BOARD DATE:	  26 June 2014

		DOCKET NUMBER:  AR20140008042 


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, the remainder of her Reserve Officers' Training Corps (ROTC) scholarship debt be forgiven.

2.  The applicant states she does not want her wages garnished due to failing to complete the ROTC program.  She was told she could either serve her time or pay back the money.  She opted to serve the time and she also completed her degree; thereby, fulfilling her obligation.

3.  The applicant provides:

* a memorandum
* DA Form 597-3 (Army Senior ROTC Scholarship Cadet Contract)
* 2 DD Forms 4 (Enlistment/Reenlistment Document - Armed Forces of the United States)
* DA Form 3340-R (Request for Reenlistment or Extension in the Regular Army (RA))
* DA Form 5315-E (U.S. Army Advanced Education Financial Assistance Record)
* 2 DD Forms 1966 (Record of Military Processing - Armed Forces of the United States)
* Permanent Orders 057-001
* Order Number ST-310-0026 (N)
* Order Number ST-310-0026
* DD Form 2789 (Waiver/Remission or Indebtedness)

CONSIDERATION OF EVIDENCE:

1.  On 20 August 2001, the applicant signed a DA Form 597-3.

   a.  Paragraph 7 of her DA Form 597-3 states that if she is disenrolled from the ROTC Program for any reason, the Secretary of the Army could order her to reimburse the United States through repayment of an amount of money, plus interest, equal to the entire amount of financial assistance paid by the U.S. for her advanced education from the commencement of her contractual agreement to the date of her disenrollment or refusal to accept a commission.  

   b.  Paragraph 8 of her DA Form 597-3 states that if she were called to active duty for a breach of contract under the provisions of paragraph 7, she would be ordered to active duty for 2 years if the breach occurred during Military Science II, for 3 years if the breach occurred during Military Science III, or for 4 years if the breach occurred during Military Science IV.

2.  The complete facts and circumstances surrounding the applicant's disenrollment from the ROTC program are not available for review; however, the evidence shows the applicant was terminated from the ROTC program on 6 May 2004.  The Chief, Cadet Actions and Standards Division requested the applicant be processed for establishment of debt with the Defense Finance and Accounting Service (DFAS) on 4 June 2004.  An addendum was not enclosed with her paperwork because she failed to respond to a previous inquiry.

3.  The evidence shows the applicant enlisted in the U.S. Air Force Reserve on          4 June 2004.

4.  On 12 March 2009, she enlisted in the RA for a period of 3 years and
15 weeks in the rank/grade of private first class (PFC)/E-3.  Her Statement of Understanding – RA Enlistment Delay for Applicants with Prior Service or an Existing Military Service Obligation shows she enlisted for Program 9C (the U.S. Army Incentive Enlistment Program) and a $6,000.00 enlistment bonus.  She completed training and was awarded military occupational specialty 92Y (Unit Supply Specialist).  

5.  On 7 December 2011, she reenlisted in the RA for a period of 4 years in the rank/grade of specialist/E-4.  On 1 March 2013, she was promoted to the rank/grade of sergeant (SGT)/E-5.

6.  On 6 June 2014, a DFAS staff member informed an Army Board for Correction of Military Records staff member that according to DFAS systems, the applicant's outstanding debt balance including interest and penalties is $32,966.50.  DFAS also confirmed the applicant was paid a $6,000.00 enlistment bonus in 2009.

7.  Army Regulation 145-1 (Senior ROTC Program:  Organization, Administration, and Training) prescribes policies and general procedures for administering the Army's Senior ROTC Program.  Paragraph 3-43 states that non-scholarship and scholarship cadets will be disenrolled for a breach of contract.  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.

8.  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.

9.  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.

10.  Army Regulation 135-210 (Order to Active Duty as Individuals) prescribes policies and procedures for ordering individual Soldiers of the Army National Guard of the United States and the U.S. Army Reserve to active duty during peacetime.  In pertinent part, it states that former ROTC cadets, when ordered to active duty, will be ordered to report to the U.S. Army Reception Battalion and will be ordered to active duty in pay grade E-1.



DISCUSSION AND CONCLUSIONS:

1.  The evidence of record confirms the applicant enlisted in the ROTC Program.  She agreed that if she were disenrolled from the ROTC Program for any reason, she would repay her scholarship debt or be ordered to active duty in the rank/grade of PVT/E-1 for an appropriate number of years.  The evidence of record further shows she was found in breach of her ROTC contract and was accordingly notified of her disenrollment from the program; however, she did not respond to an inquiry in reference to the establishment of her debt.  

2.  On 12 March 2009, she voluntarily enlisted in the RA, for a 3-year term in pay grade E-3 and she was paid a $6,000.00 enlistment bonus.  She completed this period of service, reenlisted for a period of 4 years, and it appears that she is presently serving in an active duty status in the rank/grade of SGT/E-5.  

3.  Her belief that her subsequent service in the RA should fulfill her obligation under her breached ROTC contract was considered and found to have merit.  Although her subsequent service provides the Government the benefits of her service, had she elected an expeditious call to active duty to repay her debt for breaching her ROTC contract she would have been assigned against the needs of the Army, in pay grade E-1, without the benefit of any enlistment options, which she received.  

4.  The prospect of negating the applicant's $32,966.50 debt for a free education she received from the Army without becoming an officer, plus allowing her to receive a $6,000.00 enlistment bonus she ordinarily would not have received, would be a windfall.  While the Board has no jurisdiction to stop any enlistment bonus in this case, any bonus would be a legitimate factor to consider in granting or denying equitable relief regarding her ROTC debt.  Nevertheless, in this case, her enlistment and subsequent service in the RA serves the same purpose as it would have served had she been ordered to active duty through ROTC channels. 

5.  In view of the facts of this case, and as a matter of equity, it would be appropriate to consider her enlistment in the RA and subsequent service to have met the active duty obligation required by her ROTC scholarship contract.  








BOARD VOTE:

________  ________  ________  GRANT FULL RELIEF 

___X_____  __X______  _X___  GRANT PARTIAL RELIEF 

________  ________  ________  GRANT FORMAL HEARING

________  ________  ________  DENY APPLICATION

BOARD DETERMINATION/RECOMMENDATION:

1.  The Board determined the evidence presented is sufficient to warrant a recommendation for partial relief.  As a result, the Board recommends that:

	a.  all Department of the Army records of the individual concerned be corrected by amending her ROTC scholarship contract to show she would satisfy the service obligation under the original terms of the ROTC contract by successfully completing her initial enlistment in the RA; thereby satisfying a portion of her $32,966.50 ROTC debt under the original terms of her ROTC contract; and

	b.  the portion of the ROTC debt that would be satisfied by the above correction will be the total amount of the ROTC debt minus the $6,000.00 she received as an enlistment bonus.

2.  The Board further determined that the evidence presented is insufficient to warrant a portion of the requested relief.  As a result, the Board recommends denial of so much of the application that pertains to a records correction for full relief of her ROTC debt.




      _______ _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)                                         AR20140008042



3


ARMY BOARD FOR CORRECTION OF MILITARY RECORDS

 RECORD OF PROCEEDINGS


1

ABCMR Record of Proceedings (cont)                                         AR20140008042



2


ARMY BOARD FOR CORRECTION OF MILITARY RECORDS

 RECORD OF PROCEEDINGS


1