, OR FOR REASONS THAT ARE IN THE BEST INTEREST OF THE NAVY. B. IF ENTITLEMENT TO ONE OR MORE AFOREMENTIONED SPECIAL PAYS IS TERMINATED, THE OFFICER SHALL BE PAID, ON A PRO RATA BASIS, THE PORTION SERVED UP TO THE OFFICIAL DATE OF TERMINATION. 8. RECOUPMENT OF MSP, ISP, AND ASP SHALL BE CONDUCTED IN ACCORDANCE WITH SECTION 301D(C) AND 302(F) OF TITLE 37, USC. 9. POC'S ARE LCDR J. A. BRADLEY OR HM1(FMF) R. FONTANARES, BUMED SPECIAL PAYS, AT (202) 762-3363/DSN 762 OR E-MAIL: JABRADLEY@US.MED.NAVY.MIL OR RFFONTANARES@US.MED.NAVY.MIL. 10. RELEASED BY VADM NORBERT R. RYAN, JR.// BT