2. The applicant requests that his Survivor Benefit Plan (SBP) election of child only be changed to spouse coverage.
3. The applicants military records show he was born on 12 October 1934. He was unmarried when, on 11 September 1979, he made an election under the Reserve Component SBP (RCSBP), choosing child only, Option C, full retired pay.
4. Upon applying for retired pay in April 1994, the applicants SBP election of I decline coverage was invalid since he previously participated in RCSBP for his son. However, he was not barred from future spouse coverage.
5. On 26 June 1994, the applicant got married. By law, he had one year from date of marriage to enroll his spouse in the SBP.
6. On 12 October 1994, he retired from the National Guard on 12 October 1994, upon reaching age 60, in pay grade E-7, after more than 40 years of creditable federal service.
7. Public Law 92-245, the SBP, enacted 21 September 1972, provided that military members on active duty could elect to have their retired pay reduced to provide for an annuity after death to surviving dependents. Changes in SBP options are not authorized except in specific instances or authorized by law.
8. Public Law 95-397, the RCSBP, enacted 30 September 1978, provided a way for those who had qualified for reserve retirement but were not yet age 60 (and participate in SBP), 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 members 60th birthday; (C) elect that a beneficiary receive an annuity immediately upon their death if before age 60. If death does occur before age 60, the RCSBP costs for options B and C are deducted from the annuity (costs for option C being the more expensive).
9. In the processing of this case, a staff advisory opinion was requested from the Headquarters Army Retirement Services Office. The Retirement Services Office recommended that the applicants SBP be changed to spouse and child request be approved, retroactive to 13 September 1994, the date of the applicants divorce and that if any SBP cost refund has been paid to the applicant based on ineligible spouse coverage, it should be collected. The applicant continued to pay SBP costs after his divorce, assuming that if no written request to delete her from coverage was made, she would remain an eligible beneficiary. The applicant was properly briefed at his retirement that elections are permanent and irrevocable, but probably misunderstood that that is based upon a beneficiary remaining eligible in the category in which elected. The applicants ex-wife no longer was eligible, as a spouse, upon the date of divorce. The Retirement Services Office also recommended that the switched coverage should include children also, even if there are currently none eligible. This would enable the applicant to provide SBP coverage for any children he may later acquire through remarriage or for any other reason.
CONCLUSIONS:
1. Although the applicant failed to request former spouse coverage within the one year window required by law, it was obviously his wish to comply with the state courts ordered former spouse coverage.
2. In view of the foregoing, it would be appropriate to correct the records as recommended below.
RECOMMENDATION:
1. That all of the Department of the Army records related to this case be corrected by showing that the applicant applied for former spouse and children coverage upon his divorce on 13 September 1994.
2. That a complete audit of the applicants account be conducted to determine if any SBP cost refund has been paid to the applicant based on ineligible spouse coverage and, if so, to collect it.
BOARD VOTE:
GRANT AS STATED IN RECOMMENDATION
GRANT FORMAL HEARING
DENY APPLICATION
CHAIRPERSON
ARMY | BCMR | CY1997 | 9707036
Public Law 95-397, the RCSBP, enacted 30 September 1978, provided a way for those who had qualified for reserve retirement but were not yet age 60 (and participate in SBP), to provide an annuity for their survivors should they die before reaching age 60. The Retirement Services Office recommended that the applicant’s SBP be changed to “spouse and child” request be approved, retroactive to 13 September 1994, the date of the applicant’s divorce and that if any SBP cost refund has been paid to...
ARMY | BCMR | CY2014 | 20140009043
THE APPLICANT'S REQUEST, STATEMENT, AND EVIDENCE: 1. He completed prior service in the Regular Army and married L____ on 27 March 1987. The applicant provided a Complaint for Absolute Divorce that was filed on 15 July 2003; however, his service record is void of evidence and he has not provided any evidence which shows he was granted a final divorce by the court.
ARMY | BCMR | CY2015 | 20150002140
IN THE CASE OF: BOARD DATE: 29 September 2015 DOCKET NUMBER: AR20150002140 THE BOARD CONSIDERED THE FOLLOWING EVIDENCE: 1. This letter further informed her that: a. she was entitled to participate in the RCSBP, as established by Public Law 95-397; b. RCSBP enabled her to provide an annuity for her spouse and other eligible beneficiaries; c. she had, by law, only 90 calendar days from the date she received this notice to submit a DD Form 1883 (Survivor Benefit Plan Election Certificate); d....
ARMY | BCMR | CY2011 | 20110023565
The applicant states: * Upon his divorce in 2001, he notified officials at the Defense Finance and Accounting Service (DFAS) that he was divorced and did not want to participate in the SBP * When he applied for retired pay in January 2011, he and his new spouse elected not to participate in the SBP * When he received his first Retiree Account Statement, he noticed that he was enrolled in the SBP and his first wife was listed as the beneficiary * DFAS corrected the next pay statement by...
ARMY | BCMR | CY2001 | 2001057137C070420
Public Law 99-661, dated 14 November 1986, permitted divorce courts to order SBP coverage (without the member’s agreement) in those cases where the retiree had elected spouse coverage at retirement or was still on active duty and had not yet made an SBP election. The applicant originally elected RCSBP coverage in the category of spouse and child. That all of the Department of the Army records related to this case be corrected by showing that the applicant requested a change to his RCSBP...
ARMY | BCMR | CY2010 | 20100007403
The applicant states: * When he retired he was married to his former spouse and they divorced in January 2007 * When he remarried in September 2007, he sent documentation to decline SBP * He believes this information is on record because no premiums were taken out of his retired pay until January 2010 * He has noticed that he now owes $1,700.00 in debt for this clerical error * He submitted paperwork for the "secondary beneficiaries" prior to the birth of his fourth child and his name was...
ARMY | BCMR | CY2007 | 20070005326
The applicant, as the widow of a deceased former service member (FSM), requests, in effect, that the FSM's records be corrected to show that he completed an RCSBP (Reserve Component Survivor Benefit Plan) election certificate and that she be granted a Survivor Benefit Plan (SBP) annuity. Public Law 95-397, the Reserve Component Survivor Benefit Plan (RCSBP), enacted 30 September 1978, provided a way for those who had qualified for reserve retirement, but were not yet age 60, to provide an...
ARMY | BCMR | CY2002 | 2002074187C070403
The applicant’s 20-year letter was dated 6 August 1979 and his first DD Form 1883, in which he elected children only RCSBP coverage, was dated 19 May 1980. On 1 December 1980, within one year of his marriage, he elected to provide RCSBP coverage for his new spouse (and children) as by law he had the right to. At that time, his spouse costs were reinstated based upon his full retired pay (as provided by his original election of coverage and as he requested on the DD Form 1882).
ARMY | BCMR | CY2014 | 20140012509
The applicant states he received his RCSBP application in 1994. She states the applicant came to see her regarding his retirement. Once a member elects either option B or option C in any category of coverage, that election is irrevocable.
ARMY | BCMR | CY2014 | 20140009410
She elected not to participate in the SBP. Three options are available: * Option A, elect to decline enrollment and choose at age 60 whether to start SBP participation * Option 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 * Option C, elect that a beneficiary receive an annuity immediately upon their death if before age 60 8. The evidence of record does not support the applicant's request for...