IN THE CASE OF:	  

		BOARD DATE:	  	  23 October 2008

		DOCKET NUMBER:  AR20080014842 


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, in effect, that his debt to the Defense Finance and Accounting Service (DFAS) for not completing the requirements of a Reserve Officer Training Corps (ROTC) scholarship be terminated.  

2.  The applicant states, in effect, he enlisted in the Regular Army for five years so that he could repay his ROTC debt to DFAS.   

3.  The applicant provides a copy of an account statement from the DFAS, dated 3 October 2006; his enlistment contract into the United States Army Reserve Delayed Entry Program on 30 August 2006 and into the Regular Army on 
21 September 2006 for a period of 5 years; and his DA Form 597-3 (Army Senior Reserve Officers’ Training Corps [ROTC] Scholarship Cadet Contract), in support of this application.

CONSIDERATION OF EVIDENCE:

1.  The applicant's military service records show that he enrolled in the ROTC Program, effective 2 September 2002, and agreed to enlist for a period of
8 years in the U.S. Army Reserve (USAR) as a cadet for assignment to the USAR Control Group (ROTC) to become a member of the Army ROTC Program. In consideration of the agreement to the terms of the ROTC scholarship contract, in pertinent part, the Department of the Army agreed to pay for 4 academic years of tuition and educational fees up to an annual amount of $17,000.00.

2.  At the time the applicant entered into his ROTC contract, he further acknowledged his understanding that if he failed to complete the educational requirements of his agreement or was disenrolled from the ROTC program, the Secretary of the Army or his designee could order him to active duty as an enlisted Soldier; or in lieu of being ordered to active duty, he could be required to repay financial assistance he received through the ROTC program, plus interest. 

3.  The specific facts and circumstances surrounding the applicant’s discharge from the ROTC program are not available for review.  The evidence does include a copy of an account statement that shows that as of 3 October 2006, the applicant had a $46,925.88 past due debt to DFAS.  

4.  On 21 September 2006, the applicant enlisted in the Regular Army in the rank and pay grade of specialist (SPC)/E-4 for a period of 5 years.  He enlisted for the United States Army Training Enlistment Program; and the United States Army Incentive Enlistment Program which included the U.S. Army High Grad Bonus (Bachelor), the U.S. Army Cash Bonus, 5-Year Enlistment, and the Thrift Savings Plan (Matching).  The applicant’s enlistment contract shows that he is authorized $16,000.00 in bonus payments and will be paid in accordance with DA instructions.

5.  In connection with the processing of this case, on 1 August 2007, an advisory opinion was obtained from the Deputy Chief of Staff, G1, USACC (U.S. Army Cadet Command).  It states that the terms of the ROTC scholarship contract require a cadet either repay his debt monetarily, or agree to be ordered to active duty through ROTC channels based on the needs of the Army.  It further indicates the applicant declined expeditious order to active duty through ROTC channels, and as a result a debt for the ROTC scholarship was established.  

6.  In addition, the DCS, G1, USACC states that the applicant's enlisted service in the Army, for which he received an enlistment bonus, is not an authorized remedy for debt repayment under the terms of his ROTC contract, and his actions should not eliminate his debt to the Government.  

7.  On 9 August 2007, the applicant was provided a copy of the USACC advisory opinion in order to have the opportunity to reply to or rebut its contents.  The applicant responded and non-concurred with the advisory opinion.  He acknowledged that he was given the repayment option and the service option.  He also states that he was advised he could pursue the enlistment option through the available recruitment avenues.  He subsequently chose the recruiting method because his mind was set to serve in the U.S. Army. 


8.  Army Regulation 135-210 prescribes policies and procedures for ordering individual Soldiers of the Army National Guard of the United States and the U. S. Army Reserve to active duty during peacetime.  In pertinent part, it states that former ROTC cadets, when ordered to active duty, will be ordered to report to the United States Army Reception Battalion and will be ordered to active duty in the pay grade of E-1.

DISCUSSION AND CONCLUSIONS:

1.  The applicant's contention that his enlistment in the Regular Army should fulfill his obligation under his breached ROTC contract was considered.  In this case, although not provided for in his DA Form 597-3, the applicant’s enlistment in the Army serves the same purpose as would have been served had he been ordered to active duty in the Army through ROTC channels.

2.  The record shows that as a result of the applicant’s 5-year enlistment in the Regular Army on 21 September 2006, the Army is getting the benefits of his service for the same period he would have served had he been ordered to active duty as a result of breaching his ROTC contract, provided he completes his current enlistment obligation, which ends on 20 September 2011.  

3.  However, the prospect of negating the applicant’s ROTC debt plus allowing him to receive any enlistment options or financial incentive he ordinarily would not have received, would be a windfall.  Therefore, the applicant is only entitled to partial relief of his ROTC debt. 

4.  In view of the foregoing, it would be appropriate to consider his 5-year enlistment in the Army, upon completion of his current enlistment, to have met the active duty obligation required by his ROTC scholarship contract as a matter of equity.  If he fails to complete his current period of enlisted service obligation either voluntarily or because of misconduct, his ROTC debt would be required to be recouped on a pro-rated basis.

BOARD VOTE:

________  ________  ________  GRANT FULL RELIEF 

__    X     __  ___X____  ____X____  GRANT PARTIAL RELIEF 

________  ________  ________  GRANT FORMAL HEARING

________  ________  ________  DENY APPLICATION

BOARD DETERMINATION/RECOMMENDATION:

1.  The Board determined that the evidence presented was sufficient to warrant a recommendation for partial relief.  As a result, the Board recommends that all Department of the Army records of the individual concerned be corrected by amending his ROTC scholarship contract to show that:
   
   a.  he will satisfy a portion of his ROTC debt under the original terms of the ROTC contract by successfully completing his 5-year enlistment in the Regular Army; 
   
   b.  however, if the applicant fails to satisfactorily complete the 5-year period of active duty enlisted service obligated as a result of his amended Army Senior ROTC Scholarship Cadet Contract, either voluntarily or because of misconduct, his ROTC debt will be recouped on a pro-rated basis as specified in his original DA Form 597-3.
   
2.  That as a result of the foregoing correction, the Defense Finance and Accounting Service shall refund payment to the applicant the total amount of monies garnished and/or recouped as a result of breaching his original ROTC contractual obligation, not to exceed $30,925.88 (i.e., $46,925.88 original ROTC scholarship debt, less $16,000.00 received as an enlistment bonus).

3.  The Board also determined that the applicant’s enlistment bonus received as a result of his 5-year enlistment in the RA shall not be recouped.

4.  The Board further determined that the evidence presented is insufficient to warrant a portion of the requested relief.  As a result, the Board recommends denial of so much of the application that pertains to the applicant's current active duty commitment in the Regular Army being accepted as full repayment of his Reserve Officers' Training Corps scholarship debt.



      ___________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)                                         AR20080014842



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ARMY BOARD FOR CORRECTION OF MILITARY RECORDS

 RECORD OF PROCEEDINGS


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