RECORD OF PROCEEDINGS


	IN THE CASE OF:	  


	BOARD DATE:	  24 July 2007
	DOCKET NUMBER:  AR20060010283 


	I certify that hereinafter is recorded the true and complete record of the proceedings of the Army Board for Correction of Military Records in the case of the above-named individual.  


	The Board considered the following evidence: 

	Exhibit A - Application for correction of military records.

	Exhibit B - Military Personnel Records (including advisory opinion, if any).


THE APPLICANT'S REQUEST, STATEMENT, AND EVIDENCE:

1.  The applicant requests, in effect, back pay for Overseas Housing Allowance (OHA) and utilities paid for Malaysia from the period 10 March 2006 through     30 June 2006.  

2.  The applicant states that OHA rates have not been established for personnel having family members living in Malaysia.  However, OHA rates for Kuala Lumpur do exist.  The applicant states that his family resided in Keningau, Malaysia from 6 January 2006 to 30 June 2006 without any type of financial support.  He maintains that he received OHA while in Korea at the without dependent rate from 6 January 2006 until 10 March 2006.  

3.  The applicant provides a copy of his DD Form 214 (Certificate of Release or Discharge from Active Duty), DA Form 137-2 (Installation Clearance Papers), Defense Finance and Accounting Service Military Leave and Earnings Statements (LES), DD Forms 2367 (Individual overseas Housing Allowance Report), rental agreement, orders, and internet OHA rates. 

CONSIDERATION OF EVIDENCE:

1.  The applicant’s record shows that he was retired in the pay grade of E6 on   30 June 2006. 

2.  Orders 262-1, dated 19 September 2001, show that the applicant was reassigned from Fort Belvoir, Virginia to Camp Humphries, Korea.  His report date was listed as 15 January 2002.  The orders show that the applicant was on a 24 month command sponsored tour and authorized concurrent travel of his family members.  

3.  The applicant’s lease agreement shows that he entered into a residential house lease agreement on 15 December 2005 in Keningau, Sabah, Malaysia.  The lease amount was listed as 2000 ringgits.

4.  Orders 061-0002 dated 2 March 2006 show that the applicant was reassigned to the Transition Point, Camp Humphreys, Korea for retirement.  His final out-processing appointment was scheduled for 8 March 2006 with a retirement date listed as 30 June 2006.  Additionally, the orders stated that concurrent travel to the applicant’s home of record, place he entered active duty, or home of selection was authorized for his dependents.  

5.  Orders 061-0001 dated 2 March 2006, released the applicant from active duty effective 30 June 2006 and placed him on the retired list effective 1 July 2006.

6.  The applicant provided four different DD Forms 2367 all dated 6 or 7 March 2006; consisting of one start, two stops, and one change requests.  

	a.  The first DD Form 2367 shows that the applicant requested to start OHA for his dependents residing in Malaysia.  The effective date of the lease was listed as 15 December 2005 with a leased/rented amount of 2000 ringgits.  He checked the block indicating that he paid his utilities separately.  This form was signed by him on 7 December 2005 with an effective date of action listed as 6 January 2006.  

	b.  The second DD Form 2367 shows that the applicant requested to change OHA for his dependents residing in Malaysia.  The effective date of the lease was listed as 6 June 2006 with a leased/rented amount of $300.00.  He checked the block indicating that he paid his utilities separately.  This form bears the applicant’s signature but, he did not date this form.  The effective date of action was listed as 6 January 2006. 

	c.  The third DD Form 2367 shows that the applicant requested to stop OHA for his dependents residing in Malaysia.  The form shows a monthly leased/rented amount of $300.00.  He checked the block indicating that he paid his utilities separately.  This form was signed by him but was undated.  The effective date of action was listed as 7 March 2006.  

	d.  The fourth DD Form 2367 shows that the applicant requested to stop OHA for his dependents residing in Malaysia.  The effective date of the lease was listed as 15 December 2005 with a leased/rented amount of 2000 ringgits.  He checked the block indicating that he paid his utilities separately.  This form was signed by him on 7 March 2006.  The effective date of action was listed as 30 June 2006. 

7.  The applicant’s clearance papers show that he cleared the installation on     10 March 2006.  

8.  Information obtained from the internet shows that as of 1 March 2006 OHA monthly rental allowance for Kuala, Lumpur in local currency was listed as 7330.00 ringgits or $1,978.03 based on a rate of exchange of 3.7057 ringgits per dollar.  In “Other” locations, the utility/recurring maintenance allowance was listed in local currency as 2600.00 ringgits with an exchange rate listed as $701.62.

9.  The applicant provided his LES’s for the period 1 January 2006 to 30 June 2006.  Since OHA is not specifically listed under entitlements on his LES’s, it can not be determined, by his LES alone, of whether or not he received OHA payments and the amount, if any.  

10.  On 12 March 2007, an advisory opinion was obtained from the Defense Finance and Accounting Service (DFAS), Denver, Colorado.  The Chief, Claims Branch stated that the applicant’s Master Military Pay Account (MMPA) shows that he received OHA at the with-dependent rate while stationed in Camp Humphries, Korea.  On 6 January 2006, the applicant moved his dependents to Keningau, Malaysia at his personal expense where they resided until his retirement, 30 June 2006.  The Chief, Claims Branch said that the applicant did  not receive OHA for Malaysia on behalf of his dependents because in accordance with the Joint Federal Travel Regulation (JFTR), when a member returns his dependents from an overseas location at personal expense, the member is not allowed a second housing allowance.  The with-dependent housing rate allowance at the member’s permanent duty station continues without change.

11.  Additionally, the applicant’s MMPA revealed that he received OHA at the with-dependent rate for Camp Humphries, Korea for the period 1 January 2006 through 2 March 2006.  The rate he received for the period 1 January 2006 through 15 February 2006 was determined at the 1,500,000 won rate for rent and 300,000 won rate during the period 16 February 2006 through 2 March 2006. The applicant did not receive OHA for the period 3 March 2006 through 23 April 2006, but he was paid OHA for the period 24 April 2006 through 30 April 2006.  The Chief, Claims Branch stated that the records show that if the applicant’s dependents resided in Kuala Lumpur for the period 6 January 2006 through       30 June 2006, he would be entitled to $7,290.05.  He also provided a computation worksheet and an OHA sheet substantiating this amount.  Since his dependents were residing in Keningau, Malaysia, there is no other rate available in the country.  The Chief, Claims Branch stated that in accordance with the JFTR, the applicant is not due an additional OHA entitlement based on moving his dependents at personal expense.  

12.  On 12 April 2007, an advisory opinion was obtained from the Chief, Compensation and Entitlements Division, Office of the Deputy Chief of Staff, G1, Washington D.C.  The Chief, Compensation and Entitlements Division stated that based on the rules/limitations in the JFTR, payment of OHA for Keningau, Malaysia could not be authorized.  However, he recommended reimbursement of the applicant’s family actual lease costs incurred at Keningau, Malaysia for the period of his retirement transition from 10 March 2006 through 30 June 2006.  
13.  The Chief, Compensation and Entitlements Division explained that the applicant moved his family, at personal expense, to Keningau, Malaysia, in January 2006.  He reiterates the information obtained from DFAS concerning the applicant not being entitled to OHA in accordance with the JFTR based upon his early return of dependents at his own expense.  However, the Chief, Compensation and Entitlements Division said the applicant should have continued to receive OHA, at the with-dependent rate for Camp Humphries, Korea from 6 January 2006 through 10 March 2006.  After departure from Korea on terminal leave through his retirement date on 30 June 2006, the applicant would have been authorized to receive OHA for his transition/retirement location in Keningau, Malaysia.

14.  Additionally the Chief, Compensation and Entitlements Division stated that since there was no established OHA for Malaysia, other than for the capital, Kuala Lumpur, the applicant could not have received OHA for his family’s location in Keningau, Malaysia.  Further, since he utilized an overseas transition point in Korea to complete his final out-processing for retirement he was not eligible/authorized to receive Basic Allowance for Housing during his terminal leave period.  Therefore, the Chief, Compensation and Entitlements Division recommended the following:

	a.  Payment of the actual monthly lease rent in the amount of $540.00 per month (per lease and currency exchange rate) for his three months terminal leave from 10 March 2006 through 30 June 2006;  

	b.  Monthly utility allowance for the period 10 March 2006 through 30 June 2006, if documented with local utility statements or utility payment vouchers; and

	c.  Payment of OHA for Korea at the with dependent rate for the period      6 January 2006 through 10 March 2006.  

15.  On 12 March 2007, the two staff advisory opinions were forwarded to the applicant for his acknowledgement and or comments.  The applicant did not respond to the advisory opinions.

16.  Joint Federal Travel Regulation, Chapter 10, U10410-B (Early Return of Dependents) states that when all of a member’s dependents are returned early from outside the continental United States permanent duty station (PDS) at personal expense, the member is not authorized a second housing allowance and the with-dependents rate housing allowance based on the member’s PDS continues without change.  If the member vacates family-type Government quarters that were occupied by the dependents before their departure, the member is authorized a with-dependents rate allowance for the member’s PDS. 

DISCUSSION AND CONCLUSIONS:

1.  Evidence of record shows that the applicant is entitled to receive OHA from the period of his retirement transition from 10 March 2006 to 30 June 2006.  Since there was no OHA entitlement established for Keningau, Malaysia, this Board agrees with the advisory opinions rendered by DFAS and the Chief, Compensation and Entitlements Division that the applicant should be reimbursed the actual lease cost incurred in Malaysia during his retirement transition period.  It would also be fair and equitable to reimburse him for his monthly utility cost if documentation is provided verifying the cost.

2.  Although the Chief, Compensation and Entitlements Division recommended payment of OHA for Korea at the with-dependent rate for the period 6 January 2006 through 10 March 2006, the DFAS verified that the applicant was paid OHA at the with-dependent rate from 1 January 2006 through 2 March 2006.  Therefore, the applicant is only entitled to OHA at the with-dependent rate for Korea from the period 3 March 2006 through 9 March 2006.  

BOARD VOTE:

___JI ___  ___RL___  __JH ___  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 as follows:

	a.  Payment of the actual monthly lease rent in the amount of $540.00 per month (per lease and currency exchange rate) for the period 10 March 2006 through 30 June 2006;  

	b.  Payment of monthly utility bills for the period 10 March 2006 through 
30 June 2006, if documented with local utility statements or utility payment vouchers; and

	c.  Payment of OHA for Korea at the with-dependent rate for the period      3 March 2006 through 9 March 2006. 




______ John Infante__________
          CHAIRPERSON




INDEX

CASE ID
AR20060010283
SUFFIX

RECON
YYYYMMDD
DATE BOARDED
20070724
TYPE OF DISCHARGE
(HD, GD, UOTHC, UD, BCD, DD, UNCHAR)
DATE OF DISCHARGE
YYYYMMDD
DISCHARGE AUTHORITY
AR . . . . .  
DISCHARGE REASON

BOARD DECISION
GRANT 
REVIEW AUTHORITY

ISSUES         1.
128.00
2.

3.

4.

5.

6.