IN THE CASE OF:	  

		BOARD DATE:	  12 January 2011

		DOCKET NUMBER:  AR20100011361 


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, correction of his record to show he is eligible for a Reenlistment Bonus and the Student Loan Repayment Program (SLRP) as stated in his reenlistment contract.

2.  The applicant states he was offered and elected to receive a reenlistment bonus in the amount of $15,000 and $10,000 in funds toward college expenses under the SLRP for a six year reenlistment commitment.  He entered into the contract in good faith and after completing four and half years of his six year commitment he was informed in October 2009 that he was not authorized either option and recoupment of his bonus was initiated.  A career counselor later told him he received the bonus and the SLRP because he was slotted in a 00G (Military Occupational Specialty (MOS) Immaterial U.S. Army Reserve) position.  The repayment of this debt is a financial hardship, and he requests recoupment for his bonus be stopped and his SLRP be honored.

3.  The applicant provides a copy of his reenlistment contract, dated 8 June 2005; his waiver of indebtedness application, dated 17 October 2010; and a National Student Loan Data System Loan Summary.

CONSIDERATION OF EVIDENCE:

1.  The applicant's military records show he reenlisted on 8 June 2005 for a period of six years in the United States Army Reserve.  His reenlistment documents included:

	a.  A DD Form 4 (Enlistment/Reenlistment Document - Armed Forces of the United States);

	b.  A DA Form 3540 (Certificate and Acknowledgment of U.S. Army Reserve Service Requirements and Method of Fulfillment) which shows he reenlisted for a minimum period of service of six years with a bonus in the amount of $15,000;

	c.  A DA Form 5261-2-R (Selected Reserve Incentive Program - Reenlistment/Extension Bonus Addendum) which shows he qualified in MOS 11B, which was approved as a bonus MOS and correlates to the position vacancy for which he reenlisted; and

	d.  A SLRP Addendum indicating in connection with his reenlistment he was entitled to loan repayment under the SLRP.  It shows he agreed to serve a minimum of three years in the Selected Reserve in MOS 11B for a maximum of $10,000 in loan repayment benefits.

2.  The applicant and a service representative (USAR Career Counselor) authenticated this contract and addenda with their signatures on 8 June 2005.

3.  A memorandum from the Headquarters, U.S. Army Reserve Command (USARC), Deputy Chief of Staff (DCS), G-1, dated 30 November 2009, in response to a Congressional inquiry on the applicant's behalf regarding his Reenlistment Bonus and SLRP, states the Fiscal Year 2005 SRIP guidance for 
1 April 2005 through 30 September 2005 did not authorize the Reenlistment Bonus or SLRP for MOS 11B.  The USARC DCS, G-1 stated the applicant could elect to:

* Remain in the unit without benefit of the SLRP
* Request discharge in accordance with the regulatory guidance
* Apply to the ABCMR to pursue any perceived injustice

4.  In the processing of this case, an advisory opinion was obtained from the Senior Army Reserve Career Counselor, Office of the Deputy Chief of Staff, G-1, Washington, DC.  The advisory official stated the Selected Reserve Incentive Program (SRIP) lists skills considered critical for bonus purposes.  The SRIP in effect on the date of the applicant's reenlistment did not include the applicant's MOS 11B for a Selected Reenlistment Bonus (SRB).  The Army Reserve Careers Division issued a Reenlistment Bonus Control Number in error.  Further, the Soldier should not be penalized for administrative errors committed by the persons in charge of ensuring Soldiers meet the bonus eligibility criteria.

5.  The same advisory opinion recommended the applicant's request to have his debt suspended be granted and the $1960.77 recouped be repaid.  However, they could not grant an exception to allow the Soldier to receive the SLRP.

6.  The advisory opinion was furnished to the applicant for information and to allow him the opportunity to submit comments or a rebuttal.  On 2 September 2010, the applicant responded to the advisory opinion.  The applicant reiterates his original contention that he entered into the contract in good faith, has been a model Soldier, and complied with the terms of the contract; therefore, the exception should apply to his entire contract, not just the reenlistment bonus portion.

7.  He provides a financial aid summary sheet which shows the total amount of his outstanding student loan balance was $19,264.00, as of 2 November 2010.

8.  Army Regulation 601-210 (Active and Reserve Components Enlistment Program) prescribes eligibility criteria governing the enlistment of persons, with or without prior service, into the Regular Army, USAR, and Army National Guard.

9.  Chapter 6, section II, of Army Regulation 601-210 contains guidance on the guidance counselor processing phase.  It states that guidance counselors will verify the applicants' eligibility for enlistment and counsel applicants who failed to meet specific qualification for MOS, options, and assignments for which they applied and advise them of all other available options that would still meet the applicants' needs, wants, and desires as well at the needs of the Army.

10.  Army Regulation 135-7 (Incentive Programs) restricts the SLRP to those Reservists who either enlist or reenlist for a skill or unit approved by the Department of the Army and disseminated to the field by a list of MOS's and units which is updated on a periodic basis.  This educational incentive may only be elected at the time of enlistment or reenlistment.  This incentive pays a limited sum of money to a lending institution on the anniversary date of an enlistment or reenlistment.  These payments continue on a yearly basis unless the Soldier loses eligibility by no longer serving in the approved MOS or unit.

11.  Title 10, U.S. Code, section 1552, the law which provides for the Board, states “The Secretary may pay, from applicable current appropriations, a claim for the loss of pay, allowances, compensation, emoluments, or other pecuniary benefits, or the repayment of a fine or forfeiture, if, as a result of correcting a record under this section, the amount is found to be due the claimant on account of his or another’s service in the Army, Navy, Air Force, Marine Corps or Coast Guard, as the case may be.”

DISCUSSION AND CONCLUSIONS:

1.  The applicant requests that the Army honor its written agreement authorizing him to receive a $15,000.00 Selective Reenlistment Bonus and the $10,000.00 SLRP benefits authorized in his reenlistment contract has been carefully considered and found to have merit.

2.  By law, the Secretary concerned may authorize the SLRP to eligible Soldiers in conjunction with enlistment/reenlistment in the Selected Reserve.  The law allows the Secretary concerned the latitude in establishing the criteria and eligibility for the SLRP.  The governing regulation stipulates that guidance counselors are required to verify the applicants' eligibility for enlistment and counsel applicants who failed to meet specific qualifications for MOS, options, and assignments, for which they applied and advise them of all other available options that would still meet the applicants' needs, wants, and desires as well as the needs of the Army.

3.  The evidence of record confirms the applicant entered into a reenlistment contract that included authorization for a $15,000 Reenlistment Bonus and SLRP benefits not to exceed $10,000.00 on 8 June 2005 in good faith.  It further confirms the responsible guidance counselor certified that he verified the applicant met the regulatory eligibility requirements for both and that his MOS was currently eligible for the designated portion ($10,000.00) authorized for loan repayment listed in the addendum.

4.  In view of the facts of this case, it would be appropriate and serve the interest of justice and equity to correct his record by showing the Army authorized him to receive the Reenlistment Bonus and SLRP benefit in question.

5.  The applicant’s military records may be corrected to show his DA Form 3540 and DA Form 5261-2-R were amended to include the sentence “If you enlist for a bonus and/or the SLRP and the government fails to verify that you meet the eligibility criteria for entitlement to either and such failure results in nonpayment of the bonus and/or loan by the SLRP or the repayment or default of the bonus/loan, the Army Board for Correction of Military Records may pay the bonus/loan, at its sole discretion, in accordance with Title 10, U.S. Code, section 1552.”  This would allow the Board to invoke that provision and pay him the reenlistment bonus and the amount his lending institutions would have been paid under the SLRP.



BOARD VOTE:

____X___  ___X____  ____X___  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 by:

	a.  amending his DA Form 3540 and DA Form 5261-2-R to include the sentence “If you enlist for a bonus and/or the SLRP and the government fails to verify that you meet the eligibility criteria for entitlement to either and such failure results in nonpayment of the bonus and/or loan by the SLRP or the repayment or default of the bonus/loan, the Army Board for Correction of Military Records may pay the bonus/loan, at its sole discretion, in accordance with Title 10, U.S. Code, section 1552” and

	b.  as a result of the foregoing correction the Defense Finance and Accounting Service shall repay him all monies recouped in regard to his $15,000 Reenlistment Bonus and pay him any additional funds due from this bonus up to $15,000; and

	c.  showing he is authorized the $10,000 Student Loan Repayment Program benefit as written in his reenlistment contract dated 8 June 2005, as amended by this correction.




      _______ _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)                                         AR20100011361





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ABCMR Record of Proceedings (cont)                                         AR20100011361



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