37 U.S.C. § 302 — Special pay: medical officers of the armed forces

(a) Variable, additional, and board certification special pay^*: (1) A Medical Corps officer^* of the Army or Navy, or an Air Force officer designated as a medical officer, on active duty^* for at least one year, is entitled to special pay under this subsection. (2) An officer below pay grade^* O-7 gets variable special pay at these yearly rates, based on creditable service: $1,200 while in medical internship training; $5,000 with under six years of creditable service and not in internship; $12,000 for at least six but less than eight years; $11,500 for eight to under ten years; $11,000 for ten to under twelve years; $10,000 for twelve to under fourteen years; $9,000 for fourteen to under eighteen years; $8,000 for eighteen to under twenty-two years; and $7,000 for twenty-two or more years. (3) An officer above pay grade O-6 gets variable special pay at a flat $7,000 per year. (4) Subject to subsection (c), an officer getting variable pay under (2) or (3) is also entitled to $15,000 in additional special pay for any twelve-month period not spent in medical internship or initial residency training. (5) An officer getting variable pay under (2) or (3) who is board certified gets additional pay based on creditable service: $2,500 per year for under ten years; $3,500 for ten to under twelve years; $4,000 for twelve to under fourteen years; $5,000 for fourteen to under eighteen years; and $6,000 for eighteen or more years.

(b) Incentive special pay: (1) Subject to subsection (c), paragraph (2), and Defense Department regulations issued under section 303a(a), an officer entitled to variable special pay under (a)(2) may be paid incentive special pay, up to $75,000 for any twelve-month period, for time not spent in medical internship or initial residency training. (2) An officer is not eligible for this pay unless the Secretary concerned^* has determined the officer is qualified in the medical profession.

(c) Active-duty agreement: (1) An officer may not be paid additional special pay under (a)(4) or incentive special pay under (b) for a twelve-month period unless the officer first signs a written agreement to stay on active duty for at least one year, starting when the officer accepts the special pay. (2) Under Defense Department regulations issued under section 303a(a), the Secretary of the relevant military department may end an officer's entitlement to pay under (a)(4) or (b)(1) at any time; if ended, the officer must repay money under section 303a(e).

(d) Regulations: Defense Department regulations under section 303a(a) must set standards for determining (1) whether an officer is in medical internship or initial residency training for purposes of (a)(2)(A), (a)(2)(B), (a)(4), and (b)(1); and (2) whether an officer is board certified for purposes of (a)(5).

(e) Frequency of payments: Pay under (a)(2), (3), and (5) is paid monthly. Pay under (a)(4) or (b)(1) is paid annually, at the start of the twelve-month period it covers.

(f) Repayment: An officer who does not complete the period for which a payment was made under (a)(4) or (b)(1) must repay money under section 303a(e).

(g) Determination of creditable service: Creditable service is computed by adding (1) all periods spent in medical internship or residency training while not on active duty, and (2) all periods of active service^* in the Army or Navy Medical Corps, as an Air Force officer designated as a medical officer, or as a Public Health Service medical officer.

(h) Reserve medical officers' special pay: (1) A reserve medical officer described in (2) is entitled to $450 a month for each month of active duty, including annual training, active duty for training, and active duty for special work. (2) This applies to a reserve officer who (A) is a Medical Corps officer of the Army or Navy, or an Air Force officer designated as a medical officer, and (B) is on active duty under a call or order to active duty for less than one year.

(i) Effect of discharge in bankruptcy: A bankruptcy discharge under title 11, entered less than five years after one of these agreements ends, does not erase a debt owed under the agreement or under subsection (c)(2) or (f). This rule applies to bankruptcy cases filed after September 30, 1985.