BOARD DATE:	  18 October 2011

		DOCKET NUMBER:  AR20110012532 


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 her debt for an erroneous overpayment of base pay be forgiven.

2.  The applicant states she submitted a request to adjust her Pay Entry Basic Date (PEBD) based on her time in the Air Force Reserve Officer Training Corps (AFROTC) program.

	a.  The Defense Finance and Accounting Service (DFAS) adjusted her PEBD, but later changed it back pending additional documentation from the applicant.

	b.  She requested copies of her Leave and Earnings Statements (LES) from the U.S. Air Force, but never received them.

	c.  DFAS advised her there is a $3,988.25 balance due as a result of the overpayment.

	d.  She states DFAS erroneously credited her with the additional time in service and changed her PEBD multiple times.  She has been unsuccessful in obtaining additional documentation to support her request, and DFAS has unjustly denied her request for cancellation of the debt.

3.  The applicant provides copies of her AFROTC Scholarship Cadet Contract, AFROTC disenrollment, a statement of service, four DFAS pay calculation documents, a pay inquiry, three letters, an email message, application for remission or cancellation of indebtedness with 14 enclosures, Enlisted Record Brief (ERB), and a memorandum in response to her request.

CONSIDERATION OF EVIDENCE:

1.  A copy of the applicant's AFROTC Cadet Contract is not filed in her Official Military Personnel File.

2.  A Security Clearance Application completed by the applicant on 31 January 2007 shows in item 11 (Your Military History) that the applicant indicated she had service in the Air Force inactive reserve from 1 October 2002 to 16 July 2004.

3.  A DD Form 1966 (Record of Military Processing - Armed Forces of the United States) shows in:

	a.  item 18 (Accession Data):

* Enlistment Date - 22 February 2002
* [Basic] Active Duty Service Date [BASD] - 22 February 2007
* Pay Entry Date - 7 March 2005

	b.  item 22 (Education), block b (Have you ever been enrolled in ROTC, Junior ROTC, Sea Cadet Program or Civil Air Patrol?), an "x" in the "Yes" column;

	c.  item 24 (Previous Military Service or Employment with the U.S. Government?  If "Yes," explain in Section VI, "Remarks."), block a (Are you now or have you ever been in any regular or reserve branch of the Armed Forces or in the Army National Guard or Air National Guard?), an "x" in the "Yes" column; and

	d.  section VI (Remarks) does not show an entry explaining the "Yes" entry in item 24.

4.  A DD Form 4 (Enlistment/Reenlistment Document - Armed Forces of the United States) shows the applicant enlisted in the Regular Army (RA) on
22 February 2007 for a period of 4 years.  Item 7 (Previous Military Service Upon Enlistment/Reenlistment) shows no entry (i.e., is blank).

5.  In support of her application, the applicant provides the following documents:

	a.  A DD Form 4, AF Form 1056 (AFROTC Contract), and AFOATS Form 111 (Student Status Statement of Understanding) that show the applicant enlisted in the Air Force Reserve on 1 October 2002 for a period of 8 years as an officer candidate with a 4-year AFROTC scholarship and that her scheduled graduation date was 20 May 2006.

	b.  A DD Form 785 (Record of Disenrollment from Officer Candidate - Type Training) and Headquarters, Air Reserve Personnel Center, Denver, CO, Reserve Order CC-926, dated 21 September 2004, that show the applicant was disenrolled from AFROTC and honorably discharged from the U.S. Air Force Reserve, effective 16 July 2004.

	c.  A DA Form 1506 (Statement of Service - For Computation of Length of Service for Pay Purposes) that shows:

		(1)  the applicant indicated she had:

* enlisted service in the AFROTC from 1 October 2002 to 16 July 2004, equating to 1 year, 9 months, and 16 days service
* a break in service from 17 July 2004 to 21 February 2007
* enlisted service in the RA beginning 22 February 2007 to the present
		(2)  the document was signed by the applicant on 17 February 2009 and authenticated by the military personnel technician on 18 February 2009.

	d.  A DFAS PEBD Calculation document [that appears to pertain to the applicant], with a handwritten date of 9 April 2010, that shows, in pertinent part:

* AFROTC service:  1 October 2002 - 16 July 2004; 1 year, 9 months, 16 days; and an "X" in the "PEBD" column
* RA service:  22 February 2007 - 7 April 2010; 3 years, 1 month,
16 days; and an "X" in both the "BASD" and PEBD" columns
* Present [Date]:  8 April 2010
* BASD:  22 February 2007
* PEBD:  6 May 2005
* 2 Years Service for Base Pay:  6 May 2007
* Total:  $3,988.25

	e.  A DFAS PEBD Calculation document [that appears to pertain to the applicant], with a handwritten date of 18 May 2010, that shows, in pertinent part:

* AFROTC service:  1 October 2002 - 16 July 2004; 1 year, 9 months, 16 days; and no entry in the "BASD" or "PEBD" or columns


* RA service:  22 February 2007 - 7 April 2010; 3 years, 1 month,
16 days; and an "X" in both the "BASD" and PEBD" columns
* Present [Date]:  8 April 2010
* BASD:  22 February 2007
* PEBD:  22 February 2007
* 2 Years Service for Base Pay:  6 May 2007
* Total:  $3,988.25

	f.  A DA Form 2142 (Pay Inquiry), dated 12 July 2010, that shows:

		(1)  the applicant stated, "I recently had my time in service fixed, it was correct for one month and recently changed back.  Now my LES shows an indebtedness from an unknown origin.  Please fix my time in service."

		(2)  Section III (To Be Completed by Finance), "Inquiry Analysis Cause" shows "Other:  PEBD."

		(3)  The "Description of Cause and Action Taken" block shows the pay clerk entered, in pertinent part, "[Applicant's] PEBD has been changed numerous times.  The bottom line is that [applicant] will have to provide [Simultaneous Membership Program] contract or retirement points to reflect drill time in order to change PEBD."

	g.  National Personnel Records Center, Military Personnel Records, St. Louis, MO, letter, dated 9 August 2010, that shows the applicant was provided copies of her Air Force personnel records and that her inquiry for finance records was referred to DFAS.

	h.  Two DFAS, Defense Military Pay Office, Fort Hood, TX, memoranda, dated 15 March 2011, that show the applicant was notified of a debt incurred in the amount of $3,988.25 caused by an overpayment of base pay from 6 May 2007 through 31 January 2010.  On 14 April 2011, the applicant acknowledged she understood the DFAS memorandum and indicated she would request a remission or cancellation of the debt within 30 days.

	i.  An email from the applicant to an official at DFAS, dated 14 April 2011, requesting assistance in obtaining her Air Force LESs for the period 2002-2004 or in getting her debt cancelled.

	j.  A DA Form 3508 (Application for Remission or Cancellation of Indebtedness), dated 12 May 2011, with 14 enclosures.


		(1)  The DA Form 3508 shows in:

* item 3 (Service Data)

* BASD:  2 [sic] February 2007
* PEBD:  2 [sic] February 2007

* item 13 (Initial Amount and Category of Indebtedness)

* Amount:  $3,988.25
* Category:  Base Pay

* item 14 (Date Applicant Notified of Indebtedness):  4 April 2011

* The applicant and her spouse outlined their monthly income, monthly expenses, and installment contracts and other debts
* The applicant indicated she received a reenlistment bonus of $27,000.00 on 9 October 2010
* The application was based on hardship and injustice

		(2)  A DA Form 2823 (Sworn Statement), dated 12 May 2011, that shows the applicant stated she was informed in 2009 that she could get credit for the time she spent in the AFROTC program.  She submitted a statement of service and AFROTC contract, was given service credit for base pay and paid back pay, and believed she was entitled to the pay.  The next month her PEBD was changed back.  She attempted to obtain her Air Force LESs to support the change to her PEBD, but did not receive any response.  She received the notice of indebtedness from DFAS on 4 April 2011 and asserts the overpayment was not her fault in any way and that repayment of the debt would adversely affect her and her husband's financial situation.

		(3)  Two memoranda, dated 3 May and 11 May 2011, from her company commander and battalion commander, respectively, who recommend approval of the applicant's request for cancellation of the debt of $3,988.25 resulting from overpayment of base pay from 6 May 2007 through 31 January 2010.

		(4)  Eleven LESs for the period 1 June 2010 through 30 April 2011 that show, in pertinent part:

* Pay Date :  22 February 2007
* Total Indebtedness:  $3,988.25


* Longevity Updated:  21 February 2010  (June 2010 LES)
    21 February 2011 (February 2011 LES)

	k.  The applicant's ERB, dated 7 June 2011, that shows:

* BASD:  22 February 2007
* PEBD:  22 February 2007
* DIEMS [Date Initially Entered Military Service]:  6 May 2005

   l.  U.S. Army Human Resources Command, Fort Knox, KY, memorandum, dated 14 June 2011, subject:  Remission or Cancellation of Indebtedness [pertaining to the applicant].  The Chief, Special Actions Branch, notified the applicant that her application was reviewed and the request disapproved.  The review determined that no grounds exist to remit or cancel the debt based on injustice.  The applicant was advised to contact DFAS for proration of the remaining balance.

6.  Department of Defense (DoD) Financial Management Regulation (FMR) 7000.14-R, Volume 7A (Military Pay Policy and Procedures - Active Duty and Reserve Pay), chapter 1 (Basic Pay):

	a.  paragraph 0101 (Creditable Service), subparagraph 010101 (Service Which is Creditable), provides in:

		(1)  section B (Computation of Creditable Service) that for most members who enter and serve on active duty without a break in a service, the basic pay date is the date the member enters active or inactive service.  If there is a break in service, the time between periods of service usually is not included, and

		(2)  section D (Other Creditable Service) shows, in pertinent part, that service as a member of the Army, Navy, or Air Force Reserve Officers' Training Corps is creditable service, provided the member has concurrent Selected Reserve (drilling status) for duty performed on or after August 1, 1979; and

	b.  paragraph 010102 (Service Not Creditable) provides, in general, do not use any service that is not listed as creditable service to compute a basic pay date.

DISCUSSION AND CONCLUSIONS:

1.  The applicant contends, in effect, that her debt for an erroneous overpayment of base pay should be forgiven because her PEBD was changed and she incurred a debt of $3,988.25 due to no fault of her own.
2.  Records show the applicant was an officer candidate in the AFROTC program from 1 October 2002 through 16 July 2004; a period of inactive reserve service totaling 1 year, 9 months, and 16 days.

3.  There is no evidence that the applicant had concurrent Selected Reserve (drilling status) while she was an officer candidate in the AFROTC. Thus, the applicant's period of service in the AFROTC is not creditable service for pay purposes.

4.  She had a break in service from 17 July 2004 through 21 February 2007.

5.  The applicant enlisted in the RA on 22 February 2007 and her DD Form 1966 shows a PEBD of 7 March 2005; however, this date is incorrect.

6.  The applicant's ERB correctly shows a calculated DIEMS of 6 May 2005 based on her break in service.

2007  02  22  Date Entered Active Duty in the RA
   - 0001  09  16  Prior AFROTC Inactive Reserve Service
   =    05  05  06	DIEMS (6 May 2005)  [Not Applicant's PEBD]

7.  The evidence of record shows the applicant submitted a statement of service in February 2009 claiming her AFROTC service as creditable service for pay. The document was authenticated by a military personnel technician.  As a result, on an unspecified date, DFAS adjusted the applicant's PEBD to 6 May 2005 and she was paid base pay at the "over 2 years for base pay" rate retroactive to
6 May 2007.

	a.  However, the applicant acknowledges (in both her pay inquiry and sworn statement) that DFAS changed her PEBD back to 22 February 2007 within the next one or two months that it was first changed.  In effect, at that time, the applicant was put on notice by DFAS that the adjusted PEBD of 6 May 2005 could not be verified.  Therefore, it is reasonable to conclude that she was aware of her responsibility and obligation to return any overpayment(s) that she received from DFAS that she was not entitled to.

	b.  Moreover, the applicant acknowledges she was aware that she was required to provide documentation to finance showing her participation in the SMP and drill status in order to support a change in her PEBD from 22 February 2007 to 6 May 2005.

8.  The applicant has not provided any evidence that shows she had additional creditable service for pay purposes during the period of her AFROTC, despite having more than a full year to do so.

9.  While the evidence of record indicates the overpayment made by DFAS was made in error and apparently due to no fault of the applicant, this is an insufficient basis to warrant remission or cancellation of the indebtedness that was incurred based on the applicant's receipt of base pay that she was not entitled to.

10.  Therefore, in view of all of the foregoing, it is concluded that the applicant's debt is valid and she is not entitled to forgiveness of her base pay debt.

BOARD VOTE:

________  ________  ________  GRANT FULL RELIEF 

________  ________  ________  GRANT PARTIAL RELIEF 

________  ________  ________  GRANT FORMAL HEARING

__X______  __X_____  ____X____  DENY APPLICATION

BOARD DETERMINATION/RECOMMENDATION:

The evidence presented does not demonstrate the existence of a probable error or injustice.  Therefore, the Board determined that the overall merits of this case are insufficient as a basis for correction of the records of the individual concerned.



      _________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)                                         AR20110012532



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ABCMR Record of Proceedings (cont)                                         AR20110012532



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