IN THE CASE OF:
BOARD DATE: 26 November 2013
DOCKET NUMBER: AR20130005154
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 termination of her Survivor Benefit Plan (SBP) participation.
2. The applicant states she did not elect to participate in the SBP when she retired in December 2012.
3. The applicant provides:
* DD Form 2656 (Data for Payment of Retired Personnel), dated 27 February 2013
* DD Form 2656-6 (SBP Election Change Certificate), dated 27 February 2013
CONSIDERATION OF EVIDENCE:
1. She enlisted in the Regular Army on 2 May 1990 and she held military occupational specialty 92G (Food Service Operations). She served through multiple extensions or reenlistments, in a variety of assignments, and she attained the rank/grade of staff sergeant (SSG)/E-6.
2. She retired on 31 December 2012 and she was placed on the Retired List in her retired rank/grade of SSG/E-6 on 1 January 2013.
3. Defense Finance and Accounting Service (DFAS) records do not show the applicant made an election to participate or decline participation in the SBP prior to her retirement and as a result, her coverage defaulted to automatic spouse coverage.
4. The applicant provides two post-service documents as follows:
a. DD Form 2656, dated 27 February 2013. She indicated she was married to Thomas on 26 May 2000 and they had three dependents. She elected not to participate in the SBP. Her spouse concurred with her decision on 28 March 2013. The form was signed and notarized.
b. DD Form 2656-6, dated 27 February 2013. She indicated that her current coverage was "spouse only" and requested to suspend coverage. She and a notary public authenticated this form.
5. The case analyst of record contacted the Transition Center, Fort Carson, CO, on 16 October 2013. This is where the applicant was last assigned. An official indicated the applicant did not make an SBP election prior to her retirement.
6. Public Law 92-425, enacted 21 September 1972, established the SBP. The SBP provided that military members on active duty could elect to have their retired pay reduced to provide for an annuity after death to surviving dependents. An election, once made, was irrevocable except in certain circumstances. This law also provides that every member having a spouse and/or child(ren), who retired/transfers to the retired list on or after that date, is automatically covered under SBP at the maximum rate unless he/she elected otherwise before retirement or transfer to the retired list.
7. Public Law 105-85, enacted 18 November 1997, established the option to terminate SBP participation. Retirees have a 1-year period beginning on the second anniversary of the date on which their retired pay started to withdraw from SBP. The spouse's concurrence is required. No premiums will be refunded to those who opt to disenroll. The effective date of termination is the first day of the first calendar month following the month in which the election is received by the Secretary concerned.
DISCUSSION AND CONCLUSIONS:
1. By law and regulation, married Soldiers who retire from the Army must take action to decline SBP coverage prior to retirement; otherwise, coverage defaults to "spouse" coverage. Here, the applicant retired on 31 December 2012. She did not make an election before her retirement. As such, her coverage defaulted to "spouse" coverage as required by law.
2. The applicant completed a DD Form 2656 on 27 February 2013 - after her retirement. This form is invalid because by law retirees have a 1-year period beginning on the second anniversary of the date on which their retired pay started to withdraw from SBP. The spouse's concurrence is required. No premiums will be refunded to those who opt to disenroll. The earliest date she can terminate her SBP is January 2015 and she can do so directly with DFAS.
3. In view of the foregoing evidence, there is insufficient evidence to support granting her the requested relief.
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) AR20130005154
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ABCMR Record of Proceedings (cont) AR20130005154
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