B-136872, SEP 12, 1958

B-136872: Sep 12, 1958

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PRECIS-UNAVAILABLE SECRETARY OF THE NAVY: REFERENCE IS MADE TO LETTER OF JULY 16. IT IS STATED THAT THE REQUEST WAS APPROVED BY THE DEPARTMENT OF DEFENSE. THERE IS FURNISHED THE FOLLOWING INFORMATION: "12/31/47 RELEASED TO INACTIVE DUTY AND TRANSFERRED TO FLEET RESERVE. PAY WAS MECHANICALLY ADJUSTED ON 1 OCTOBER 1949 UNDER METHOD (B) OF SECTION 511 OF PUBLIC LAW 351. 8/28/50-2/9/54 SERVED ON ACTIVE DUTY. THERE IS FURNISHED THE FOLLOWING SUMMARY SHOWING THE RETAINER AND RETIRED PAY PAID TO LIEUTENANT MCQUEEN (COLUMN 1) FROM FEBRUARY 10. THE RATES OF PAY HE WOULD HAVE BEEN ENTITLED TO RECEIVE UNDER SECTION 511 OF THE CAREER COMPENSATION ACT OF 1949. INCLUDING THE RATING OR RANKS ON WHICH SUCH PAY WAS BASED: "COLUMN 1 COLUMN 2 COLUMN 3 AMTS TO WHICH AMTS TO WHICH AMTS PD UNDER ENTITLED UNDER ENTITLED UNDER SEC 516 WITH 27 SEC 511 WITH 24 SEC 516 WITH 27 PERIOD YEARS SERVICE YEARS SERVICE YEARS SERVICE 2/10/54-2/28/54 $206.39 (CPHM) $174.28 (CPHM) (FN2) $206.39 (CPHM) 3/1/54-6/3/54 310.11 (LT) 236.81 (LTJG) (FN1) 245.09 (LTJG) 6/4/54-3/31/55 310.11 (LT) 275.65 (LT) (FN2) 245.09 (LTJG) 4/1/55- 5/31/56 347.49 (LT) 308.88 (LT) (FN2) 279.05 (LTJG) 6/1/56-TO DATE 347.49 (LT) 308.88 (LT) (FN2) 347.49 (LT) IT APPEARS THAT WHILE SERVING ON ACTIVE DUTY AS A CHIEF PETTY OFFICER.

B-136872, SEP 12, 1958

PRECIS-UNAVAILABLE

SECRETARY OF THE NAVY:

REFERENCE IS MADE TO LETTER OF JULY 16, 1958, FROM THE ASSISTANT SECRETARY OF THE NAVY (FINANCIAL MANAGEMENT), REQUESTING A DECISION AS TO THE PROPER RATES OF RETIRED PAY PAYABLE TO LIEUTENANTS WILLIAM O. MCQUEEN, MSC, USN (RETIRED), 300092 (FORMERLY HMC, USNFR), AND WILFRED L. SAXE, USN (RETIRED), 299959 (FORMERLY CMMPA), USNFR, UNDER THE CIRCUMSTANCES DISCLOSED. IT IS STATED THAT THE REQUEST WAS APPROVED BY THE DEPARTMENT OF DEFENSE, MILITARY PAY AND ALLOWANCE COMMITTEE, AND ASSIGNED SUBMISSION NO. 268.

THE ASSISTANT SECRETARY'S LETTER STATES THAT, IN THE CASE OF LIEUTENANT MCQUEEN, DOUBT EXISTS AS TO THE PROPER RATE OF RETIRED PAY PAYABLE TO HIM FROM JUNE 4, 1954, THE DAY FOLLOWING COMPLETION OF 30 YEARS' DAY FOR DAY SERVICE, AND THERE IS FURNISHED THE FOLLOWING INFORMATION:

"12/31/47 RELEASED TO INACTIVE DUTY AND TRANSFERRED TO FLEET RESERVE, F-4 -D, AS CPHM WITH 23 YEARS, 6 MONTHS, AND 28 DAYS NET ACTIVE SERVICE.

1/1/48-8/27/50 ACCOUNT CARRIED ON RETAINER ROLL. PAY WAS MECHANICALLY ADJUSTED ON 1 OCTOBER 1949 UNDER METHOD (B) OF SECTION 511 OF PUBLIC LAW 351.

8/28/50-2/9/54 SERVED ON ACTIVE DUTY. THIS SERVICE OF 3 YEARS, 5 MONTHS, AND 12 DAYS, WHEN ADDED TO PRIOR SERVICE OF 23 YEARS, 6 MONTHS, AND 28 DAYS, GIVES HIM TOTAL SERVICE OF 27 YEARS AND 10 DAYS.

3/1/54 RETIRED UNDER THE NAVAL RESERVE ACT OF 1938 BY REASON OF COMPLETION OF 30 YEARS SERVICE.

6/3/54 COMPLETED 30 YEARS DAY FOR DAY SERVICE WITHIN MEANING OF SECTION 511 OF PUBLIC LAW 351.

PUBLIC LAW 305 RANK - LTJG

SECTION 511 RANK - LT (DATE OF RANK 8/1/46 PER 1947 USN REGISTER)

PUBLIC LAW 547 RANK - LT"

IN ADDITION, THERE IS FURNISHED THE FOLLOWING SUMMARY SHOWING THE RETAINER AND RETIRED PAY PAID TO LIEUTENANT MCQUEEN (COLUMN 1) FROM FEBRUARY 10, 1954, THE RATES OF PAY HE WOULD HAVE BEEN ENTITLED TO RECEIVE UNDER SECTION 511 OF THE CAREER COMPENSATION ACT OF 1949, 37 U.S.C. 311, IF HE HAD NOT SERVED ON ACTIVE DUTY DURING THE PERIOD AUGUST 28, 1950, TO FEBRUARY 9, 1954 (COLUMN 2), AND THE RATES OF PAY APPLICABLE TO HIS CASE UNDER SECTION 516 OF THE 1949 ACT, 37 U.S.C. 316 (COLUMN 3), INCLUDING THE RATING OR RANKS ON WHICH SUCH PAY WAS BASED:

"COLUMN 1 COLUMN 2 COLUMN 3

AMTS TO WHICH AMTS TO WHICH

AMTS PD UNDER ENTITLED UNDER ENTITLED UNDER

SEC 516 WITH 27 SEC 511 WITH 24 SEC 516 WITH 27 PERIOD YEARS SERVICE YEARS SERVICE YEARS SERVICE 2/10/54-2/28/54 $206.39 (CPHM) $174.28 (CPHM) (FN2) $206.39 (CPHM) 3/1/54-6/3/54 310.11 (LT) 236.81 (LTJG) (FN1) 245.09 (LTJG) 6/4/54-3/31/55 310.11 (LT) 275.65 (LT) (FN2) 245.09 (LTJG) 4/1/55- 5/31/56 347.49 (LT) 308.88 (LT) (FN2) 279.05 (LTJG) 6/1/56-TO DATE 347.49 (LT) 308.88 (LT) (FN2) 347.49 (LT)

IT APPEARS THAT WHILE SERVING ON ACTIVE DUTY AS A CHIEF PETTY OFFICER, LIEUTENANT MCQUEEN WAS APPOINTED TO THE TEMPORARY RANK OF ENSIGN ON JULY 15, 1943, TO THE TEMPORARY RANK OF LIEUTENANT (JUNIOR GRADE) ON NOVEMBER 1, 1944, AND TO THE TEMPORARY RANK OF LIEUTENANT ON AUGUST 1, 1946. MARCH 1, 1954, HE WAS TRANSFERRED TO THE RETIRED LIST OF THE REGULAR NAVY IN ACCORDANCE WITH THE PROVISIONS OF SECTION 204 OF THE NAVAL RESERVE ACT OF 1938, 52 STAT. 1179, AS AMENDED, 34 U.S.C. 854C, AND PURSUANT TO THE PROVISIONS OF SECTION 10 OF THE ACT OF JULY 24, 1941, AS AMENDED BY SECTION 8(A) OF THE ACT OF FEBRUARY 21, 1946, 60 STAT. 28, 34 U.S.C. 350IB)(2) AND (E), THE SECRETARY OF THE NAVY BY LETTER DATED APRIL 1, 1954, NOTIFIED THE OFFICER THAT THE HIGHEST GRADE IN WHICH HE SERVED SATISFACTORILY WAS LIEUTENANT (JUNIOR GRADE), TO WHICH HE WAS ADVANCED ON THE RETIRED LIST FROM DATE OF RETIREMENT. UNDER THE PROVISIONS OF THE ABOVE-CITED SECTION 10 OF THE ACT OF JULY 24, 1941, AS AMENDED, AN OFFICER'S ADVANCEMENT ON THE RETIRED LIST AND THE COMPUTATION OF HIS RETIRED PAY WAS LIMITED TO THE HIGHEST RANK SATISFACTORILY HELD BY HIM PRIOR TO JULY 1, 1946. SINCE THE HIGHEST RANK SATISFACTORILY HELD BY LIEUTENANT MCQUEEN PRIOR TO JULY 1, 1946, WAS LIEUTENANT (JUNIOR GRADE) HIS RETIRED PAY COMMENCING MARCH 1, 1954, SHOULD HAVE BEEN COMPUTED ON THE BASIS OF THAT RANK. HOWEVER, THE RESTRICTIVE PROVISIONS CONTAINED IN SECTION 10(E) OF THE ABOVE ACT OF JULY 24, 1941, AS AMENDED, WERE REPEALED EFFECTIVE AS OF FEBRUARY 21, 1946, BY SECTION 4(A), PUBLIC LAW 547, ACT OF MAY 31, 1956, 70 STAT. 222. IT APPEARS THAT UNDER THE PROVISIONS OF PUBLIC LAW 547, LIEUTENANT MCQUEEN HAS BEEN ADVANCED ON THE RETIRED LIST TO THE HIGHER RANK OF LIEUTENANT FROM JUNE 1, 1956, IT HAVING BEEN DETERMINED THAT HE SERVED SATISFACTORILY IN THAT GRADE. IN THAT CONNECTION, SECTION 5 OF THE ABOVE ACT OF MAY 31, 1956, PROHIBITS THE ADVANCEMENT ON THE RETIRED LIST OR AN INCREASE IN RETIRED PAY BECAUSE OF THAT ACT FOR ANY PERIOD BEFORE THE EFFECTIVE DATE OF THAT ACT (MAY 31, 1956).

SECTION 511 OF THE CAREER COMPENSATION ACT OF 1949, 63 STAT. 829, 37 U.S.C. 311, PROVIDES, IN PERTINENT PART, AS FOLLOWS:

"ON AND AFTER OCTOBER 1, 1949 *** MEMBERS HERETOFORE TRANSFERRED TO THE FLEET RESERVE OR THE FLEET MARINE CORPS RESERVE *** SHALL BE ENTITLED TO RECEIVE RETIRED PAY, RETIREMENT PAY, RETAINER PAY, OR EQUIVALENT PAY, IN THE AMOUNT WHICHEVER IS THE GREATER, COMPUTED BY ONE OF THE FOLLOWING METHODS: *** (B) MONTHLY RETIRED PAY, RETIREMENT PAY, RETAINER PAY, OR EQUIVALENT PAY EQUAL TO 2 1/2 PER CENTUM OF THE MONTHLY BASIC PAY OF THE HIGHEST FEDERALLY RECOGNIZED RANK, GRADE, OR RATING, WHETHER UNDER A PERMANENT OR TEMPORARY APPOINTMENT, SATISFACTORILY HELD, BY SUCH MEMBER OR FORMER MEMBER, AS DETERMINED BY THE SECRETARY CONCERNED, AND WHICH SUCH MEMBER, FORMER MEMBER, OR PERSON WOULD BE ENTITLED TO RECEIVE IF SERVING ON ACTIVE DUTY IN SUCH RANK, GRADE, OR RATING, MULTIPLIED BY THE NUMBER OF YEARS OF ACTIVE SERVICE CREDITABLE TO HIM: *** PROVIDED FURTHER, THAT *** (B) ENLISTED PERSONS OR FORMER ENLISTED PERSONS OF THE REGULAR NAVY OR REGULAR MARINE CORPS WHO HAVE BEEN TRANSFERRED PRIOR TO OCTOBER 1, 1949 TO THE FLEET RESERVE OR THE FLEET MARINE CORPS RESERVE UNDER THE PROVISIONS OF SECTIONS 854-854G OF TITLE 34, SHALL NOT BE ENTITLED TO HAVE THEIR RETIRED PAY OR RETAINER PAY COMPUTED ON THE BASIS OF THE HIGHEST OFFICER OR WARRANT-OFFICER GRADE HELD BY THEM AS AUTHORIZED BY THIS SECTION UNTIL THEY HAVE COMPLETED THIRTY YEARS OF SERVICE, TO INCLUDE THE SUM OF THEIR ACTIVE SERVICE AND THEIR IERVICE ON THE RETIRED LIST OR IN THE FLEET RESERVE OR IN THE FLEET MARINE CORPS RESERVE, AS REQUIRED BY EXISTING LAW:

THE BENEFITS AUTHORIZED UNDER METHOD (B) OF THAT SECTION ARE BASED ON THE GRADE OR RATING SATISFACTORILY "HELD" BY THE MEMBER. SECTION 516 OF THE SAME ACT, 37 U.S.C. 316, PROVIDES, AMONG OTHER THINGS, THAT MEMBERS OF THE FLEET RESERVE ENTITLED TO RECEIVE RETIRED OR RETAINER PAY, SHALL BE ENTITLED, SUBJECT TO THE PROVISIONS THEREIN LISTED "TO RECEIVE INCREASES IN SUCH RETIRED PAY *** RETAINER PAY" FOR ALL ACTIVE DUTY PERFORMED AFTER THE DATE OF THEIR RETIREMENT OR TRANSFER TO THE FLEET RESERVE. THAT SECTION AUTHORIZES THE COMPUTATION OF RETIRED PAY BASED ON THE RANK OR GRADE IN WHICH HE WOULD BE ELIGIBLE, AT THE TIME OF HIS RELEASE FROM ACTIVE DUTY, TO BE RETIRED OR TRANSFERRED EXCEPT FOR THE FACT THAT HE IS ALREADY A RETIRED PERSON OR A MEMBER OF THE FLEET RESERVE.

SINCE LIEUTENANT MCQUEEN DID NOT COMPLETE 30 YEARS' DAY FOR DAY SERVICE UNTIL JUNE 3, 1954 - AND HENCE DID NOT QUALIFY FOR INCREASED RETIRED PAY UNDER THE PROVISIONS OF SECTION 511 OF THE 1949 ACT ON OR BEFORE THAT DATE - WE CONCUR WITH THE VIEW THAT HIS RETIRED PAY DURING THE PERIOD MARCH 1 TO JUNE 3, 1954, SHOULD HAVE BEEN COMPUTED UNDER THE PROVISIONS OF SECTION 516 ON THE BASIS OF THE MONTHLY BASIC PAY OF A LIEUTENANT (JUNIOR GRADE) WITH 27 YEARS' SERVICE, THE HIGHEST GRADE IN WHICH HE SERVED SATISFACTORILY PRIOR TO JULY 1, 1946. THE DIFFERENCE BETWEEN THE MONTHLY AMOUNT PAID AS A LIEUTENANT ($310.11) AND THE AMOUNT DUE AS A LIEUTENANT (JUNIOR GRADE) ($245.09) SHOULD BE ADJUSTED IN HIS ACCOUNT.

WITH RESPECT TO RETIRED PAY FROM JUNE 4, 1954, THE DAY FOLLOWING THE COMPLETION OF 30 YEARS' DAY FOR DAY SERVICE, IT IS STATED THAT IF LIEUTENANT MCQUEEN HAD NOT BEEN RECALLED TO ACTIVE DUTY ON AUGUST 28, 1950, HE WOULD HAVE BEEN ENTITLED FROM JUNE 4, 1954, TO MAY 31, 1956, TO RETIRED PAY UNDER METHOD (B) OF SECTION 511 OF THE 1949 ACT, BASED ON THE RANK OF LIEUTENANT, WHICH PAY IS GREATER, EXCLUDING HIS LAST PERIOD OF ACTIVE DUTY, THAN PAY UNDER SECTION 516 OF THE SAME ACT AS A LIEUTENANT (JUNIOR GRADE) FOR THE SAME PERIOD, INCLUDING HIS LAST PERIOD OF ACTIVE DUTY. IN THAT CONNECTION, IN A DECISION DATED JULY 10, 1953, B-115502, 33 COMP. GEN. 17, 19, WHEREIN REFERENCE WAS MADE TO A PRIOR DECISION, 31 COMP. GEN. 547, WE SAID THAT UNLESS THE COMPUTATION OF RETIRED OR RETAINER PAY IN ACCORDANCE WITH THE METHOD PRESCRIBED IN SECTION 516 RESULTS IN AN INCREASE IN AN AMOUNT OF RETIRED OR RETAINER PAY THAT WAS BEING RECEIVED PRIOR TO THE IMMEDIATELY PRECEDING PERIOD OF ACTIVE DUTY, THE PROVISIONS OF SECTION 516 ARE INOPERATIVE AND DO NOT REQUIRE THE PAYMENT OF A LESSER AMOUNT OF RETIRED OR RETAINER PAY THAN THAT THERETOFORE RECEIVED, AND THAT THE SAME REASONING WOULD APPLY TO A CASE WHERE THE APPLICATION OF THE PROVISIONS OF SECTION 516 WOULD PREVENT A MEMBER FROM RECEIVING A HIGHER RATE OF RETIRED PAY TO WHICH HE WOULD HAVE BEEN ENTITLED HAD HE NOT SERVED ON ACTIVE DUTY SUBSEQUENT TO HIS TRANSFER TO THE FLEET RESERVE, EVEN THOUGH HE WAS NOT ENTITLED TO RECEIVE SUCH RETIRED PAY AT THE TIME HE WAS CALLED TO ACTIVE DUTY. HENCE, WE SEE NO REASON WHY LIEUTENANT MCQUEEN SHOULD NOT HAVE HIS RETIRED PAY COMPUTED UNDER METHOD (B) OF SECTION 511 AS A LIEUTENANT WITH 24 YEARS' SERVICE FROM JUNE 4, 1954, TO MAY 31, 1956.

EFFECTIVE JUNE 1, 1956, THE OFFICER'S RETIRED PAY AS A LIEUTENANT IN ACCORDANCE WITH PUBLIC LAW 547, APPROVED MAY 31, 1956, AND SECTION 516 OF THE 1949 ACT, INCLUDING HIS LAST PERIOD OF ACTIVE DUTY, IS GREATER THAN RETIRED PAY AS A LIEUTENANT UNDER SECTION 511 OF THE LATTER ACT. THE ASSISTANT SECRETARY RECOMMENDS THAT THE OFFICER'S RETIRED PAY BE COMPUTED UNDER METHOD (B) OF SECTION 511, FROM JUNE 4, 1954, TO MAY 31, 1956, AND UNDER SECTION 516 OF THE SAME ACT FROM JUNE 1, 1956. IN CONSIDERING THE TWO METHODS OF COMPUTATION PROVIDED IN SECTION 511, WE POINTED OUT IN 37 COMP. GEN. 31, 34, THAT MEMBERS ARE ENTITLED TO HAVE THEIR RETIRED PAY COMPUTED BY THE METHOD WHICH PRODUCES THE GREATER AMOUNT OF RETIRED PAY, AND THAT AFTER RECEIVING RETIRED PAY COMPUTED BY ONE METHOD, IF CONDITIONS CHANGE IN SUCH A MANNER THAT A RETIRED MEMBER'S PAY WOULD INCREASE BY COMPUTING HIS RETIRED PAY UNDER THE OTHER METHOD, SUCH RECOMPUTATION WOULD BE AUTHORIZED AND REQUIRED UNDER SECTION 511 WITHOUT ANY ELECTION ON HIS PART. SINCE SECTION 516 IS APPLICABLE ONLY IN THOSE CASES WHERE IT WOULD RESULT IN AN "INCREASE" IN RETIRED PAY (33 COMP. GEN. 17, 19), WE FIND NO OBJECTION TO COMPUTING THE OFFICER'S RETIRED PAY UNDER SECTION 516 IF SUCH COMPUTATION RESULTS IN AN INCREASE IN RETIRED PAY FROM JUNE 1, 1956.

CONCERNING THE CASE OF LIEUTENANT SAXE, IT IS STATED THAT HIS CASE IS SIMILAR TO THAT OF LIEUTENANT MCQUEEN'S, AND THAT DOUBT EXISTS AS TO THE COMPUTATION OF HIS RETIRED PAY FROM APRIL 24, 1955. THE FOLLOWING FACTS ARE PRESENTED:

"2/21/47 RELEASED TO INACTIVE DUTY AND TRANSFERRED TO FLEET RESERVE, F-5, AS CMM WITH 21 YEARS, 9 MONTHS, AND 28 DAYS NET ACTIVE SERVICE.

2/22/47 - 11/6/50 ACCOUNT CARRIED ON RETAINER ROLL. PAY WAS MECHANICALLY ADJUSTED ON 1 OCTOBER 1949 UNDER METHOD (B) OF SECTION 511 OF PUBLIC LAW 351.

11/7/50 - 10/31/52 SERVED ON ACTIVE DUTY. THIS SERVICE OF 1 YEAR, 11 MONTHS, AND 24 DAYS, WHEN ADDED TO PRIOR SERVICE OF 21 YEARS, 9 MONTHS, AND 28 DAYS, GIVES HIM TOTAL SERVICE OF 23 YEARS, 9 MONTHS, AND 22 DAYS.

3/1/55 RETIRED UNDER THE NAVAL RESERVE ACT OF 1938 BY REASON OF COMPLETION OF 30 YEARS SERVICE.

4/23/55 COMPLETED 30 YEARS DAY FOR DAY SERVICE WITHIN MEANING OF SECTION 511 OF PUBLIC LAW 351.

PUBLIC LAW 305 RANK - LTJG

SECTION 511 RANK - LT

PUBLIC LAW 547 RANK - LT"

ALSO FURNISHED IS THE FOLLOWING SUMMARY FROM NOVEMBER 1, 1952, OF RETIRED AND RETAINER PAY PAID TO LIEUTENANT SAXE UNDER SECTION 516 (COLUMN 1), AND THE RATES OF PAY HE WOULD HAVE BEEN ENTITLED TO RECEIVE UNDER SECTION 511 OF THE SAME ACT IF HE HAD NOT SERVED ON ACTIVE DUTY DURING THE PERIOD NOVEMBER 7, 1950, TO OCTOBER 31, 1952, (COLUMN 2), INCLUDING THE RATING OR RANKS ON WHICH SUCH PAY WAS BASED:

"COLUMN 1 COLUMN 2

AMOUNTS TO WHICH

AMTS PD UNDER SEC 516 ENTITLED UNDER SEC 511 PERIOD WITH 24 YEARS SERVICE WITH 21 1/2 YEARS SERVICE 11/1/52 - 2/28/55 $174.28 (CMM) $151.35 (CMM) (FN2) 3/1/55 - 3/31/55 217.86 (LTJG) 177.61 (LTJG) (FN1) 4/1/55 - 4/23/55 248.04 (LTJG) 188.27 (LTJG) (FN2) 4/24/55 - 5/31/56 248.04 (LTJG) 274.56 (LT) (FN2) 6/1/56 - TO DATE 308.88 (LT) 274.56 (LT) (FN2) IT APPEARS THAT LIEUTENANT SAXE WAS APPOINTED TO THE TEMPORARY RANK OF ENSIGN ON JULY 15, 1943, TO THE TEMPORARY RANK OF LIEUTENANT (JUNIOR GRADE) ON NOVEMBER 1, 1944, AND TO THE TEMPORARY RANK OF LIEUTENANT ON AUGUST 1, 1946. THE SECRETARY OF THE NAVY HAS DETERMINED THAT THE OFFICER SERVED SATISFACTORILY UNDER TEMPORARY APPOINTMENT AS LIEUTENANT (JUNIOR GRADE) DURING THE SECOND WORLD WAR, AND THAT FOR THE PURPOSES OF SECTION 511 OF THE 1949 ACT IT WAS DETERMINED THAT THE HIGHEST RANK SATISFACTORILY HELD BY THE OFFICER WAS LIEUTENANT.

THE ABOVE PROVISIONS OF LAW AND THE CITED DECISIONS ARE EQUALLY APPLICABLE IN LIEUTENANT SAXE'S CASE. SINCE LIEUTENANT SAXE DID NOT COMPLETE 30 YEARS' DAY FOR DAY SERVICE UNTIL APRIL 23, 1955, IT APPEARS THAT DURING THE PERIOD MARCH 1 TO APRIL 23, 1955, HIS RETIRED PAY PROPERLY WAS COMPUTED ON THE PAY OF A LIEUTENANT (JUNIOR GRADE) WITH 24 YEARS' SERVICE UNDER SECTION 516. FROM APRIL 24, 1955 (THE DAY FOLLOWING COMPLETION OF 30 YEARS' DAY FOR DAY SERVICE) TO MAY 31, 1956, LIEUTENANT SAXE WAS ENTITLED TO HAVE HIS RETIRED PAY COMPUTED ON THE BASIS OF A LIEUTENANT WITH 21 1/2 YEARS' SERVICE UNDER SECTION 511. SINCE DURING THAT PERIOD HE WAS PAID AS A LIEUTENANT (JUNIOR GRADE) WITH OVER 24 YEARS' SERVICE UNDER SECTION 516, HE IS ENTITLED TO AN ADJUSTMENT BETWEEN THE MONTHLY RATE PAID AS A LIEUTENANT (JUNIOR GRADE) ($248.04), AND THE AMOUNT TO WHICH HE IS ENTITLED AS A LIEUTENANT ($274.56). LIEUTENANT SAXE, LIKE LIEUTENANT MCQUEEN, IS ENTITLED TO LOOK TO SECTION 516 (NOW CODIFIED IN 10 U.S.C. 1402(A)) TO HAVE HIS RETIRED PAY COMPUTED ON AND AFTER JUNE 1, 1956, AS A LIEUTENANT WITH 24 YEARS' SERVICE UNDER THAT SECTION.

THE QUESTIONS PRESENTED ARE ANSWERED ACCORDINGLY.

FN1 METHOD (A) OF SECTION 511

FN2 METHOD (B) OF SECTION 511" ..END :