IN THE CASE OF:	  

		BOARD DATE:  11 February 2014

		DOCKET NUMBER:  AR20130022218 


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 his Reserve Officers' Training Corps (ROTC) scholarship debt in the amount of $7,677.19 be forgiven and that he be reimbursed for debt installment payments in the amount of $1,356.00.

2.  He states his debt should be forgiven for honorable active duty service and the previous principle payment of $1,356.00 be returned.  He explains that upon his termination of ROTC his debt was paid monthly as required until 2008 when the Army Board for Correction of Military Records (ABCMR) placed the debt on hold to be reviewed again after three years.  He adds per regulation no enlistment bonus was received during his initial enlistment and no bonus was received for completing officer candidate school.  

3.  He provides:

* Officer Record Brief (ORB)
* Numerous Officer Evaluation Reports
* Defense Finance and Accounting Service (DFAS) letter, dated 
12 September 2013, with Account Statement
* ABCMR letter, dated 28 July 2008

CONSIDERATION OF EVIDENCE:

1.  On 28 August 2000, the applicant enlisted in the U.S. Army Reserve (USAR) as a cadet.  On the same date, he signed a DA Form 597-3 (Army Senior ROTC Scholarship Cadet Contract) accepting an 8-year service obligation in order to receive an ROTC scholarship to attend Texas A&M University for the purpose of obtaining an information system management degree.

2.  The DA Form 597-3 shows his education was to commence on 28 August 2000 and be completed on May 2004.  By signing the DA Form 597-3, he agreed, in part, to the following terms:

	a.  Remain a full-time student at Texas A&M University.

   b.  Upon satisfactory completion of the academic, military, and all other requirements of the Army ROTC Program, he could be commissioned as a Reserve officer in the Army in the grade of second lieutenant (2LT)/O-1.

	c.  He would serve up to 4 years on active duty as a commissioned officer followed by service in a Reserve Component or serve his contractual military service obligation in a Reserve Component unit that has monthly unit training assemblies and annual training periods of approximately 2 weeks.

	d.  As a 4-year scholarship recipient, he would incur an active duty and/or reimbursement obligation after the first day of his Military Science (MS) III year (junior year).

	e.  Upon completion of all requirements for appointment, he would accept appointment, if offered, as a commissioned officer in the USAR or Army National Guard of the United States.

	f.  Once he became obligated and was disenrolled from the ROTC Program for breach of contractual terms or any other disenrollment criteria –

		(1)  he agreed to serve on enlisted active duty for a period of not more than 4 years or

		(2)  if offered the opportunity to repay his advanced educational assistance in lieu of being ordered to active duty, he would be required to reimburse the U.S. Government an amount equal to the entire amount of financial assistance paid by the United States for his advanced education from commencement of the contract to the date of his disenrollment or refusal to accept a commission.

	g.  If called to active duty for breach of contract during MS III, he would be ordered to active duty for 3 years.

3.  On 23 March 2004, the Commander, Headquarters, U.S. Army Cadet Command (USACC), Fort Monroe, VA, notified the applicant of his disenrollment from the ROTC Program as a result of his withdrawal from Texas A&M University.  He further stated when the ROTC scholarship contract is breached, any obligation to the Army must be satisfied through order to active duty in an enlisted status or by repaying the cost of advanced education assistance provided by the Army.  He added the up-to-date total amount of monies spent in support of the applicant's educational assistance was $12,853.66 (less subsistence).  

4.  On 16 June 2004, the applicant acknowledged receipt and understanding of the commander's disenrollment action and declined expeditious call to active duty.  He also waived his right to a hearing and acknowledged that if the USACC Commander determines he should be ordered to repay the amount of monies expended on his behalf for educational expenses in lieu of an order to active enlisted duty, he could appeal the validity of his debt.

5.  On 24 May 2007, the applicant enlisted in the Regular Army (RA) for a period of 3 years in the grade of E-3.  His enlistment contract shows he enlisted for a cash bonus of $11,000.00.  On 22 October 2008, after serving 1 year, 4 months, and 29 days on active duty, he was honorably discharged to accept a commission as a 2LT, Infantry Officer, which was accomplished the following day.

6.  On 28 July 2008, the applicant's case was administratively closed.  He was instructed to resubmit his application in May 2010, after he had completed three years of active duty service.

7.  On 12 September 2013, DFAS notified the applicant of his indebtedness to the government for the recoupment of education assistance during his participation in the Army ROTC Program.  The account statement shows a previous balance of $7,676.19, less payments received of $1,356.00, with a new account balance of $7,680.09.

8.  On 30 January 2014, DFAS stated that there was no record of a bonus being paid or input for suspense pertaining to the applicant.

9.  Army Regulation 145-1 (Senior ROTC Program: Organization, Administration and Training) prescribes policies and general procedures for administering the Army's Senior ROTC Program.


	a.  Paragraph 3-39 states the Commanding General, USACC is the approving authority for termination of scholarship and/or disenrollment.  Paragraph 3–39c identifies the exception pertaining to 4-year scholarship winners discharged early from active duty.  A scholarship will be terminated and the cadet disenrolled for any of the reasons listed in paragraph 3–43.  The 4-year scholarship students can be disenrolled at their own request during MS I only.

	b.  Paragraph 3-43 states that non-scholarship and scholarship cadets will be disenrolled for a breach of contract.  Sub-paragraph 3-43a states breach is defined as any act, performance, or nonperformance on the part of a student that breaches the terms of the contract regardless of whether the act, performance, or nonperformance was done with specific intent to breach the contract or whether the student knew that the act, performance, or nonperformance breaches the contract.  Undesirable character or misconduct are reasons for disenrollment. 

10.  Title 10, U.S. Code, section 2005(a), states that the Secretary concerned may require, as a condition to the Secretary providing advanced education assistance to any person, that such person enter into a written agreement under the terms of which such person shall agree:  (1) to complete the educational requirements specified in the agreement and to serve on active duty for a period specified in the agreement and (2) that if such person fails to complete the education requirements specified in the agreement, such person will serve on active duty for a period specified in the agreement.

11.  Title 10, U.S. Code, section 2005(f), states that the Secretary concerned shall require, as a condition to the Secretary providing financial assistance under section 2107a (Financial Assistance Program for Specially Selected Members:  Army Reserve and Army National Guard; i.e., ROTC) of this title to any person, that such person enter into an agreement described in subsection (a).  In addition to the requirements of clauses (1) through (4) of such subsection, any agreement required by this subsection shall provide (1) that if such person fails to complete the education requirements, the Secretary shall have the option to order such person to reimburse the United States in the manner provided for without the Secretary first ordering such person to active duty as provided for under clause (2) of such subsection.

DISCUSSION AND CONCLUSIONS:

1.  The evidence of record confirms the applicant was accepted into an Army ROTC scholarship program.  He fully understood and accepted the terms of his enrollment.  However, during his fourth year, he withdrew from Texas A&M University which led to his disenrollment from the ROTC Program.

2.  His ROTC scholarship contract specified that he could be ordered to active duty as an enlisted Soldier for a period of not more than 4 years or be required to reimburse the U.S. Government the entire amount of financial assistance he received if he were disenrolled.  On 23 March 2004, he was disenrolled from the ROTC Program.  He initially elected to repay the entire amount of education assistance.

3.  Even though his contract called for an expeditious call to active duty through ROTC channels based on the needs of the Army without the benefit of advancement in grade or other incentives (such as a bonus), he enlisted in the RA for 3 years and served 17 months prior to accepting a commission as a 2LT. Therefore, as a matter of equity, it would be appropriate to consider his enlistment in the RA and his subsequent commission as an Army officer to have met the active duty obligation required by his ROTC scholarship contract.  Additionally, his enlistment/commission entitles him to reimbursement of debt installment payments in the amount of $1,356.00.

BOARD VOTE:

____X___  ____X___  ___X__ _  GRANT FULL RELIEF 

________  ________  ________  GRANT PARTIAL RELIEF 

________  ________  ________  GRANT FORMAL HEARING

________  ________  ________  DENY APPLICATION

BOARD DETERMINATION/RECOMMENDATION:

The Board determined the evidence presented is 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.  Amending his ROTC scholarship contract to show he would satisfy the service obligation under the original terms of the ROTC contract as first as an RA enlisted Soldier and subsequently as a commissioned officer and
   
b.  Reimbursing him the for debt installment payments in the amount of $1,356.00.
   


      _______ _  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)                                         AR20130022218





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ABCMR Record of Proceedings (cont)                                         AR20130022218



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