IN THE CASE OF: BOARD DATE: 9 March 2010 DOCKET NUMBER: AR20090007149 THE BOARD CONSIDERED THE FOLLOWING EVIDENCE: 1. Application for correction of military records (with supporting documents provided, if any). 2. Military Personnel Records and advisory opinions (if any). THE APPLICANT'S REQUEST, STATEMENT, AND EVIDENCE: 1. The applicant requests, in effect, that his Survivor Benefit Plan (SBP) coverage be stopped. 2. The applicant states there is an incorrect deduction on his retirement monthly check. He continues that a year and a half before he turned age 60, he completed a DD Form 2656 (Data for Payment of Retired Personnel) to update his beneficiaries, checking account information, and SBP election. He argues that he clearly elected not to participate in the SBP on the DD Form 2656 and his spouse concurred. He concludes that after contacting the Defense Finance and Accounting Service (DFAS), he was informed that DFAS denied his request to stop the SBP deduction. 3. The applicant provides a letter addressed to DFAS, a DD Form 1883 (SBP Election Certificate), and a DD Form 2656 in support of this application. CONSIDERATION OF EVIDENCE: 1. The applicant was born on 24 December 1948. After having had prior service in U.S. Marine Corps, the applicant served in Army National Guard and in the U.S. Army Reserve until his retirement in the rank of lieutenant colonel. 2. The applicant's Notification of Eligibility for Retired Pay at Age 60 (20-year letter) is not available. 3. On 17 July 1993, the applicant completed a DD Form 1883. He elected to participate in the RCSBP for spouse and children coverage based on the full amount of his retired pay, option C (immediate coverage). The front side of the DD Form 1883 states, "IMPORTANT: The decision you make with respect to participation in the SBP is a permanent irrevocable decision. Please consider your decision and its effect very carefully." 4. On 16 May 2007, the applicant completed a DD Form 2656. He indicated in item 26 he elected not to participate in the SBP. His spouse concurred with his decision in item 30. 5. On 24 December 2008, the applicant was placed on the Retired List. 6. Public Law 92-425, the SBP, enacted 21 September 1972, provided that military members could elect to have their retired pay reduced to provide for an annuity after death to surviving dependents. 7. Public Law 95-397, the RCSBP, enacted 30 September 1978, provided a way for those who qualified for reserve retirement but were not yet age 60 to provide an annuity for their survivors should they die before reaching age 60. Three options are available: (A) elect to decline enrollment and choose at age 60 whether to start SBP participation; (B) elect that a beneficiary receive an annuity if they die before age 60 but delay payment of it until the date of the member's 60th birthday; (C) elect that a beneficiary receive an annuity immediately upon their death if before age 60. Once a member elects either option B or C in any category of coverage, that election is irrevocable. Option B and C participants do not make a new SBP election at age 60. They cannot cancel SBP participation or change options they had in RCSBP and RCSBP coverage automatically rolls into SBP coverage. 8. Public Law 105-85, enacted 18 November 1997, established the option to terminate SBP participation. Retirees have a 1-year period beginning on the second anniversary of the date on which their retired pay started to withdraw from SBP. The spouse's concurrence is required. No premiums will be refunded to those who opt to disenroll. The effective date of termination is the first day of the first calendar month following the month in which the election is received by the Secretary concerned. DISCUSSION AND CONCLUSIONS: 1. The applicant's DD Form 1883 shows that he enrolled in the RCSBP for spouse and children coverage on 17 July 1993. By law and regulation RCSBP participation cannot be cancelled and automatically rolls over into SBP coverage upon reaching age 60. As a result, there is an insufficient evidentiary basis to support granting the requested relief. 2. The applicant is advised that retirees have a 1-year period beginning on the second anniversary of the date on which their retired pay started to withdraw from SBP. The spouse's concurrence is required. No premiums will be refunded to those who opt to disenroll. If the applicant elects to terminate his SBP participation at that time, he is advised that despite his action, the Reserve Component premium add-on will be deducted from his retired pay for life. This deduction is the cost of the RCSBP coverage or protection the applicant's spouse and children enjoyed from the date the applicant first made an election in 1993. He is further advised that in his particular case, he can withdraw from the SBP during a 1-year window beginning in December 2010, the second anniversary of his receipt of retired pay, with a new properly-executed concurrence from his spouse. BOARD VOTE: ________ ________ ________ GRANT FULL RELIEF ________ ________ ________ GRANT PARTIAL RELIEF ________ ________ ________ GRANT FORMAL HEARING ____x____ ____x____ ____x____ 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. ____________x_____________ CHAIRPERSON I certify that herein is recorded the true and complete record of the proceedings of the Army Board for Correction of Military Records in this case. ABCMR Record of Proceedings (cont) AR20090007149 3 ARMY BOARD FOR CORRECTION OF MILITARY RECORDS RECORD OF PROCEEDINGS 1 ABCMR Record of Proceedings (cont) AR20090007149 2 ARMY BOARD FOR CORRECTION OF MILITARY RECORDS RECORD OF PROCEEDINGS 1