APPLICANT REQUESTS: That her records be corrected to show that she executed a Student Loan Repayment Program (SLRP) addendum to her enlistment contract which was properly validated by her recruiter and that her student loans be paid for in accordance with the terms of that addendum.
APPLICANT STATES: That she had signed an addendum to her enlistment contract which indicated that she was to receive the SLRP. Therefore, she thought that her student loans would be paid for by the Army. When she registered in a school which was to start in June 1994, she learned that the Army would not pay her student loans because she had not enlisted for the SLRP.
In support of her application she submits a DA Form
5261-4-R, Student Loan Repayment Program Addendum, which is undated, and signed by her. Her recruiters name is typed in the space provided for the witnessing (approving) official, but is not signed by that person.
EVIDENCE OF RECORD: The applicant's military records show:
She enlisted in the Army Reserve (USAR) on 19 August 1986 for 6 years in pay grade E-3. In conjunction with her enlistment she completed a DA Form 3540, Statement of Acknowledgment and Understanding of Enlistment, Reenlistment, or Unit Assignment, Obligation. In the remarks section of that form the enlistment incentives of the Montgomery G.I. Bill (MGIB), a $2000.00 cash bonus, and the SLRP were entered. She also completed a DA Form 5261-R, Selected Reserve Incentive Program - Enlistment Bonus Addendum, for a $2000.00 bonus, and a DA Form 5435-R, Selected Reserve Educational Assistance Program, for the MGIB. Her records do not show that a DA Form 5261-4-R, Student Loan Repayment Program addendum, was completed at that time.
She was awarded the military occupational specialty (MOS) of administrative specialist, was promoted to pay grade E-4 and served in Saudi Arabia in Operation Desert Shield/Storm.
On 1 September 1992 the applicant was voluntarily transferred to the USAR Control Group (Annual Training).
On 9 March 1993 she was transferred from the USAR Control Group to a USAR unit.
On 9 September 1993 she was transferred back to the USAR Control Group due to relocation.
On 14 January 1994 she enlisted in the ARNG for 3 years and was promoted to pay grade E-5. She did not execute a SLRP addendum in conjunction with that enlistment. When she submitted her application to the Board she was assigned to the ARNG in pay grade E-5.
The SLRP provides for the repayment by the Government of a designated portion of any outstanding student loan(s) secured after 1 October 1975. The loan amount to be repaid is 15 percent of the original balance of the loan plus accrued interest not paid by the Department of Education, or $500.00 plus the accrued interest not paid by the Department of the Education, whichever is greater. Payments will be made for each year of satisfactory service in the Selected Reserve. The maximum amount of loans against which the 15 percent is computed will not exceed $10,000. This equates to a maximum annual repayment of $1,500 plus interest. If the amount set for repayment is less than $500.00, then $500.00 becomes the calculated amount for repayment that year. To be eligible for the SLRP incentive, a person must contractually obligate himself or herself to serve satisfactorily, must serve in a reserve unit for a full term of the contractual agreement and must further obligate himself or herself to continue to serve in the same component and the same MOS unless excused for the convenience of the Government. Entitlement to the SLRP will stop if the soldier is separated from his or her unit. Each complete satisfactory year of service performed under this SLRP agreement establishes an anniversary date. Any qualifying loan which is at least a year old may then be paid in accordance with the terms of this educational enlistment incentive. The Government will not reimburse a soldier if he or she pays off a student loan. The Government will only pay the lending institution.
In the processing of this case an advisory opinion (COPY ATTACHED) was obtained from the National Guard Bureau (NGB). The NGB stated that the applicant did not establish eligibility for the SLRP by completing the proper addendum to her enlistment contract.
DISCUSSION: Considering all the evidence, allegations, and information presented by the applicant, together with the evidence of record, applicable law and regulations, and advisory opinion, it is concluded:
1. The applicant was never completed a properly countersigned SLRP addendum when she enlisted either in the USAR or in the ARNG.
2. The form which she completed which listed the SLRP was not a incentive addendum. In conjunction with that form, the applicant completed an addendum for her cash bonus and her MGIB. It would be reasonable to assume that she would realize that if she had to complete addendum for the MGIB and a cash bonus, she would have also had to complete an addendum for the SLRP for her to receive benefits under that incentive program.
3. It appears that the applicant had no use for the SLRP until she enlisted in the ARNG based on her comment that she did not incur a student loan until 1994. Any loan incurred at that time could not be paid by the USAR since she had completed her 8-year USAR enlistment and had enlisted in the ARNG.
4. In addition, any entitlement the applicant may have had to the SLRP would have been terminated on 1 September 1992, the date she originally transferred to the USAR Control Group, since that transfer constituted a separation from her unit. No payments could have been made after that date.
5. Also, the Board cannot accept the SLRP addendum submitted by the applicant. That addendum is undated, not countersigned by her recruiter, and not contained in the certified copy of her military records.
6. In view of the foregoing, there is no basis for granting the applicants request.
DETERMINATION: The applicant has failed to submit sufficient relevant evidence to demonstrate the existence of probable error or injustice.
BOARD VOTE:
GRANT
GRANT FORMAL HEARING
DENY APPLICATION
Karl F. Schneider
Acting Director
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