IN THE CASE OF:	  

		BOARD DATE:	  28 July 2015

		DOCKET NUMBER:  AR20150009697 


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 military records by showing that the balance of his Reserve Officers’ Training Corps (ROTC) debt was forgiven based on 2 years of active duty service.  He also requests a refund of the monies he has paid towards this debt.

2.  The applicant states he was discharged from the ROTC Program in August 2010 owing $22,496.50 and made repayments until May 2014 when the Defense Finance and Accounting Service (DFAS) authorized the payments to stop being collected in lieu of active duty service, bringing the total owed down to $16,409.92.  He contacted DFAS and was instructed to contact the Army Review Boards Agency in order for the debt to be fully cancelled and the amount he had paid refunded.  

3.  The applicant provides:

* DA Form 597-3 (Army Senior ROTC Scholarship Cadet Contract), dated 30 November 2006
* Memorandum from the U.S. Army Cadet Command, dated 5 August 2010, with enclosure
* Orders 219-02, Georgia State University, Department of Military Science, dated 7 August 2010 
* Headquarters, U. S. Army Cadet Command, memorandum, Subject:  Scholarship Recoupment Debt, dated 23 September 2010
* DD Form 139 (Pay Adjustment Authorization), dated 30 October 2010
* DD Form 4 (Enlistment/Reenlistment Document - Armed Forces of the United States), dated 23 October 2012
* Orders 052-907, IMCOM-Pacific Region, dated 21 February 2014
* DD Form 139, dated 20 May 2014
* DFAS Account Statement, dated 21 July 2014
* G Company 210th Brigade Support Battalion, Fort Dum, NY, memorandum, Subject:  Letter of Certification, dated 28 October 2014
* DFAS Out of Service Debt Account Status, dated 10 June 2015
* Enlisted Record Brief

CONSIDERATION OF EVIDENCE:

1.  The applicant is currently serving in the Regular Army as a specialist in pay grade E-4.

2.  On 30 November 2006, the applicant contracted for a 4-year ROTC scholarship.  

3.  The applicant’s DA Form 597-3 states that he understood and agreed that once he became obligated and was then disenrolled from the ROTC Program for breach of contractual terms or any other disenrollment criteria established now or in the future by Army regulations, he would be subject to enlisted service for a period commensurate with the number of years education received.  The enlisted active duty service obligation for a cadet disenrolled for breach of contact during their Military Science (MS) III academic year is 3 years.  If disenrolled during the MS IV academic year, the active duty service commitment is 4 years.  In lieu of being ordered to active duty, he could be required 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 United States for his advanced education.  In addition, any obligation to reimburse the United States will not be altered by subsequent enlisted duty unless relieved by the Secretary of the Army or his or her designee. 

4.  In a memorandum from the U.S. Army Cadet Command, dated 5 August 2010, the applicant was informed that he was disenrolled from the ROTC program due to his failure to maintain a minimum semester academic grade point average of 2.0 on a 4.0 scale.  The memorandum informed the applicant that the amount of monies spent in support of his education was $22,496.50.  He was provided a list of his options, but there is no record of his response. 

5.  Orders 219-02, Georgia State University, Department of Military Science and Leadership dated 7 August 2010, directed the applicant’s discharge from the U.S. Army Reserve Control Group (ROTC) effective 5 August 2012.  A DD Form 785 (Record of Disenrollment from Officer Candidate – Type of Training) shows his scheduled commission date as 15 May 2011. 

6.  A DD Form 4, dated 23 October 2012, shows that the applicant enlisted in the Regular Army (RA) for a period of 3 years and 24 weeks as a private first class/E-3.  He enlisted for the Army Training Enlistment Program for training in military occupational specialty (MOS) 92Y (Unit Supply Specialist).  As part of his enlistment contract he did not receive an enlistment bonus. 

7.  A DD Form 139, dated 20 May 2014, shows the DFAS authorized the Finance Officer at Fort Drum to stop collection of a $17,203.14 debt from the applicant's active duty account because he was performing active duty service in lieu of the debt. 

8.  A DFAS Account Statement, dated 21 July 2014, shows the applicant’s debt balance as $16,409.83.  The statement states, "Your debt is being offset from your active duty or retired pay account, it may take a month for your account balance to update."

9.  By letter, the applicant’s company commander certified that as of 28 October 2014 the applicant fulfilled 24 months of his enlisted obligation to the U.S. Army and is requesting cancellation of his education debt in lieu of active duty service.

10.  A DFAS Out of Service Debt Account Status notification, dated 10 June 2015, shows his debt balance as $16,975.56.  A $300 payment had been received on 29 August 2014.

11.  Army Regulation 145-1 prescribes policies and general procedures for administering the Army's Senior ROTC Program.

	a.  Paragraph 3-39 states the Commanding General, U.S. Army Cadet Command is the approving authority for termination of scholarship and/or disenrollment from the ROTC Program.  A scholarship will be terminated and the cadet disenrolled for any of the reasons listed in paragraph 3–43.  

	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.  Failure to maintain academic standards of 2.0 out of 4.0 is a reason for disenrollment. 
12.  Army Regulation 135-210 (Order to Active Duty as Individuals for Other than a Presidential Selected Reserve Call-up, Partial or Full Mobilization) prescribes policies and procedures for ordering individual Soldiers of the Army National Guard of the United States and the USAR to active duty during peacetime.  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.

13.  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.

14.  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 (emphasis added) 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 contract.  However, he did not satisfy the contractual requirements of this program due to poor academic performance.

2.  He agreed that if he were disenrolled from the ROTC Program for any reason he would have to repay his scholarship debt, or be ordered to active duty in the rank/grade of PV1/E-1 for an appropriate number of years, 3 years in his case as he was disenrolled at the end of his MS III academic year.  As he was found in breach of his ROTC contract, he was accordingly notified of his disenrollment from the program.  His disenrollment was ultimately approved by the appropriate official.  It is presumed the applicant did not elect immediate call to active duty in the enlisted grade of E-1 and elected to repay his educational debt.   

3.  More than 2 years after his disenrollment from the ROTC Program, the applicant enlisted in the RA for a period of 3 years and 24 weeks in the pay grade of E-3 on 23 October 2012.  The applicant’s active duty service serves the same purpose as it would have had he been ordered to active duty after his disenrollment from ROTC.  In other words, the Department of Defense continues to receive the benefit of his service.  As a matter of equity, it would be appropriate to consider his active duty service as having met the 3-year active duty service obligation required by his ROTC scholarship contract provided he continues to serve satisfactorily on active duty through 9 April 2016.  Upon successful completion of his first enlistment contract, any funds collected as repayment of his ROTC debt shall be refunded to him. 

4.  While the applicant contends his first 24 months of active duty service have fulfilled his ROTC contractual obligations, the evidence of record suggests otherwise.  Therefore, the portion of the applicant’s request that pertains to cancelling his debt based on 2 years of active duty service and refunding monies now should be denied.

BOARD VOTE:

________  ________  ________  GRANT FULL RELIEF 

___x____  ___x____  ___x____  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 partial relief.  As a result, the Board recommends that all Department of the Army records of the individual concerned be corrected by amending his ROTC scholarship contract to show he would satisfy the service obligation under the original terms of the ROTC contract, as a U.S. Army enlisted Soldier, via his enlistment of 23 October 2012.

2.  The Board further determined that if he was separated from active duty prior to completing his contractual obligation (9 April 2016) for any reason other than completion of his required service, he would be required to repay the U.S. Government a pro-rated portion of the waived ROTC debt. 

3.  Upon successful completion of his initial enlistment contract on 9 April 2016, all monies received in payment of his ROTC debt shall be refunded to him.

4.  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 showing the completion of 2 years of active duty enlisted service in the Regular Army fulfilled his ROTC contractual obligation and in turn refunding monies subsequently paid toward his 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)                                         AR20150005606



3


ARMY BOARD FOR CORRECTION OF MILITARY RECORDS

 RECORD OF PROCEEDINGS


1

ABCMR Record of Proceedings (cont)                                         AR20150009697



6


ARMY BOARD FOR CORRECTION OF MILITARY RECORDS

 RECORD OF PROCEEDINGS


1