B-56790, SEPTEMBER 6, 1946, 26 COMP. GEN. 152

B-56790: Sep 6, 1946

Additional Materials:

Contact:

Edda Emmanuelli Perez
(202) 512-2853
EmmanuelliPerezE@gao.gov

 

Office of Public Affairs
(202) 512-4800
youngc1@gao.gov

WERE RECEIVING PAY UNDER SECTION 310 OF THE 1938 ACT BY REASON OF A TRANSFER TO SAID LIST ON OR AFTER JUNE 1. ARE ENTITLED TO HAVE THEIR PAY RECOMPUTED ON THE BASIS OF ALL SERVICE NOW CREDITABLE UNDER SAID 1944 ACT. WHO WERE ENTITLED TO RETIRED PAY ON SEPTEMBER 7. ARE ENTITLED TO HAVE THEIR RETIRED PAY RECOMPUTED ON THE BASIS OF ALL SERVICE NOW CREDITABLE UNDER SAID ACT. RECEIVING RETAINER PAY UNDER THE PROVISIONS OF THE NAVAL RESERVE ACT OF 1938 ARE TO BE REGARDED AS IN RECEIPT OF "RETIRED PAY" WITHIN THE MEANING OF SECTION 11 OF THE ACT OF SEPTEMBER 7. WERE ENTITLED TO RECEIVE RETAINER PAY ARE ENTITLED TO HAVE SUCH PAY RECOMPUTED ON THE BASIS OF ALL SERVICE NOW CREDITABLE UNDER SAID 1944 ACT.

B-56790, SEPTEMBER 6, 1946, 26 COMP. GEN. 152

PAY - NAVY ENLISTED MEN TRANSFERRED TO HONORARY RETIRED LIST; RETAINER; AND RETIRED - RECOMPUTATION UNDER ACT OF SEPTEMBER 7, 1944 ENLISTED NAVAL RESERVISTS TRANSFERRED TO THE HONORARY RETIRED LIST AND RECEIVING PAY UNDER SECTION 310 OF THE NAVAL RESERVE ACT OF 1938 MAY BE REGARDED AS IN RECEIPT OF "RETIRED PAY" WITHIN THE MEANING OF SECTION 11 OF THE ACT OF SEPTEMBER 7, 1944, MAKING THE SERVICE CREDIT BENEFITS OF THE ACT RETROACTIVE TO JUNE 1, 1942, FOR PERSONNEL IN RECEIPT OF "RETIRED PAY" ON SEPTEMBER 7, 1944, AND, THEREFORE, RESERVISTS WHO, ON SEPTEMBER 7, 1944, WERE RECEIVING PAY UNDER SECTION 310 OF THE 1938 ACT BY REASON OF A TRANSFER TO SAID LIST ON OR AFTER JUNE 1, 1942, ARE ENTITLED TO HAVE THEIR PAY RECOMPUTED ON THE BASIS OF ALL SERVICE NOW CREDITABLE UNDER SAID 1944 ACT. ENLISTED MEN OF THE NAVY WHO TRANSFERRED TO THE RETIRED LIST OF THE REGULAR NAVY FROM THE REGULAR NAVY OR THE FLEET RESERVE, EITHER PRIOR OR SUBSEQUENT TO JUNE 1, 1942, AND WHO WERE ENTITLED TO RETIRED PAY ON SEPTEMBER 7, 1944, THE DATE OF THE ACT WHICH, RETROACTIVE TO JUNE 1, 1942, AUTHORIZED THE COUNTING FOR ALL PAY PURPOSES OF CERTAIN SERVICE THAT THERETOFORE COULD NOT BE COUNTED, ARE ENTITLED TO HAVE THEIR RETIRED PAY RECOMPUTED ON THE BASIS OF ALL SERVICE NOW CREDITABLE UNDER SAID ACT. ENLISTED MEN OF THE NAVY TRANSFERRED TO THE FLEET RESERVE, EITHER PRIOR OR SUBSEQUENT TO JUNE 1, 1942, AND RECEIVING RETAINER PAY UNDER THE PROVISIONS OF THE NAVAL RESERVE ACT OF 1938 ARE TO BE REGARDED AS IN RECEIPT OF "RETIRED PAY" WITHIN THE MEANING OF SECTION 11 OF THE ACT OF SEPTEMBER 7, 1944, MAKING THE SERVICE CREDIT BENEFITS OF THE ACT RETROACTIVE TO JUNE 1, 1942, FOR PERSONNEL IN RECEIPT OF "RETIRED PAY" ON SEPTEMBER 7, 1944, AND, THEREFORE, TRANSFERRED MEMBERS OF THE FLEET RESERVE WHO, ON SEPTEMBER 7, 1944, WERE ENTITLED TO RECEIVE RETAINER PAY ARE ENTITLED TO HAVE SUCH PAY RECOMPUTED ON THE BASIS OF ALL SERVICE NOW CREDITABLE UNDER SAID 1944 ACT.

ASSISTANT COMPTROLLER GENERAL YATES TO THE SECRETARY OF THE NAVY, SEPTEMBER 6, 1946:

THERE HAS BEEN CONSIDERED YOUR LETTER OF MARCH 28, 1946, FILE JAG:II:WJG:Z L16-4 (21) ( MM, WITH ENCLOSURES, AS FOLLOWS:

THERE IS FORWARDED HEREWITH A LETTER FROM THE CHIEF OF THE BUREAU OF SUPPLIES AND ACCOUNTS, NAVY DEPARTMENT, DATED JANUARY 15, 1946, WITH ACCOMPANYING ENCLOSURE, RELATIVE TO THE RETIRED PAY STATUS OF ARSENIUS FRANCIS DEBAUW, CHIEF MACHINIST'S MATE ( PA), U.S. NAVAL RESERVE, RETIRED.

YOUR DECISION IS REQUESTED AS TO WHETHER THE NAVY DEPARTMENT IS AUTHORIZED TO RECOMPUTE THE RETIRED PAY OF DEBAUW RETROACTIVELY EFFECTIVE TO SEPTEMBER 1, 1943, ON THE BASIS OF ALL HIS SERVICE, ACTIVE AND INACTIVE, IN THE OREGON NAVAL MILITIA, THE NATIONAL NAVAL VOLUNTEERS, THE NAVAL RESERVE FORCE, AND THE NAVAL RESERVE, UNDER THE CONDITIONS STATED IN THE ENCLOSURE.

THE NAVY DEPARTMENT CONSIDERS THAT ENLISTED MEN ELIGIBLE FOR OR IN RECEIPT OF RETAINER OR RETIRED PAY ON JUNE 1, 1942, BY REASON OF HAVING BEEN TRANSFERRED TO THE FLEET RESERVE OR THE RETIRED LIST PRIOR TO THE DATE, ARE ENTITLED TO COUNT FOR THE PURPOSE OF DETERMINING THE APPLICABLE RATE OF RETAINER OR RETIRED PAY OTHERWISE PROPERLY PAYABLE ON AND AFTER JUNE 1, 1942, ALL PRIOR SERVICE, ACTIVE AND INACTIVE, IN THE SERVICES ENUMERATED IN SECTION 3 OF THE ACT OF SEPTEMBER 7, 1944 ( PUBLIC LAW 421-- - 78TH CONGRESS), TO THEIR CREDIT ON DATE OF INITIAL TRANSFER TO THE FLEET RESERVE OR RETIRED LIST, AS WELL AS ACTIVE SERVICE PERFORMED SUBSEQUENT TO TRANSFER TO THE FLEET RESERVE OR THE RETIRED LIST.

THE NAVY DEPARTMENT ALSO CONSIDERS THAT ENLISTED MEN TRANSFERRED TO THE FLEET RESERVE OR RETIRED LIST BETWEEN JUNE 1, 1942, AND SEPTEMBER 7, 1944, AND WHO WERE ELIGIBLE FOR OR IN RECEIPT OF RETIRED PAY ON SEPTEMBER 7, 1944, ARE ENTITLED TO COUNT FOR PURPOSES OF DETERMINING THE APPLICABLE RATE OF RETAINER OR RETIRED PAY OTHERWISE PROPERLY PAYABLE ON AND AFTER JUNE 1, 1942, ALL PRIOR SERVICE, ACTIVE AND INACTIVE, IN THE SERVICES ENUMERATED IN SECTION 3 OF THE ACT OF SEPTEMBER 7, 1944, SUPRA, TO THEIR CREDIT ON DATE OF INITIAL TRANSFER TO THE FLEET RESERVE OR THE RETIRED LIST, AS WELL AS ACTIVE SERVICE PERFORMED SUBSEQUENT TO TRANSFER TO THE FLEET RESERVE OR RETIRED LIST.

IT IS THE UNDERSTANDING OF THE NAVY DEPARTMENT THAT NEITHER SECTION 9 OF THE PAY READJUSTMENT ACT OF 1942, SECTIONS 1, 3 AND 11 OF THE ACT APPROVED SEPTEMBER 7, 1944, NOR SECTION 15 OF THE PAY READJUSTMENT ACT OF 1942 AUTHORIZES THE COUNTING OF INACTIVE SERVICE IN THE FLEET RESERVE AND INACTIVE SERVICE ON THE RETIRED LIST IN COMPUTING RATE OF RETAINER OR RETIRED PAY OTHERWISE PROPERLY PAYABLE IN THE CASE OF MEN TRANSFERRED TO THE FLEET RESERVE OR RETIRED LIST PRIOR OR SUBSEQUENT TO JUNE 1, 1942.

YOUR CONFIRMATION OF THE VIEWS EXPRESSED IN THE THREE IMMEDIATELY PRECEDING PARAGRAPHS IS REQUESTED.

BY THE ACT OF SEPTEMBER 7, 1944, 58 STAT. 729, SECTIONS 3A AND 9 OF THE PAY READJUSTMENT ACT OF 1942, 56 STAT. 1037 AND 363, WERE AMENDED SO AS TO AUTHORIZE, INTER ALIA, THE COUNTING OF CERTAIN SERVICE IN THE COMPUTATION OF THE PAY OF ENLISTED PERSONNEL WHICH THERETOFORE COULD NOT BE COUNTED FOR SUCH PAY PURPOSES. THESE AMENDMENTS, AS INDICATED, WERE ENACTED ON SEPTEMBER 7, 1944, BUT BY SECTION 11 OF THE ACT, 58 STAT. 731, WERE MADE EFFECTIVE AS OF JUNE 1, 1942, WITH THE FOLLOWING QUALIFICATION:

* * * NO BACK PAY OR ALLOWANCES UNDER ANY SECTION OF THIS ACT FOR ANY PERIOD PRIOR TO THE EFFECTIVE DATE OF SUCH SECTION SHALL ACCRUE BY REASON OF THE ENACTMENT OF THIS ACT, AND NO BACK PAY OR ALLOWANCES SHALL ACCRUE TO ANY PERSON WHO IS NOT ENTITLED TO RECEIVE ACTIVE OR RETIRED PAY ON THE DATE OF THE ENACTMENT OF THIS ACT ( ITALICS SUPPLIED.)

IN VIEW OF SUCH PROHIBITION AGAINST THE ACCRUAL OF BACK PAY AND ALLOWANCES, THE QUESTION IS PRESENTED AS TO WHETHER ENLISTED PERSONNEL, SUCH AS DEBAUW, WHO WERE TRANSFERRED TO THE HONORARY RETIRED LIST OF THE NAVAL RESERVE ON OR AFTER JUNE 1, 1942, AND WHO, ON SEPTEMBER 7, 1944, WERE ENTITLED TO RECEIVE PAY UNDER THE PROVISIONS OF SECTION 310 OF THE NAVAL RESERVE ACT OF 1938, 52 STAT. 1183, ARE ENTITLED TO RECEIVE BACK PAY WHICH WOULD OTHERWISE HAVE ACCRUED BY REASON OF THE RETROACTIVE PROVISIONS OF THE SAID ACT OF SEPTEMBER 7, 1944.

THE SAID SECTION 310 OF THE NAVAL RESERVE ACT OF 1938 PROVIDES:

OFFICERS AND MEN OF THE HONORARY RETIRED LIST CREATED BY SECTION 309 OF THIS TITLE, WHO HAVE PERFORMED A TOTAL OF NOT LESS THAN THIRTY YEARS' ACTIVE SERVICE IN THE ARMY, NAVY, MARINE CORPS, COAST GUARD, NAVAL AUXILIARY SERVICE, NAVAL RESERVE FORCE, NAVAL MILITIAIN FEDERAL STATUS, NATIONAL NAVAL VOLUNTEERS, NAVAL RESERVE, MARINE CORPS RESERVE FORCE, AND MARINE CORPS RESERVE, OR WHO HAVE HAD NOT LESS THAN TWENTY YEARS' SUCH ACTIVE SERVICE, THE LAST TEN YEARS OF WHICH SHALL HAVE BEEN PERFORMED DURING THE ELEVEN YEARS IMMEDIATELY PRECEDING THEIR TRANSFER TO THE HONORARY RETIRED LIST OF THE NAVAL RESERVE CREATED BY SECTION 309 OF THIS TITLE OR TO THE HONORARY RETIRED LIST IN EXISTENCE ON THE DATE OF APPROVAL OF THIS ACT, SHALL, EXCEPT WHILE ON ACTIVE DUTY, BE ENTITLED TO PAY AT THE RATE OF 50 PERCENTUM OF THEIR ACTIVE DUTY RATE OF PAY AS PRESCRIBED BY THIS SECTION SHALL BE PAID FROM THE APPROPRIATIONS MADE FOR THE MAINTENANCE OF THE NAVAL RESERVE.

THE PROVISION CONTAINED IN SECTION 11 OF THE ACT OF SEPTEMBER 7, 1944, QUOTED ABOVE, WAS ADDED ON THE RECOMMENDATION OF THE WAR AND NAVY DEPARTMENTS AND IN EXPLANATION THEREOF IT WAS STATED (SEE PAGE 14 OF THE HEARINGS BEFORE A SUBCOMMITTEE OF THE COMMITTEE ON MILITARY AFFAIRS, UNITED STATES SENATE, 78TH CONGRESS, 2D SESSION, ON S. 1690, AND ALSO LETTER OF MAY 23, 1944, FROM THE SECRETARY OF WAR, AS QUOTED IN SUCH HEARINGS):

CAPTAIN HEDERMAN ( UNITED STATES NAVY). * * *

SECTION 6 SETS JUNE 1, 1942, THE DATE ON WHICH THE PAY READJUSTMENT ACT TOOK EFFECT, AS THE EFFECTIVE DATE OF THIS ACT. THIS SECTION AS NOW WRITTEN WOULD ENTITLE MANY PERSONS WHO HAVE HERETOFORE BEEN DISCHARGED OR RELIEVED FROM ACTIVE DUTY TO ADDITIONAL PAYMENTS, AND WOULD ENTAIL THE CHECKING OF THE SERVICE RECORDS OF EACH SUCH PERSON. INASMUCH AS THERE IS NO APPARENT NECESSITY FOR SUCH PAYMENTS AND IN VIEW OF THE PRESENT SHORTAGE OF MANPOWER FOR CLERICAL AND ADMINISTRATIVE DUTIES, IT IS RECOMMENDED THAT THE BILL BE AMENDED SO AS TO EXCLUDE PERSONS NOT ENTITLED TO RECEIVE ACTIVE OR RETIREMENT PAY ON THE DATE OF ITS ENACTMENT. * * * ( IT WOULD APPEAR THAT THE INTENTION OF THE QUOTED PROVISION IN THE SAID ACT OF SEPTEMBER 7, 1944, PROHIBITING THE ACCRUAL OF BACK PAY AND ALLOWANCES TO PERSONS NOT ENTITLED TO RECEIVE ACTIVE OR RETIRED PAY ON THE DATE OF ITS ENACTMENT, WAS TO PRECLUDE THE CONSIDERATION OF CLAIMS FROM PERSONS THERETOFORE SEPARATED FROM THE ACTIVE SERVICE AND NO LONGER IN A PAY STATUS. SUCH PROVISION DOES NOT APPEAR TO HAVE BEEN DESIGNED TO PLACE PERSONS ENTITLED TO RECEIVE A PARTICULAR CLASS OF PAY IN A PREFERRED STATUS BUT RATHER IT WAS STATED TO BE DESIRABLE PRIMARILY BECAUSE OF THE AMOUNT OF WORK WHICH WOULD BE INVOLVED IN CHECKING THE SERVICE RECORDS OF THOSE PERSONS ALREADY OUT OF THE SERVICE. OF COURSE, THE SERVICE RECORDS OF PERSONS IN A PAY STATUS, THOUGH NOT ON ACTIVE DUTY, NECESSARILY MUST BE KEPT CURRENT AND READILY ACCESSIBLE AND THE CHECKING OF THEIR RECORDS FOR THE PURPOSE OF DETERMINING THE AMOUNT OF BACK PAY, IF ANY, TO WHICH THEY WOULD BE ENTITLED, ORDINARILY COULD BE ACCOMPLISHED WITH THE SAME DEGREE OF EFFORT WHETHER THE PAY THEY ARE ENTITLED TO RECEIVE BE THAT GENERALLY DESIGNATED OR KNOWN AS RETIRED PAY, OR WHETHER IT BE SOME OTHER CLASS OF PAY AUTHORIZED FOR SERVICE PERSONNEL IN AN INACTIVE STATUS. UNDER THE CIRCUMSTANCES, IT FAIRLY MAY BE ASSUMED THAT THE WORDS "RETIRED PAY" AS USED IN THE PROVISION IN QUESTION WERE NOT INTENDED TO REFER ONLY TO THE PAY ACCRUING TO THOSE ON THE REGULAR RETIRED LISTS OF THE RESPECTIVE SERVICES.

THE PAY AUTHORIZED BY SECTION 310 OF THE NAVAL RESERVE ACT OF 1938, SUPRA, FOR CERTAIN MEMBERS OF THE HONORARY RETIRED LIST OF THE NAVAL RESERVE, WHILE NOT EXPRESSLY SO DESIGNATED, HAS, FROM TIME TO TIME, BEEN REFERRED TO AS RETIRED OR RETIREMENT PAY (SEE SECTION 4 OF THE NAVAL AVIATION PERSONNEL ACT OF 1940, 54 STAT. 864, 865; 22 COMP. GEN. 281, 284; DECISION OF NOVEMBER 10, 1943, B-34041; AND DECISION OF JANUARY 21, 1944, B-37787) AND IN VIEW OF WHAT HAS BEEN SAID IT MAY BE CONSIDERED "RETIRED PAY" WITHIN THE PURVIEW OF THE ABOVE-QUOTED PROVISION OF THE ACT OF SEPTEMBER 7, 1944, RELATIVE TO THE PAYMENT OF BACK PAY AND ALLOWANCES UNDER THE RETROACTIVE PROVISIONS OF SUCH ACT. ACCORDINGLY, YOUR QUESTION IN THIS RESPECT IS ANSWERED IN THE AFFIRMATIVE INSOFAR AS THERE ARE CONCERNED PERSONNEL WHO WERE TRANSFERRED TO THE SAID HONORARY RETIRED LIST ON OR AFTER JUNE 1, 1942.

WITH RESPECT TO ENLISTED PERSONNEL TRANSFERRED TO THE RETIRED LIST OF THE REGULAR NAVY PRIOR TO JUNE 1, 1942, YOUR ATTENTION IS INVITED TO THE FIRST PARAGRAPH OF SECTION 15 OF THE PAY READJUSTMENT ACT OF 1942, 56 STAT. 367, WHICH READS AS FOLLOWS:

ON AND AFTER THE EFFECTIVE DATE OF THIS ACT, RETIRED OFFICERS, WARRANT OFFICERS, NURSES, ENLISTED MEN, AND MEMBERS OF THE FLEET RESERVE AND FLEET MARINE CORPS RESERVE SHALL HAVE THEIR RETIRED PAY, RETAINER PAY, OR EQUIVALENT PAY, COMPUTED AS NOW AUTHORIZED BY LAW ON THE BASIS OF ANY PROVIDED IN THIS ACT, WHICH PAY SHALL INCLUDE INCREASES FOR ALL ACTIVE DUTY PERFORMED SINCE RETIREMENT OR TRANSFER TO THE FLEET RESERVE OR FLEET MARINE CORPS RESERVE IN THE COMPUTATION OF THEIR LONGEVITY PAY AND PAY PERIODS * * *.

IN ACCORDANCE WITH THAT PROVISION ENLISTED MEN PLACED ON THE RETIRED LIST OF THE REGULAR NAVY PRIOR TO JUNE 1, 1942, WHETHER TRANSFERRED FROM THE REGULAR NAVY OR FROM THE FLEET RESERVE, ARE ENTITLED TO HAVE THEIR RETIRED PAY COMPUTED ON THE BASIS OF PAY PROVIDED IN THE SAID PAY READJUSTMENT ACT OF 1942. SEE 23 COMP. GEN. 59; 24 ID. 418; AND DECISION OF JULY 31, 1945, B-48286. ACCORDINGLY, YOUR QUESTIONS REGARDING ENLISTED PERSONNEL TRANSFERRED TO THE RETIRED LIST OF THE REGULAR NAVY PRIOR TO JUNE 1, 1942, AND THOSE TRANSFERRED TO SUCH LIST ON OR AFTER THAT DATE, WILL BE CONSIDERED ALONE.

ENLISTED PERSONNEL TRANSFERRED FROM THE REGULAR NAVY TO THE RETIRED LIST, WHO WERE ENTITLED TO RECEIVE RETIRED PAY ON SEPTEMBER 7, 1944, CLEARLY ARE NOT AFFECTED BY THE PROHIBITION AGAINST RECEIVING BACK PAY UNDER THE SAID ACT OF SEPTEMBER 7, 1944, 24 COMP. GEN. 418, 419, AND, WHILE THERE IS A DISTINCTION BETWEEN THEM AND ENLISTED PERSONNEL TRANSFERRED TO THE RETIRED LIST FROM THE FLEET RESERVE (2 COMP. GEN. 762; 4 ID. 942, 946), THE PAY ACCRUING TO BOTH CLASSES OF PERSONNEL WHILE ON THE RETIRED LIST IS RETIRED PAY. ACCORDINGLY, THEY WOULD BE ENTITLED TO SUCH BACK PAY AS MIGHT PROPERLY ACCRUE TO THEM UNDER THE PROVISIONS OF THE ACT IN QUESTION, DURING THE PERIOD JUNE 1, 1942, TO SEPTEMBER 6, 1944. CF. DECISION OF JULY 31, 1945, B-48286, SUPRA.

YOUR QUESTIONS WITH RESPECT TO ENLISTED PERSONNEL TRANSFERRED TO THE FLEET RESERVE PRIOR TO JUNE 1, 1942, AND ENLISTED PERSONNEL WHO TRANSFERRED TO THE FLEET RESERVE ON OR AFTER THAT DATE LIKEWISE WILL BE CONSIDERED AS ONE QUESTION SINCE ENLISTED PERSONNEL WHO TRANSFERRED TO THE FLEET RESERVE PRIOR TO JUNE 1, 1942, ARE, ON AND AFTER THAT DATE, ENTITLED TO HAVE THEIR RETAINER PAY COMPUTED ON THE BASIS OF PAY PROVIDED IN THE PAY READJUSTMENT ACT OF 1942 IN ACCORDANCE WITH SECTION 15 THEREOF. THEREFORE, THERE IS NO APPARENT REASON WHY THEY SHOULD BE DISTINGUISHED FROM PERSONNEL WHO TRANSFERRED TO THE FLEET RESERVE ON OR AFTER JUNE 1, 1942.

THE FLEET RESERVE, AS NOW CONSTITUTED, WAS ESTABLISHED BY THE NAVAL RESERVE ACT OF 1938, 52 STAT. 1175. SECTION 203 OF THAT ACT, 52 STAT. 1178, CONTAINS PROVISIONS FOR THE TRANSFER TO THE FLEET RESERVE OF MEN IN THE NAVY PRIOR TO JULY 1, 1925, ON THE COMPLETION OF 16 OR 20 YEARS' OR MORE SERVICE AT ONE-THIRD OR ONE-HALF THE BASE PAY THEY WERE RECEIVING AT THE TIME OF TRANSFER, PLUS ALL PERMANENT ADDITIONS THERETO, AND SECTION 204, 52 STAT. 1179, MAKES SOMEWHAT SIMILAR PROVISIONS FOR ENLISTED MEN OF THE NAVY WHO FIRST ENLISTED AFTER JULY 1, 1925, FOR TRANSFER TO THE FLEET RESERVE AFTER 20 YEARS' NAVAL SERVICE. SECTION 204 OF THE ACT PROVIDES IN PART AS FOLLOWS:

* * * THAT ALL ENLISTED MEN TRANSFERRED TO THE FLEET RESERVE IN ACCORDANCE WITH THE PROVISIONS OF SECTIONS 1 AND 203 OF THIS ACT SHALL, UPON COMPLETION OF THIRTY YEARS' SERVICE, BE TRANSFERRED TO THE RETIRED LIST OF THE REGULAR NAVY, WITH THE PAY THEY WERE THEN LEGALLY ENTITLED TO RECEIVE AND THE ALLOWANCES TO WHICH ENLISTED MEN OF THE REGULAR NAVY ARE ENTITLED ON RETIREMENT AFTER THIRTY YEARS SERVICE. AND PROVIDED FURTHER, THAT ALL ENLISTED MEN TRANSFERRED TO THE FLEET RESERVE IN ACCORDANCE WITH THE PROVISIONS OF THIS SECTION SHALL, UPON COMPLETION OF THIRTY YEARS' SERVICE, BE TRANSFERRED TO THE RETIRED LIST OF THE REGULAR NAVY, WITH THE PAY THEY WERE THEN LEGALLY ENTITLED TO RECEIVE, PLUS ALL PERMANENT ADDITIONS THERETO, AND THE ALLOWANCES TO WHICH ENLISTED MEN OF THE REGULAR NAVY ARE ENTITLED ON RETIREMENT AFTER THIRTY YEARS' SERVICE. SEE, ALSO, SECTION 206, 52 STAT. 1179, RELATIVE TO THE RETIREMENT OF TRANSFERRED FLEET RESERVISTS WHO ARE FOUND NOT PHYSICALLY QUALIFIED; ALSO, SEE THE SECOND PARAGRAPH OF SECTION 19 OF THE PAY READJUSTMENT ACT OF 1942, 56 STAT. 369, WHICH REPEALED THE ACT OF MARCH 2, 1907, 34 STAT. 1217, WHICH AUTHORIZED ALLOWANCES FOR ENLISTED MEN ON THE RETIRED LIST.

IT WILL BE NOTED THAT THE RETAINER PAY PAID FLEET RESERVISTS EVENTUALLY BECOMES THEIR RETIRED PAY AND IN CONSIDERING SIMILAR PROVISIONS FOR THE PAYMENT OF RETAINER PAY TO TRANSFERRED MEMBERS OF THE FLEET RESERVE CONTAINED IN THE ACT OF AUGUST 29, 1917, 39 STAT. 590, AND THE NAVAL RESERVE ACT, 1925, 43 STAT. 1087, IT WAS STATED IN DECISION OF SEPTEMBER 30, 1926, 6 COMP. GEN. 223, THAT SUCH RETAINER PAY WAS IN THE NATURE OF REDUCED "RETIREMENT" PAY, IT BEING POINTED OUT THAT THE RETAINER PAY, BEING BASED ON LENGTH OF SERVICE ALONE, WITH THE RATES FIXED IN RELATION TO THE RATES OF ACTIVE SERVICE PAY, HAD PRACTICALLY ALL THE ELEMENTS OF RETIREMENT PAY. ALSO, SEE 2 COMP. GEN. 743, AND 18 COMP. GEN. 747, WHICH ARE TO THE SAME EFFECT. IN VIEW OF WHAT HAS BEEN SAID HEREINBEFORE WITH RESPECT TO THE WORDS "RETIRED PAY" AS USED IN THE STATUTORY PROVISION HERE IN QUESTION, THE CONCLUSION REACHED IN SAID DECISION OF SEPTEMBER 30, 1926, SUPRA, AND THE OTHER DECISIONS CITED, TO THE EFFECT THAT RETAINER PAY IS IN THE NATURE OF RETIRED PAY, WOULD APPEAR TO BE EQUALLY APPLICABLE HERE. ACCORDINGLY, YOU ARE ADVISED THAT TRANSFERRED MEMBERS OF THE FLEET RESERVE WHO ON SEPTEMBER 7, 1944, WERE ENTITLED TO RECEIVE RETAINER PAY ARE ENTITLED TO RECEIVE ANY BACK PAY WHICH OTHERWISE PROPERLY MAY HAVE ACCRUED TO THEM UNDER THE PROVISIONS OF THE ACT OF SEPTEMBER 7, 1944, SUPRA, DURING THE PERIOD JUNE 1, 1942, TO SEPTEMBER 6, 1944.

WITH REGARD TO YOUR QUESTION AS TO WHETHER OR NOT INACTIVE SERVICE IN THE FLEET RESERVE OR INACTIVE SERVICE ON THE RETIRED LIST MAY BE COUNTED IN COMPUTING RETAINER PAY OR RETIRED PAY, IT WOULD APPEAR TO BE WELL SETTLED THAT SUCH INACTIVE SERVICE MAY NOT BE SO COUNTED. SEE SECTION 15 OF THE PAY READJUSTMENT ACT OF 1942, SUPRA, 21 COMP. GEN. 737, AND 23 ID. 284.