BOARD DATE:	  27 February 2014

		DOCKET NUMBER:  AR20130021238 


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, an exception to policy (ETP) to the recent Assistant Secretary of the Army for Manpower and Reserve Affairs (ASA M&RA) Rescission of Army Policy Regarding Renegotiation of Army Medical Department (AMEDD) Officer Special Pay Contractual Agreements to allow him to renegotiate all of his Army medical officer special pay agreements, to include the Incentive Special Pay (ISP), Multi-Year Incentive Special Pay (MISP), and Multi-Year Special Pay (MSP) with his planned retirement date of 17 July 2018.

2.  The applicant states:

	a.  On 4 March 2013, a statement was issued that there was a rescission of the long-standing Army policy of renegotiations of the AMEDD Special Pay Contractual Agreements.  This policy rescission added the exception that annual medical additional special pay (MASP) agreements could be renegotiated or realigned with a mandatory retirement date (MRD) at age 62 or 30 years of active Federal service (AFS).

	b.  This policy was issued without warning and is strongly prejudicial to senior officers with limited time to renegotiate.  This policy is service-specific to the Army, as the Air Force and Navy still permit contract renegotiations for all special pay contracts.  He addressed this policy rescission with the special pay directorate as this is highly prejudicial to him as he is approaching retirement.

	c.  This action was specifically unjust in that he entered into an agreement with the Dean and President of the Uniformed Services University of the Health Sciences (USUHS) to accept the position of Chair of Military and Emergency Medicine at that time.  This position is the only statutory requirement of the university and with this position came the title of the Professor of Military Science.  This position was the result of a direct nomination by the Army Surgeon General and was accepted with the understanding of serving for a minimum of 5 years.

	d.  He specifically went through the competitive interview process commencing 1 year ago which resulted in his selection and a negotiation process that commenced on or about 1 March 2013.  He accepted the position and formally took the position on 1 June 2013.  He is currently in an MISP/MASP contract through 30 September 2015.  The rescission policy will specifically be an injustice to him in that following expiration of his current contact and the absence of the ability to renegotiate to a 4-year contract commencing on 1 July 2014, he will only be able to enter into a 2-year agreement on 1 October 2015 extending through 1 October 2017.

	e.  This rescission policy will result in a loss of nearly $100,000.00 in special pay over a 4-year period.  His acceptance in this key position carried the understanding that he could renegotiate these pays as was the case during the selection process for this role.

	f.  He specifically requested from the Director of the Special Pay Branch an avenue to align all special pays (MISP and MISP).  The Director of the Special Pay Branch opined the only course of action to address a rescission of policy was on a case-by-case basis with the Army Board for Correction of Military Records (ABCMR).

	g.  He would like to align all special pays with a new contract obligation on 1 July 2014 to permit him to retire on his planned retirement date of 17 July 2018 with full contractual monetary benefits.  Absent this action, the result will be a significant injustice and monetary loss.  He is requesting an ETP that includes MASP realignment with mandatory retirement and also includes MISP and MASP for his unique situation.

3.  The applicant provides:

* All Army Activities (ALARACT) message 367/2010, dated 6 December 2010, subject:  ALARACT Army Medical Corps Officer Special Pay Policy, Plan, and Rates
* Information Paper, dated 11 March 2013, subject:  Rescission of Army Policy Regarding Renegotiation of AMEDD Officer Special Pay Contractual Agreements

CONSIDERATION OF EVIDENCE:

1.  The applicant was appointed as a commissioned officer, Medical Corps, and executed an oath of office on 27 June 1981.  He served in a variety of assignments and he was promoted to colonel.

2.  He is currently serving as the Medical Director, Consortium for Health and Military Performance, USUHS, Bethesda, MD.

3.  On 4 March 2013, the ASA M&RA published a memorandum advising the Office of the Surgeon General of the following:

	a.  Effective immediately, Army policy regarding the renegotiation of all AMEDD officer special pay contractual agreements was rescinded.  That action returned all renegotiated contractual agreements pending payment without action effective immediately.

	b.  The only authorization to renegotiate an existing contractual agreement would be for officers to align their annual medical and dental additional special pay (MASP/DASP) contractual agreements with their mandatory retirement date.

4.  He provided an Information Paper, dated 11 March 2013, subject:  Rescission of Army Policy Regarding Renegotiation of AMEDD Officer Special Pay Contractual Agreements, which states:

	a.  Health professions officer special pay was currently 84 percent of the Military Personnel, Army, discretionary officer special pay budget and was increasingly subjected to reductions at the same time as requested funding requirements grew.  Driven by high special pay disbursements, the Army G-1 and the Army Budget Office engaged in conversation about eliminating renegotiated contracts due to their unpredictable costs that had increased the budget tail.

	b.  Effective 4 March 2013, the Army policy regarding the renegotiation of all AMEDD officer special pay contractual agreements was rescinded and all renegotiated contractual agreements pending payment would be returned without action.  Officers would remain in special contractual agreements for the duration of the contracted period and would not be authorized to renegotiate a contractual agreement for any purpose except to align annual MASP/DASP contractual agreements with an MRD for age 62 years or 30 years of AFS.

	c.  This rescission supersedes all published Army policies and messages regarding the AMEDD officer special pay program and would be incorporated in the next published message updates.

5.  He also provided a copy of ALARACT message 367/2010 which prescribed Army policy governing special pay for active duty Medical Corps officers.

6.  In an advisory opinion, dated 27 December 2013, the Chief, AMEDD Special Pay Branch, stated the following:

	a.  The applicant requested all special pay contracts to be aligned or renegotiated effective 1 July 2014 for a planned retirement date of 17 June 2018. He stated that he accepted a position as the Chair of Military and Emergency Medicine at the USUHS on 1 June 2013 for a minimum period of 5 years.  Now in the position, he indicated that he was not able to complete that contractual realignment due to the Army's rescission of special pay contract renegotiations, and requested relief from that injustice and monetary loss.

	b.  Effective 4 March 2013, the ASA M&RA announced that Army policy regarding the renegotiating of all AMEDD officer special pay contractual agreements, with the exception of annual medical additional special pay contract, to align with an MRD was rescinded.

	c.  A review of the applicant's special pay and personnel files indicated the following:

* current 1-year MASP contract at $15,000.00 per year effective 1 July 2013 through 30 June 2014
* current 4-year MISP contract at $20,000.00 per year effective 1 October 2011 through 30 September 2015
* current 4-year MSP contract at $38,000.00 per year effective 1 October 2011 through 30 September 2015
* MRD for years of service of 1 August 2018

	d.  Since the renegotiation of the MASP and MISP special pay contracts are no longer authorized, the following alternatives were presented:

		(1)  Upon current combined 4-year MSP plus MISP at $58,000.00 per year expiring on 30 September 2015, he may execute a new combined 2-year MSP plus MISP at $37,000.00 per year effective 1 October 2015 through 30 September 2017, expiring before the MRD of 1 August 2018; in turn, the final 1-year MASP contract at $15,000.00 per year would be renegotiated effective 1 October 2016 through 30 September 2017; or

		(2)  Request the Medical Corps Branch, U.S. Army Human Resources Command (HRC) for an Army supported extension beyond his current MRD until 1 October 2019.  This would allow completion of the chair position and without contract renegotiation, enter into a new combined 4-year MSP plus MISP at $58,000 per year effective 1 October 2015 through 30 September 2019; in turn, the final 1-year MASP contract at $15,000.00 per year would be renegotiated effective 1 October 2018 through 30 September 2019.  Note, that would NOT be applicable with a retiree recall situation since all pay and special pay contracts must be restarted as of the recall date.

	e.  Since the ASA M&RA rescission of special pay contract renegotiations was announced before the date of the applicant's position selection and requested renegotiation date, the applicant's request cannot be completed or supported without an Army directive.  Although the alternatives do not present the monetary incentive that special pay contract renegotiations would have afforded, or extend the period of fulfilling the chair position, they are potential options.

7.  On 30 December 2013, the advisory opinion was provided to the applicant for his acknowledge and/or rebuttal.  In his response, dated 8 January 2014, the applicant responded and requested the Board recommend and endorsed alternative d(2) as described in the advisory opinion.

DISCUSSION AND CONCLUSIONS:

1.  The Army G-1 implemented the rescission policy based on the high special pay disbursements and result of those unpredictable costs increasing the budget tail.  Officers were allowed to remain in a special pay contractual agreement for the duration of the contracted period and would not be allowed to renegotiate a contractual agreement for any purpose except to align MASP contractual agreements with a MRD.  Unfortunately, all Soldiers are being affected by budgetary shortfalls in one manner or another.

2.  The applicant is requesting an ETP of the rescission policy to allow him to align all special pays with a new contract obligation on 1 July 2014 to permit him to retire on his planned retirement date of 17 July 2018 with full contractual monetary benefits.

3.  The minimum fulfill date of 5 years for his chair position would be 1 June 2018, prior to his planned retirement date of 17 July 2018.  His current MSP plus MSIP contracts expire on 30 June 2014 and 30 September 2015, respectively.  Under the new rescission policy, only a renegotiation of his current 1-year MASP through his MRD of 1 August 2018 is allowed.

4.  Any request to the Medical Corps for an extension beyond his current MRD is not a matter for the Board and should be pursued by the applicant.  He should, therefore, apply to HRC for an extension of his MRD.

5.  In view of the foregoing, the applicant is not entitled to 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 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)                                         AR20130021238



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ABCMR Record of Proceedings (cont)                                         AR20130021238



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