IN THE CASE OF: BOARD DATE: 2 August 2012 DOCKET NUMBER: AR20120000700 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 his Survivor Benefit Plan (SBP) coverage be cancelled. 2. The applicant states he wanted SBP coverage and then changed his mind. He tried to cancel his SBP election, but he submitted his paperwork after the cutoff date. 3. The applicant provides: * DD Form 2656 (Data for Payment of Retired Personnel) * Orders Number 234-0003, dated 22 August 2011 * Statement, dated 22 June 2012, from the applicant's spouse CONSIDERATION OF EVIDENCE: 1. After having had prior enlisted service, the applicant enlisted in the Regular Army on 25 August 2005 and held military occupational specialty 11B (Infantryman). 2. His DD Form 214 (Certificate of Discharge from Active Duty) shows he was discharged on 18 July 2007 by reason of disability and he received severance pay. 3. His record contains a letter from an official at the Physical Disability Board of Review (PDBR), dated 1 August 2011, written to the ABCMR. The letter states a PDRB convened on 28 June 2011 to review the applicant's medical separation action and the recommendation was that his discharge be recharacterized to reflect a permanent disability retirement with a combined disability rating of 30 percent. 4. On 8 August 2011, the ABCMR accepted the PDRB's recommendation and directed that his discharge be recharacterized to reflect permanent disability retirement with a combined disability rating of 30 percent effective on his original date of separation, 18 July 2007. 5. He provided Orders Number 234-0003, issued by Headquarters, 1st Infantry Division, Fort Riley KS, on 22 August 2011. These retirement orders show his effective date of retirement as 18 July 2007 and the date he was placed on the retirement list as 19 July 2007. 6. He provided a copy of a DD Form 2656, dated 13 October 2011, wherein he elected SBP coverage for spouse and children based on his full gross pay. 7. He provided a second copy of a DD Form 2656, dated 6 December 2011, wherein he elected not to participate in the SBP. His spouse signed the form indicating that she concurred with the new election. The form appears to have been notarized; however, it is a copy of a notarized document, not an original. 8. His spouse submitted an original notarized statement, dated 22 June 2012, wherein she stated "I agree to my husband's election to disenroll from the SBP." 9. 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. The election must be made prior to the effective date of retirement or else coverage automatically defaults to spouse coverage, if applicable. 10. Public Law 99-145, enacted 8 November 1985, but effective 1 March 1986, required a spouse’s written concurrence for a retiring member’s election that provides less than the maximum spouse coverage. DISCUSSION AND CONCLUSIONS: 1. The applicant was honorably discharged with severance pay on 18 July 2007. However, on 8 August 2011 the ABCMR changed his separation to reflect permanent disability retirement with a 30 percent disability rating. 2. On 13 October 2011, the applicant elected SBP full coverage for spouse and children. However, on 6 December 2011, he elected not to participate in SBP. On 22 June 2012 his spouse submitted an original notorized statement agreeing with the applicant's disenrollment request. 3. Because this was a retroactive retirement, the applicant’s enrollment in the SBP became effective with his placement on the retired list, 19 July 2007. Therefore, in the interest of equity, the applicant's records should be corrected to show he elected not to participate in the SBP. The applicant's spouse's vested interest in the SBP election has been satisfied through the submission of the notarized statement, dated 22 June 2012. BOARD VOTE: ____x___ ____x___ ____x___ GRANT FULL RELIEF ________ ________ ________ GRANT PARTIAL RELIEF ________ ________ ________ GRANT FORMAL HEARING ________ ________ ________ DENY APPLICATION BOARD DETERMINATION/RECOMMENDATION: The Board determined that the evidence presented was sufficient to warrant a recommendation for relief. As a result, the Board recommends that all Department of the Army records of the individual concerned be corrected by: a. showing the applicant completed a DD Form 2656 electing not to participate in the SBP and that his spouse concurred with his decision, with any required notarizations, and that the form was accepted by the Defense Finance and Accounting Service prior to his 18 July 2007 retirement date; and b. as a result of this correction, reimbursing him premiums already paid. _______ _ __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) AR20120000700 3 ARMY BOARD FOR CORRECTION OF MILITARY RECORDS RECORD OF PROCEEDINGS 1 ABCMR Record of Proceedings (cont) AR20120000700 2 ARMY BOARD FOR CORRECTION OF MILITARY RECORDS RECORD OF PROCEEDINGS 1