DEPARTMENT OF HOMELAND SECURITY 

BOARD FOR CORRECTION OF MILITARY RECORDS 

 
Application for the Correction of 
the Coast Guard Record of: 
 
                                                                                BCMR Docket No. 2003-149 
 
Xxxxxxxxxxxxxxxxxxxxxx 
  xxxxxxxxxxxxxxxxxxxx 

 

 
 

FINAL DECISION 

 
ANDREWS, Deputy Chair: 
 
 
This  proceeding  was  conducted  according  to  the  provisions  of  section  1552  of 
title 10 and section 425 of title 14 of the United States Code.  It was docketed on Sep-
tember 29, 2003, upon receipt of the completed application. 
 
 
members who were designated to serve as the Board in this case. 
 

This  final  decision,  dated  May  20,  2004,  is  signed  by  the  three  duly  appointed 

APPLICANT’S REQUEST AND ALLEGATIONS 

 
 
The  applicant  asked  the  Board  to  correct  his  records  to  make  him  eligible  for 
educational benefits under the Montgomery GI Bill (MGIB)1 by allowing him to com-
plete a new form DD 2366 for his record and to return money that was returned to him 
from his MGIB account.   
 
The  applicant  alleged  that  on  April  24,  2001,  he  tried to restart  his  educational 
 
benefits account in accordance with ALCOAST 047/01 by signing an Allotment Work-
sheet so that his old Veterans Educational Assistance Program (VEAP)2 account would 

                                                 
1   38 U.S.C. § 3001.  
2      38  U.S.C.  § 3201.  The  VEAP  was  replaced  by  the  MGIB  for  members  first  enlisting  in  1985  and 
thereafter.    Money  deposited  in  a  VEAP  account  is  matched  two  to  one  by  the  government,  whereas 
funds deposited in an MGIB account are matched approximately twelve to one.  In addition, almost twice 
as much money can be withdrawn each month from an MGIB account for educational costs.  Congress 
has periodically allowed members to convert VEAP accounts to MGIB accounts.  See 38 U.S.C. § 3018C. 

be converted to an MGIB account.  However, he alleged, on a separate form, DD 2366, 
he accidentally signed block 3(a), “Statement of Disenrollment,” instead of block 2(b)(a), 
“Statement  of  Understanding.”    The  applicant  alleged  that  neither  he  nor  the  Coast 
Guard  noticed  the  discrepancy,  and  the  proper  monetary  allotments  were  deducted 
from  his  base  pay  to  pay  for  the  conversion  of  his  account  and  enrollment  in  MGIB.  
However, because his signature is in the wrong block on the DD 2366, he is now being 
denied  MGIB  benefits  by  the  Department  of  Veterans’  Affairs  (DVA).    Moreover,  the 
$2,700.00  that  had  been  deducted  from  his  pay  for  his  MGIB  account  has  now  been 
returned to him. 
 
 
 
•  a  copy  of  his  Allotment  Worksheet  dated  April  24,  2001,  requesting  a  monthly 
deduction of $180.00 from his base pay and total deduction of $2,700.00 for his MGIB 
account; 

In support of his allegations, the applicant submitted the following: 

•  a copy of his form DD 2366 dated April 24, 2001, with his signature in block 3(a), for 

disenrollment, instead of in the block immediately above, for enrollment; 

•  a copy of a PMIS/JUMPS Payroll Control Report dated February 14, 2001, showing 

that he was eligible to convert from VEAP to MGIB; 

•  a copy of the Rapidraft Letter by which he forwarded the above documents to the 
Human Resources and Services Information Center (HRSIC) on April 24, 2001, “for 
enrollment in MGIB as per ALCOAST 047/01” and asked that his command be noti-
fied if there were “any discrepancy”; 

•  a copy of an email from the Coast Guard Personnel Command (CGPC) stating that 
under the provisions of ALCOAST 047/01, his Allotment Worksheet and DD 2366 
should  have  been  returned  to  him  by  CGPC  because  they  were  inconsistent  and 
because no “witnessing official” signed the form; 

•  a copy of a letter from CGPC dated January 23, 2003, informing the applicant that a 
“review  of  your  records  shows  that  the  Coast  Guard  erroneously  processed  your 
participation in the MGIB” under the Veterans Benefits and Health Care Improve-
ment Act of 20003 and advising him to apply to the BCMR for the correction of his 
DD 2366; and 

•  a copy of a letter from the DVA dated January 30, 2003, informing the applicant that 
his  claim  for  educational  benefits  had  been  denied  because  information  received 
from the Coast Guard indicated that he had “specifically declined to participate” in 
MGIB. 

 

VIEWS OF THE COAST GUARD 

 
 
On  January  15,  2004,  the  Judge  Advocate  General  of  the  Coast  Guard  recom-
mended that the applicant’s request for relief be granted.  He based his recommenda-
                                                 
3 Pub. L. 106-419, which amended 38 U.S.C. chap. 30. 

tion on a memorandum on the case prepared by CGPC. 
 
 
CGPC stated that the record indicates that although the applicant signed a DD 
2366 in the block for disenrolling from MGIB, the remaining documentation dated April 
24, 2001, shows that he clearly intended to convert his VEAP benefits to MGIB benefits.  
CGPC noted that “[h]ad a witnessing official signed the form, the applicant’s error may 
have  been  discovered  before  the  form  was  processed.”    Moreover,  CGPC  stated,  the 
applicant’s Allotment Statement was processed and his payroll statements show that a 
total of $2,700 was deducted for his MGIB account from his basic pay.  CGPC recom-
mended that the Board grant relief and noted that, since the $2,700 has been refunded to 
the applicant in the interim, he will need to repay that sum.  CGPC submitted copies of 
parts of the Veterans Benefits and Health Care Improvement Act of 2000, the applicant’s 
payroll  statements  showing  his  VEAP  and  MGIB  contributions,  and  a  Modall  Docu-
mentation Sheet, showing that he was credited back the $2,700. 
 

APPLICANT’S RESPONSE TO THE VIEWS OF THE COAST GUARD 

 
 
On  January  26,  2004,  the  Chair  sent  the  applicant  a  copy  of  the  Coast  Guard’s 
advisory opinion and invited him to respond within 30 days.  On February 11, 2003, the 
applicant responded that his case was ready for decision by the Board. 
 

FINDINGS AND CONCLUSIONS 

 
The  Board  makes  the  following  findings  and  conclusions  on  the  basis  of  the 
 
applicant's military record and submissions, the Coast Guard's submissions, and appli-
cable law: 
 

1. 

The Board has jurisdiction over this matter pursuant to 10 U.S.C. § 1552.  

The application was timely. 

 
2. 

The  applicant  has  proved  by  a  preponderance  of  the  evidence  that  on 
April 24, 2001, he intended and attempted to convert his VEAP account into an MGIB 
account in accordance with ALCOAST 047/01 by submitting a form DD 2366 and Allot-
ment Worksheet to HRSIC.  The record further indicates that although he mistakenly 
signed  the  DD  2366  in  the  wrong  block,  his  forms  were  processed  for  enrollment  in 
MGIB  and  $2,700  was  deducted  from  his  basic  pay  for  that  purpose.    He  has  also 
proved that he is now being denied MGIB benefits by the DVA and has been refunded 
the $2,700 because he accidentally signed the DD 2366 in the wrong block. 

 
3. 

The applicant has proved by a preponderance of the evidence that his sig-
nature in block 3(a) of the DD 2366 is erroneous in that he intended to sign the form in 
the  block  above  to  enroll  in  MGIB.    The  form  should  be  corrected  and  he  should  be 
allowed to remit the $2,700 and be eligible for MGIB benefits. 

 
4. 

Accordingly, relief should be granted. 

 
 
 
 
 

[ORDER AND SIGNATURES APPEAR ON NEXT PAGE]

ORDER 

 

The  application  of  xxxxxxxxxxxxxxxxxxxxxxx,  USCG,  for  correction  of  his 

military record is granted. 
 

        

 
 Bruce D. Burkley 

 

The Coast Guard shall correct his records to make him eligible for MGIB benefits.  
The  DD  form  2366  dated  April  24,  2001,  with  his  signature  in  block  3.a.,  shall  be 
removed from his record.  The Coast Guard shall allow the applicant to remit the $2,700 
that was refunded to him and, if he does so, it shall place in his record a new DD form 
2366 showing that he accepted enrollment in MGIB on April 24, 2001.  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 

 
 Harold C. Davis, MD 

 
 John M. Dickinson