IN THE CASE OF:	

		BOARD DATE:	  7 June 2011

		DOCKET NUMBER:  AR20100021404 


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:

	a.  removal from discharge status and placement in the Retired Reserve;

	b.  reinstatement of her Voluntary Separation Incentive (VSI) benefits; and

	c.  all due VSI back pay from the years 2008, 2009, and 2010.

2.  She states she was discharged from a Standby Reserve status and she was not transferred to the Retired Reserve until her Mandatory Retirement Date was met.  She contends that improper or no actions were taken by the U.S. Army Reserve (USAR) staff once she contacted their office and submitted the Military Service Obligation (MSO) letter in 2008.

3.  She provided:

* a self-authored document
* her DD Form 214 (Certificate of Release or Discharge from Active Duty)

CONSIDERATION OF EVIDENCE:

1.  Her military record shows she served on active duty for 14 years, 1 month, and 7 days.  She was honorably released from active duty (REFRAD) on 
1 September 1992, in the rank/grade of captain (CPT)/O-3 and she was transferred to the USAR Control Group (Reinforcement), as a member of the Individual Ready Reserve (IRR).

2.  She provided a DD Form 214 for the period ending 1 September 1992 which shows she was REFRAD under the provisions of Army Regulation 635-100 (Officer Personnel), chapter 3, section XVI, by reason of the Fiscal Year 1992 VSI Program.  Item 18 (Remarks) of this DD Form 214 confirms she was authorized annual VSI payments of $13,662.38 for 28 years.

3.  The U.S. Army Human Resources Command (USAHRC), Interactive Web Service (IWS) shows that on 18 September 2006 an MSO letter was mailed to her in accordance with Department of Defense (DoD) Directive 1235.13 (Management of the IRR and the Inactive National Guard (ING)).  She failed to respond to the MSO letter, and as a result, a second letter was mailed on
2 November 2006.  

4.  The IWS transaction log also shows she failed to respond to the second MSO option letter and as a result, Orders C-12-640426, issued by USAHRC, St. Louis, MO, dated 27 December 2006, released her from the USAR Control Group (Reinforcement) and reassigned her to the Standby Reserve (Inactive List).  The additional instructions in these orders state:  "You will be discharged or transferred to the Retired Reserve (If eligible) one (1) year from the effective date of this order unless you provide the MSO election form requesting to remain in the IRR.  Contact HRC customer service."

5.  On 8 January 2008, USAHRC published Orders D-01-801016.  These orders show she was honorably discharged from the USAR effective the same date for failing to provide an MSO election form as required by DoD Directive 1235.13.

6.  On 4 September 2008, she made contact with USAHRC and inquired about an assignment in a Troop Program Unit or as an Individual Mobilization Augmentee.  

7.  On 5 September 2008, a copy of a blank MSO option election form was emailed to the applicant.  She returned the election form on 22 September 2008 indicating her choice to remain in the IRR.

8.  The IWS transaction log shows she made several inquires pertaining to the reinstatement of her VSI payments.  She stated she had not received a payment in 2008 or 2009.  She was directed to appeal to the ABCMR.


9.  Army policy and the Department of Defense Military Pay and Allowances Entitlements Manual, based on Public Law 102-190, 5 December 1991, as amended, prescribes the qualifications for entitlement to readjustment benefits for certain voluntarily separated members.  The VSI was one of the monetary benefits associated with this incentive program.  The voluntary incentive program was designed to support the Army’s drawdown.

10.  Headquarters, Department of the Army message 281802Z January 1992, clarified issues associated with the VSI program via a question and answer format.  It stated that Soldiers approved for VSI would be paid in annual installments commencing on their departure date from active duty, and on each anniversary date thereafter for twice the number of years on active duty, provided the Soldier continues to serve in the IRR.  VSI annual payments will be discontinued if the member is separated from the IRR unless the individual becomes ineligible to continue to serve due to medical or age limitations in which case the Soldier will be transferred to the Standby Reserve or the Retired Reserve.

DISCUSSION AND CONCLUSIONS:

1.  The evidence of record shows she was discharged from the Standby Reserve for failing to make an MSO election.  Orders C-12-640426 indicated she would either be transferred to the Retired Reserve or discharged 1 year from the date of the order unless she made an MSO election.

2.  It is reasonable to presume that she thought she would be transferred to the Retired Reserve.  However, transfer to the Retired Reserve would have still placed her in an ineligible status to receive VSI payments.

3.  Her record further indicates she served honorably on active duty for over 
14 years and was entitled to the VSI payments for 28 years commencing upon her separation from active duty in 1992.  It is unreasonable to believe that she or any other individual would voluntarily accept a transfer to the Retired Reserve knowing that such an action would suspend her earned annual VSI payments.

4.  Thus, it would serve the interest of equity and justice to void her transfer to the Standby Reserve (Inactive List) and her discharge from the USAR.  It would further be appropriate to correct her record to show she made a timely MSO election to remain in the IRR on 18 September 2006 and by reinstating her VSI payments accordingly. 


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.  voiding USAHRC Orders C-12-640426, dated 27 December 2006 and USAHRC Orders D-01-801016, dated 8 January 2008; 

	b.  showing she made a timely MSO election to remain in the USAR, IRR on 18 December 2006; and

	c.  restoring her entitlement to VSI payments and providing her retroactive payment of any lost VSI payments that resulted from her transfer from the IRR and discharge from the USAR.



      ___________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)                                         AR20100021404



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ABCMR Record of Proceedings (cont)                                         AR20100021404



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