The USCG has been chronically underfunded the last many years. They have to decide where best to spend what money
they have. Would you rather have them out on the water
or pushing paper faster in an office? Despite many opinions to the contrary, just because it is a government
process it is not inherently broken.
Last year I sent my application in in May and got the docs in September. It was longer than I expected but the documentation
people I used said that was about what they had been seeing. The USCG has to do a title/lien search and I am sure that is pretty hard since they would have to search though a lot of databases to get that info. They are issuing you a "title" to your boat.
The few times I have contacted the USCG documentation
center they have been extraordinarily courteous, helpful, and thorough. But, finding your way around other US agency websites is almost impossible sometimes, especially the ones for the FCC (ship station license