| Mr. Carl W. S. Chun | Director | |
| Mr. Edmund P. Mercanti | Analyst |
| Mr. Curtis L. Greenway | Chairperson | |
| Ms. Regan K. Smith | Member | |
| Mr. Donald P. Hupman | Member |
APPLICANT REQUESTS: That the debt she incurred as a result of her enlistment bonus being recouped be remitted.
APPLICANT STATES: She was not aware that her enlistment bonus would be recouped if she were separated from her Army Reserve (USAR) unit due to the birth of her child. She and her husband decided that she would stay at home with their child after the child was born. As a result, she requested separation from her USAR unit and quit her civilian job. Since the birth of her child, both her child and her have required expensive medical care. Those medical expenses, along with their other expenses, have created a financial burden on a one-income family. The applicant admits that the debt is legitimate, and concedes that she would have had to transfer from her unit even if she had known her bonus would be collected because of her child’s birth defect. However, she would have delayed her transfer to minimize the amount that would have been required to be recouped.
EVIDENCE OF RECORD: The applicant's military records show:
She enlisted in the USAR with no prior service on 11 January 1999. In conjunction with her enlistment, she signed an enlistment addendum for a $3,000.00 cash bonus. In that bonus addendum, the applicant was informed that her bonus would be terminated if she were “separated from my status as an enlisted soldier assigned to a unit of the Selected Reserve” and “If my entitlement to the enlisted bonus is terminated . . . I may be subject to recoupment action.”
On 5 November 2000, the applicant’s commander sent her a pregnancy option statement. The applicant elected to be separated from her unit in December 2000 due to pregnancy.
On 4 April 2001, orders were issued transferring the applicant from her USAR unit to the USAR Control Group (Annual Training) due to Parenthood, effective 4 May 2001.
On 20 April 2002, the applicant submitted a request to remit her debt to the Defense Finance and Accounting Service (DFAS). The DFAS responded stating that Public Law 92-453 allows for the waiver of erroneous payments, but does not allow waivers of legal and proper payments.
DISCUSSION: Considering all the evidence, allegations, and information presented by the applicant, together with the evidence of record and applicable law and regulations, it is concluded:
1. The applicant exhausted her administrative remedies when she was informed by DFAS that waivers are not considered for debts resulting from legal and proper payments. Her bonus payments were legal and proper.
2. The applicant was informed in her bonus addendum that if she were separated from her unit that her bonus would terminate and a portion of her bonus may be recouped.
3. The applicant acknowledges that her debt is legitimate, and states that she would have had to leave her unit even if she had known her bonus would be recouped, albeit, at a later date so she would have had a smaller portion of her bonus to repay. In that regard, while the applicant requested that she be transferred in December 2000, she wasn’t transferred until May 2001. Therefore, her transfer to the USAR Control Group was delayed five months from the date she requested to be transferred and the amount of money recouped was reduced as a result of that delay.
4. While a debt may be cancelled based on a correction made by the Board, the Board cannot simply remit or waive a debt. Since the applicant's contract was properly implemented, there is no error or injustice for the Board to correct.
5. In view of the foregoing, there is no basis for granting the applicant's 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
___dph__ ___clg___ ___rks __ DENY APPLICATION
| CASE ID | AR2002075330 |
| SUFFIX | |
| RECON | YYYYMMDD |
| DATE BOARDED | 20021031 |
| TYPE OF DISCHARGE | (HD, GD, UOTHC, UD, BCD, DD, UNCHAR) |
| DATE OF DISCHARGE | YYYYMMDD |
| DISCHARGE AUTHORITY | AR . . . . . |
| DISCHARGE REASON | |
| BOARD DECISION | DENY |
| REVIEW AUTHORITY | |
| ISSUES 1. | 128.00 |
| 2. | |
| 3. | |
| 4. | |
| 5. | |
| 6. |
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