14 U.S.C. § 2501

(a) Commissioned Officers.— (1) In general .— A commissioned officer who is retired under any provision of this title, shall be retired from active service with the highest grade held by the commissioned officer for not less than six months while on active duty in which, as determined by the Secretary, the commissioned officer’s performance of duty was satisfactory. (2) Conditional determination .— When a commissioned officer is under investigation for alleged misconduct at the time of retirement— (A) the Secretary may conditionally determine the highest grade of satisfactory service of the commissioned officer pending completion of the investigation; and (B) the grade under subparagraph (A) is subject to resolution under subsection (c)(2). (b) Warrant Officers .— Any warrant officer who is retired under any provision of section 580, 1263, 1293, or 1305 of title 10, shall be retired from active service with the highest commissioned grade above chief warrant officer, W–4, held by the warrant officer for not less than six months on active duty in which, as determined by the Secretary, the warrant officer’s performance of duty was satisfactory. (c) Retirement in Lower Grade.— (1) Misconduct in lower grade .— In the case of a commissioned officer whom the Secretary determines committed misconduct in a lower grade, the Secretary may determine the commissioned officer has not served satisfactorily in any grade equal to or higher than that lower grade. (2) Adverse findings .— A determination of the retired grade of a commissioned officer shall be resolved following a conditional determination under subsection (a)(2) if the investigation of or personnel action against the commissioned officer results in adverse findings. (3) Recalculation of retired pay .— If the retired grade of a commissioned officer is reduced pursuant to this subsection, the retired pay of the commissioned officer shall be recalculated under chapter 71 of title 10, and any modification of the retired pay of the commissioned officer shall go into effect on the effective date of the reduction in retired grade. (d) Finality of Retired Grade Determinations.— (1) In general .— Except as provided in paragraph (2), a determination of the retired grade of a commissioned officer under this section is administratively final on the day the commissioned officer is retired, and may not be reopened. (2) Reopening determinations .— A determination of the retired grade of a commissioned officer may be reopened if— (A) the retirement or retired grade of the commissioned officer was procured by fraud; (B) substantial evidence comes to light after the retirement that could have led to a lower retired grade under this section and such evidence was not known by a competent authority at the time of retirement; (C) substantial evidence comes to light that, during the commissioned service of the officer, the officer failed to carry out applicable laws, with an intent to deceive or defraud; (D) substantial evidence comes to light after the retirement that the officer committed rape or sexual assault, as described in sections 920(a) and 920(b) of title 10 (articles 120(a) and 120(b) of the Uniform Code of Military Justice) at any time during the commissioned service of the officer; (E) substantial evidence comes to light after the retirement that the commissioned officer knew of and failed to report through proper channels, in accordance with existing law at the time of the alleged incident, any known instances of sexual assault by a member of the Coast Guard under the command of the officer during the officer’s service; (F) a mistake of law or calculation was made in the determination of the retired grade; (G) in the case of a retired grade following a conditional determination under subsection (a)(2), the investigation of or personnel action against the commissioned officer results in adverse findings; or (H) the Secretary determines, under regulations prescribed by the Secretary, that good cause exists to reopen the determination. (3) Requirements .— If a determination of the retired grade of a commissioned officer is reopened under paragraph (2), the Secretary— (A) shall notify the commissioned officer of the reopening; and (B) may not make an adverse determination on the retired grade of the commissioned officer until the commissioned officer has had a reasonable opportunity to respond regarding the basis of the reopening. (4) Recalculation of retired pay .— If the retired grade of a commissioned officer is reduced through the reopening of the commissioned officer’s retired grade under paragraph (2), the retired pay of the commissioned officer shall be recalculated under chapter 71 of title 10, and any modification of the retired pay of the commissioned officer shall go into effect on the effective date of the reduction in retired grade. (e) Inapplicability to Commissioned Warrant Officers .— This section, including subsection (b), shall not apply to commissioned warrant officers.