RECORD OF PROCEEDINGS IN THE CASE OF: BOARD DATE: 17 April 2008 DOCKET NUMBER: AR20070018338 I certify that hereinafter is recorded the true and complete record of the proceedings of the Army Board for Correction of Military Records in the case of the above-named individual. Director Analyst The following members, a quorum, were present: Chairperson Member Member The Board considered the following evidence: Exhibit A - Application for correction of military records. Exhibit B - Military Personnel Records (including advisory opinion, if any). THE APPLICANT'S REQUEST, STATEMENT, AND EVIDENCE: 1. The applicant requests the remission/cancellation of his Reserve Officer Training Corps (ROTC) Scholarship debt. 2. The applicant states that he believes that having to repay his ROTC Scholarship debt is unjustified as he is on active duty and has served 2 years of honorable service. 3. The applicant provides in support of his application, a copy of a letter from the Defense Finance and Accounting Service, dated 21 November 2007, containing information of his option to apply to this Board for suspension or termination of his debt; a copy of the first two pages of his DD Form 4 (Enlistment/Reenlistment Document, Armed Forces of the United States), dated 16 August 2004; a copy of Orders 242-1, published by Army ROTC Battalion, North Georgia College and State University, Dahlonega, GA dated 29 August 2005, discharging him from the United States Army Reserve (USAR) Control Group (ROTC); a copy of a memorandum dated 18 April 2005, subject: Disenrollment of Scholarship Cadet from ROTC – Cadet (applicant’s name), notifying him that his disenrollment from the ROTC program had been initiated and advising him of his options; a copy of his acknowledgement of intent of disenrollment from the ROTC program and his elected option, dated 20 April 2005; a copy of a signed Privacy Act Statement, Army Senior ROTC Disenrollment Proceedings, dated 20 April 2005; a copy of a memorandum, subject: Suspension of Scholarship Benefits, dated 7 January 2005, notifying the applicant of the suspension of scholarship benefits; a copy of an ROTC Cadet Command Form 131-R (Cadet Action Request), dated 10 January 2005, requesting administrative suspension and approved by the Battalion Commander; a copy of the first two pages of his DD Form 4, dated 25 October 2005; a copy of his Enlisted Record Brief, dated 28 November 2007; a copy of a memorandum, subject: Disenrollment from the ROTC Program, dated 2 August 2005, notifying him of his disenrollment from the ROTC program; a copy of the applicant’s signed Scholarship Contractual Agreement, dated 9 August 2005, wherein he promises to repay the total amount owed; a copy of his United States Army Advanced Education Financial Assistance Record, certified on 19 July 2005; a copy of a memorandum, subject: Scholarship Recoupment Debt – Cadet (applicant’s name), dated 12 August 2005, requesting the recoupment of the applicant’s scholarship debt; and a copy of his Army Senior ROTC Scholarship Cadet Contract, dated 15 September 2004 CONSIDERATION OF EVIDENCE: 1. The available records show that the applicant entered into the ROTC Program on 16 August 2004. By signing the contract he acknowledged his understanding of the conditions of the contract and that he concurred with the information contained therein. 2. At the time the applicant entered into the ROTC contract, he further acknowledged his understanding that if he failed to complete the educational requirements of his agreement or was disenrolled from the ROTC program, the Secretary of the Army or his designee could order him to active duty as an enlisted Soldier; or in lieu of being ordered to active duty, he could be required to repay the financial assistance he received through the ROTC program, plus interest. 3. On 18 April 2005, the applicant was notified by Department of the Army, Army ROTC Battalion, North Georgia College & State University, Professor of Science, of his intent to initiate his disenrollment from the ROTC program due to his failure to maintain a minimum semester grade point average of 2.0 on a 4.0 scale. The applicant was informed that he would remain in administrative suspension pending disenrollment. He was further informed that he may request a hearing by a board of officers or that he may waive his right to a hearing. The applicant was informed that he may consult with any reasonably available military officer or civilian counsel at no expense to the Government; that he may submit a written statement in is own behalf; and that he must sign and returned the notification with 10 working days. 4. The applicant acknowledged receipt of the notification on 20 April 2005. In the process of acknowledging receipt of the notification, he elected to waive his right to a hearing by a board of officers and to decline expeditious call to active duty. 5. On 2 August 2005, the applicant was notified of his disenrollment from the United States Army ROTC program by the Commanding General of the United States Army Cadet Command. The Commanding General cited his failure to maintain a minimum semester academic grade point average of 2.0 on a 4.0 scale as a basis for his disenrollment. In the notification, the applicant was informed that when the ROTC scholarship contract was breached, any obligation to the Army must be satisfied through order to active duty in an enlisted status or by repaying the cost of advanced education assistance provided by the Army. He was told that the amount of monies spent in support of his education assistance was $5,398.00 and that he could elect to pay the total amount owed in one lump sum or to initiate a repayment plan. 6. On 9 August 2005, the applicant completed an Addendum to Part I, Scholarship Contractual Agreement, in which he promised to repay the total amount owed of $5,398.00 in monthly installments, plus interest on the amount owned, as specified in his scholarship contract. 7. On 12 August 2005, the Chief, Cadet Actions and Standards Division, United States Army Cadet Command, requested the applicant's case be processed for debt establishment by the Defense Finance and Accounting Service (DFAS). 8. On 25 October 2005, the applicant enlisted in the Regular Army for 5 years, in the pay grade of E-3. At the time of his enlistment, he was authorized an enlistment bonus totaling $19,000.00. 9. During the processing of this case an advisory opinion was obtained from Headquarters, United States Army Cadet Command, Deputy Chief of Staff, G1, who opined, in pertinent part, that the terms of the scholarship contract require that a Cadet either repay the debt monetarily or agree to be ordered to active duty through ROTC channels based on the needs of the Army; that the applicant was offered these options on 2 August 2005 after being disenrolled from the ROTC program for breach of contract; that the applicant was aware of the option to enter active duty; that he chose to repay in monthly installments; and that a debt was established with DFAS on 12 August 2005. The Deputy Chief of Staff, G1, further opined that the applicant's current enlistment in the Army is not an authorized remedy for debt repayment under the terms of the ROTC contract; that he received an enlistment bonus in the amount of $19,000.00; that under his ROTC contract, he received scholarship benefits totaling $5,398.00; and that he should not be allowed to profit from his actions by eliminating his debt to the government. 10. A copy of the advisory opinion was forwarded to the applicant on 14 February 2008 for his information and/or possible rebuttal. To date, there has been no response from the applicant regarding the advisory opinion. DISCUSSION AND CONCLUSIONS: 1. The applicant's belief that his 5-year enlistment in the Regular Army should fulfill his obligation under his breached ROTC contract was considered and found to have partial merit. The applicant's ROTC contract called for an expeditious call to active duty through ROTC channels at the needs of the Army without the benefit of advancement in grade or other incentives, which he received. Nevertheless, in this case, the applicant’s enlistment in the Regular Army serves the same purpose as would have been served had he been ordered to active duty in the Army through ROTC channels, and had the amount of his ROTC debt exceeded the amount he received in enlistment bonuses, relief would have been appropriate in this case. 2. Although the applicant’s 5-year enlistment in the Regular Army provides the Government the benefits of his service, had he elected an expeditious call to active duty to repay his debt for breaching his ROTC contract, he would have been assigned against the needs of the Army, in pay grade E-1, and not allowed any enlistment options. However, he enlisted in the Regular Army in the pay grade of E-3 and was authorized a $19,000.00 enlistment bonus. The prospect of negating his debt for a free education he received from the Army without becoming an officer, plus allowing him to receive an enlistment/reenlistment bonus, would be a windfall. Therefore, given the fact that the amount of his enlistment bonus exceeds the total amount of his ROTC debt and provides him the means to repay his ROTC debt, it would not be appropriate to grant the requested relief in this case. 3. In view of the foregoing, there is no basis for granting the applicant's request. BOARD VOTE: ________ ________ ________ GRANT FULL RELIEF ________ ________ ________ GRANT PARTIAL RELIEF ________ ________ ________ GRANT FORMAL HEARING __JLP __ __TSK__ __DWT__ DENY APPLICATION BOARD DETERMINATION/RECOMMENDATION: The evidence presented does not demonstrate the existence of a probable error or injustice. Therefore, the Board determined that the overall merits of this case are insufficient as a basis for correction of the records of the individual concerned. ___ TSK ___ CHAIRPERSON ABCMR Record of Proceedings (cont) AR20070018338 6 DEPARTMENT OF THE ARMY BOARD FOR CORRECTION OF MILITARY RECORDS 1901 SOUTH BELL STREET, 2ND FLOOR ARLINGTON, VA 22202-4508