IN THE CASE OF:	

		BOARD DATE:	 1 April 2014  

		DOCKET NUMBER:  AR20130012924 


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 correction of his records to show entitlement to the $50,000.00 Student Loan Repayment Program (SLRP) that he contracted for upon enlistment in the Army National Guard.

2.  The applicant states that on two separate occasions he provided verification of his education loans totaling just over $41,000.00.  All of the loans were used for education purposes.  He was never informed that only certain loans would be accepted for payment.  The SLRP Addendum that is part of his contact shows the total amount of his loans.  He concludes that his time in service, which includes an overseas deployment, and the information he was provided at the time of his enlistment should allow these loans to be paid in full.

3.  The applicant provides copies of his enlistment documents, DD Form 214 (Certificate of Release or Discharge from Active Duty), and his Request for Exception to Policy (ETP).

CONSIDERATION OF EVIDENCE:

1.  A DD Form 4 (Enlistment/Reenlistment Document - Armed Forces of the United States) shows the applicant enlisted in the Army National Guard (ARNG) of the United States (ARNGUS) for a period of 8 years and the Ohio ARNG (OHARNG) for a period of 6 years on 11 May 2009.


	
2.  A DD Form 1966-Series (Record of Military Processing - Armed Forces of the United States, was prepared by the Army recruiter on the occasion of processing the applicant for his entrance into the ARNGUS and OHARNG on 11 May 2009.

	a.  Item 32 (Specific Option/Program Enlisted for, Military Skill, or Assignment to a Geographical Area Guarantees), section a, shows he enlisted for, in pertinent part, "Active First $40,000 (48-month enlistment), Critical UIC (Unit Identification Code) Valid Vacancy, $20,000 6-years, 8 years in MOS (Military Occupational Specialty) 13F1O (Direct Fire Support)."

   b.  Section VI (Remarks) shows "I am enlisting in the ARNG Active First Program under the 48-month Active First Option.  I understand I will serve 
48 months on active duty after initial active duty for training and will serve the remainder of my military service obligation as a drilling member of the ARNG."

   c.  The applicant and Army recruiter both signed the document.

3.  Annex L to DD Form 4 (SLRP Addendum - ARNGUS) shows the applicant was enlisting in a valid position vacancy in Company E, 237th Brigade Support Battalion, which was authorized for SLRP.

   a.  He acknowledged that he had 5 existing loans in the disbursed amount of $41,000.00 and the total amount of repayment for qualifying loans will not exceed $50,000.00.

   b.  Section III (Entitlement and Payments) shows the loans must have been made, insured, or guaranteed under Part B of the Higher Education Act of 1965 (Guaranteed Student Loans/Federally Insured Student Loans), or any loan made under Part E of such action (National Direct Student Loans).  Loans eligible for the SLRP are:

* Stafford Loans (subsidized)
* Stafford Loans (unsubsidized)
* Federally Insured Student Loans
* Perkins Loans
* Auxiliary Loans to Assist Students
* Supplemental Loans for Students
* Consolidated Loan Program (CLP and SMART)
* William D. Ford Federal Direct Loan Program

    	(1)  It shows "State Student Loans are not eligible for the SLRP."

    	(2)  The total amount of repayment for qualifying loan(s) will not exceed $20,000 [sic].

    	(3)  The portion of the SLRP ($50,000) that may be repaid annually on any qualifying loan(s) will not exceed 15 percent (not to exceed $7,500 per year) of the total of all loan principal or $500, whichever is greater.

   d.  The applicant and Army counselor signed the form on 11 May 2009.

4.  A DD Form 214 (Certificate of Release or Discharge from Active Duty) shows the applicant entered active duty on 15 October 2011, was honorably released from active duty training on 14 September 2012, and transferred to an OHARNG unit.  It also shows that he served in Afghanistan from 27 January 2012 through
19 August 2012 and he completed 11 months of net active service this period.

5.  In support of his application the applicant provides an NGB, Arlington, VA, memorandum, dated 26 February 2013, subject:  Request for ETP for SLRP, along with the endorsements of the applicant's chain of command.  The Deputy G-1, ARNG, denied an ETP for the applicant to retain the $50,000.00 SLRP offered at the time of his enlistment on 11 May 2009.

   a.  The Deputy G-1 indicated that the request for ETP, which included ineligible private loans to be paid under the SLRP, was unauthorized and violated ARNG Selective Reenlistment Incentive Program (SRIP) 07-06 (updated 1 March 2009 to 15 June 2010).

   b.  The applicant was informed he was authorized to retain the SLRP for the Federal Loan in the disbursed amount of $4,500.00.  However, the private loans in the amount of $40,826.00 would not receive any annual program payments.

6.  In the processing of this case, an advisory opinion was obtained from the Chief, Incentives and Budget Branch, Enlisted Accessions Division, Office of the Deputy Chief of Staff, G-1, Headquarters, Department of the Army.

	a.  The G-1 advisory official's review of the case revealed the applicant had a combination of federal and private student loans.

   b.  The ARNG determined the applicant was ineligible for payment of private loans under the SLRP at the time of enlistment and, therefore, in violation of ARNG regulations.

   c.  The National Defense Authorization Act of 2008 changed Title 10, U.S. Code, section 16301, by expanding the types of loans that are payable under the program to include private loans.

   d.  The ARNG SRIP and SLRP Addendum do not state personal loans are not payable.  Thus, the applicant is qualified to receive this incentive.

   e.  The G-1 advisory official recommends the applicant be granted full administrative relief.

7.  The applicant was provided a copy of the G-1 advisory opinion in order to have the opportunity to comment; however, a response was not received.

8.  Army Regulation 135-7 (Incentive Programs), in part, 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 MOSs and units, which is updated every 6 months.  This educational incentive may only be elected at the time of enlistment or reenlistment.

	a.  Each complete satisfactory year of service performed under this SLRP agreement establishes an anniversary date.  Any qualifying loan which is at least a year old may then be paid in accordance with the terms of this educational enlistment incentive.

	b.  The 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.

DISCUSSION AND CONCLUSIONS:

1.  Records show the applicant enlisted in the OHARNG on 11 May 2009 for a period of 6 years and his enlistment agreement included the SLRP ($50,000.00).  He indicated that he had existing student loans in the amount of $41,000.00.

2.  The evidence of record shows the applicant's student loans included a combination of federal and private student loans.  There is no evidence of record that shows the applicant was advised that private loans are not payable.

3.  In any event, the National Defense Authorization Act of 2008 changed Title 10, U.S. Code, section 16301, by expanding the types of loans that are payable under the program to include private student loans.  Thus, the applicant is qualified to receive the SLRP incentive.

4.  Therefore, in view of all of the foregoing, the applicant's records should be corrected as recommended below.

BOARD VOTE:

____X____  ____X____  ____X____  GRANT FULL RELIEF 

________  ________  ________  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 relief.  As a result, the Board recommends that all Department of the Army and state Army National Guard records of the individual concerned be corrected by showing he is entitled to the $50,000.00 Student Loan Repayment Program incentive for repayment five (5) loans (comprised of both federal and private student loans) that existed at the time of his enlistment in the amount of $41,000.00.

2.  As a result of this correction, the Defense Finance and Accounting Service shall be notified of the Board's determination regarding the applicant's entitlement to the $50,000.00 Student Loan Repayment Program incentive and, upon receipt of appropriate documentation, make payment of the qualifying annual incentives (less any amount that may have been previously disbursed under the program), and also any future qualifying annual incentives.




      _______ _   _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)                                         AR20130012924



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ABCMR Record of Proceedings (cont)                                         AR20130012924



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