To confirm the advice of the responses and provide visual feedback, I ran the following test in SONAR Platinum [2017.06].
 
1. Load audio clip.
2. Set a Volume envelope segment to -Inf
3. Set a different Clip Gain segment to -Inf
4. Execute Bounce to Clips.
 
The Clip after Bounce to Clips applied image clearly shows that only the Clip Gain automation is applied and NOT the volume automation, which confirms on my system that Bounce to Clips functions correctly.
 
 
Clip before Bounce to Clips applied:

 
Clip after Bounce to Clips applied:

 
Hope this helps,
-- Ron

Excellent example Ron

So, it does appear to only have happened in the project I was working on. I did some extensive testing today on this, and it appears it's working as it should. Note, however, Gain automation does in fact impact the clip's bounce.

brconflict
Note, however, Gain automation does in fact impact the clip's bounce.

Yes, as others have stated, all Clip Automation (Gain and Pan) and Clip FX in the Clip FX Rack are applied during the bounce.
 
Hope this helps,
-- Ron

There are many options to use Bounce to clips on but my most use for "Bounce to clips:
Once your project is complete, Bounce to clips all your tracks in to whole segments of data Vs. little clips all in the same track. Then clean your project using the "Clean audio folder" .
This will remove the thousands of little clips in your project and make it more manageable for storage.
typically putting the project on a diet from 2GB down to 300MB or so.
Hope that helps someone in the future.
 
 

One cautionary note, which might or might not apply
 
If you have a Midi track driving an arpeggiator, bouncing to clip loses the original notes used to trigger the arp and instead, writes the individual arpeggiated notes.
 
This might or might not be desirable: deciding to extend the arpeggiated sequence will cause a lot of head scratching.