DEPARTMENT OF THE NAVY
BOARD FOR CORRECTION OF NAVAL RECORDS
701 § COURTHOUSE RD SUITE 1001
ARLINGTON VA 22204-2490
BAN
Docket No.NRO1945-14
10 June 2014
From: Chairman, Board for Correction of Naval Records
To: Secretary of the Navy
Subj: , el
Ref: (a} Title 10 U.S.C. 1552
Encl: {1) DD Form 149 w/attachments
(2) Survivor Benefit Plan Program manager Casualty Assistance
(PERS-13) of 7 Apr 2014
(3) Data for Payment of Retired Personnel, DD Form 2656 dated
17 November 2011
1. Pursuant to the provisions of reference (a) Petitioner, filed
enclosure (1) with this Board requesting, in effect, that the
applicable naval record be corrected to show that prior to his
transfer to the retirement list on 31 August 2009, he declined
Survivor Benefit Plan (SBP) category of coverage with spousal
concurrence.
2. The Board, consisting of Messrs. asaiman, George and Ruskin,
reviewed Petitioner's allegations of error and injustice on
28 May 2014 and, pursuant to its regulations, determined that the
corrective action indicated below should be taken on the available
evidence of record. Documentary material considered by the Board
consisted of the enclosures, naval records, and applicable statutes,
regulations and policies.
3. The Board, having reviewed all the facts of record pertaining to
Petitioner's allegations of error and injustice, finds as follows:
a. Before applying to this Board, Petitioner exhausted all
administrative remedies available under existing law and regulations
within the Department of the Navy.
b. In November 2013, Petitioner submitted a request to BCNR
requesting to terminate SBP coverage with spousal concurrence and a
refund of all SBP premiums already paid, enclosure (1).
ec. On 31 August 2009, Petitioner was transferred to the Retired
List. He was married at that time, but he did not submit a valid
request regarding Survivor Benefit Plan (SBP) coverage before he
retired. Therefore, he was auto-enrolled in maximum “spouse and
child” category of coverage.
ad. Petitioner paid SBP premiums from the date of his retirement
until 2011 when he opted to terminate coverage with spousal
concurrence.
e. On 17 November 2011, Petitioner stated he submitted a valid
and timely request using the DD Form 2656, to the Defense Finance
Accounting Service (DFAS) within the 25t ang 36™ time requesting to
terminate SBP coverage. The DD Form 2656 was signed by his spouse and
notarized, enclosure (3).* However, DFAS stated that they never
received the termination request.
—. However, Petitioner claims that when he submitted the form to
DFAS in 2011, that he was told that he could no longer get out of the
program because it was not an open season. However, it wasn’t until
September 2013, that Petitioner claims that he was informed by the
Retired Service Office that the information he was given regarding the
termination of SBP was incorrect.
g. Enclosure (2) provided an unfavorable advisory opinion
stating that since Petitioner failed to make a valid SBP election
prior to his retirement date, he was automatically enrolled as a
participant and the election ig irrevocable. Finally, they note that
although he was able to terminate SBP coverage with spousal
concurrence during the one-year period beginning on the second
anniversary of the date of which payment of retired pay to the
participant commences, DFAS indicated that they had not received an
SBP election or any other documentation associated with a termination
request.
CONCLUSION:
Upon review and consideration of all the evidence im the record, the
Board concludes that Petitioner’s request warrants favorable action.
The Board believed that Petitioner presented sufficient evidence that
with spousal concurrence, he submitted a SBP request to terminate
coverage within the 25°" and 36'" month required by law. Therefore, the
Board finds that in light of these circumstances, there is no
significant disadvantage to the Navy in honoring the request.
BRecordingly, the Board concludes that the record should be corrected
to show that Petitioner submitted, in a timely manner, an SBP
termination request with spousal concurrence on 17 November 2011,
within the 25°° and 36° month time frame required by law.
2 pyen if the DD Form 2656 that Petitioner submitted to DFAS was received
within the required 25 to 36" month time frame to terminate coverage, the
form he used was incorrect and DFAS would have invalidated the form.
Coverage and deductions from Petitioner's pay would have stili been taken out
of his retired pay.
corrected to show that Petitioner submitted, in a timely manner, an
SBP termination request with spousal concurrence on 17 November 2011,
within the 25** and 36‘ month time frame required by law.
RECOMMENDATION:
That Petitioner's naval record be corrected, where appropriate, to
show that:
a. Petitioner submitted a properly completed and timely written
request terminating SBP coverage with spousal concurrence, and that
request was received and processed by cognizant authority and became
effective 17 November 2011, within the 25°° and 36" month time frame
required by law.
4. Pursuant to Section 6(c) of the revised Procedures of the Board
for Correction of Naval Records (32 Code of Federal Regulations,
Section 723.6(c)) it is certified that quorum was present at the
Board's review and deliberations, and that the foregoing is a true and
complete record of the Board’s proceedings in the above entitled
matter,
ROBERT D. ZSALMAN BRONTE I. MONTGO Y
Recorder Acting Recorder
5. Pursuant to the delegation of authority set out in enclosure (13)
and having assured compliance with the provisions of the revised
Procedures of the Board for Correction of Naval Records (32 Code of
Federal Regulations, Section 723), it is hereby announced that the
foregoing corrective action, has been approved by the Board on behalf
of the Secretary of the Navy.
10 June 2014 TR pe tate SN ES
ROBERT D. ZSALMAN
Acting Executive Director
Reviewed and Approved: (Aol afery
ROBERT L. WOODS
Assistant General Counsel —
(Manpower and Reserve Affairs)
1000 Navy Pentagon, Rm 4D548
Washington, DC 20350-1000
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