PROCEEDINGS

	IN THE CASE OF:  

	BOARD DATE:           9 November 2000                   
	DOCKET NUMBER:   AR2000039990

	I certify that hereinafter is recorded the true and complete record of the proceedings of the Army Board for Correction of Military Records in the case of the above-named individual.  

	Mr. Carl W. S. Chun		Director	
	Mrs. Nancy Amos		Analyst	

  The following members, a quorum, were present:

	Ms. Jennifer L. Prater		Chairperson	
	Ms. Barbara J. Lutz		Member	
	Mr. Orville W. Troesch, Jr.		Member	

	The applicant and counsel if any, did not appear before the Board.

	The Board considered the following evidence:

	Exhibit A - Application for correction of military 
                records
	Exhibit B - Military Personnel Records (including
	            advisory opinion, if any)

FINDINGS:

1.  The applicant has exhausted or the Board has waived the requirement for exhaustion of all administrative remedies afforded by existing law or regulations.

2.  The applicant requests that his records be corrected to show he terminated his enrollment in the Survivor Benefit Plan (SBP).

3.  The applicant states that he sent the Defense Finance and Accounting Service (DFAS) a letter on 6 May 1999 to terminate his SBP.  However, they did not tell him soon enough that his request was inadequate.  By the time DFAS told him what he needed and he provided it the termination period was over.

4.  The applicant’s military records show that he was born on 12 July 1947.  After having had prior service, he enlisted in the Army National Guard on 17 February 1973.  He entered active duty in an active guard/reserve (AGR) status on             4 September 1981.  He retired from active duty on 1 July 1994.  At that time he elected to participate in the SBP for spouse only coverage.

5.  On 6 May 1999, the applicant faxed a handwritten letter to DFAS requesting cancellation of his SBP.  Since this letter was not on the appropriate form and did not have his spouse’s written concurrence, on an unknown date DFAS informed him what was required.  On 22 July 1999, the applicant and his spouse completed DD Form 2656-2, Survivor Benefit Plan (SBP) Termination Request.  However, by this date the SBP termination window had closed for him.

6.  Public Law 92-245, the SBP, enacted 21 September 1972, provided that military members on active duty could elect to have their retired pay reduced to provide for an annuity after death to surviving dependents.  

7.  Public Law 105-85, enacted 18 November 1997, established the option to terminate SBP participation.  Retirees have a one-year period, beginning on the second anniversary of the date on which their retired pay started, to withdraw from SBP.  Members retired for more than two years as of 17 May 1998 were authorized a one-year opportunity (17 May 1998 through 16 May 1999) to disenroll.  The spouse’s concurrence is required.  No premiums will be refunded to those who opt to disenroll. 

CONCLUSIONS:

1.  The Board finds no evidence of Government error since the applicant waited until almost the last minute to request SBP termination.  His 6 May 1999 letter indicated his intent to terminate his enrollment and although it did not indicate his spouse’s concurrence it was submitted prior to the expiration of the termination period on 16 May 1999.  His spouse’s concurrence was obtained shortly thereafter.

2.  In view of the foregoing, the applicant’s records should be corrected as recommended below.

RECOMMENDATION:

That all of the Department of the Army records related to this case be corrected by showing that the applicant and his spouse completed and submitted DD Form 2656-2 on 6 May 1999 terminating his enrollment in the SBP.

BOARD VOTE:  

__jlp___  __bjl___  __owt___  GRANT AS STATED IN RECOMMENDATION

________  ________  ________  GRANT FORMAL HEARING

________  ________  ________  DENY APPLICATION

			Jennifer L. Prater
		______________________
		        CHAIRPERSON

INDEX

CASE ID	AR2000039990	
SUFFIX		
RECON		
DATE BOARDED	20001109	
TYPE OF DISCHARGE		
DATE OF DISCHARGE		
DISCHARGE AUTHORITY		
DISCHARGE REASON		
BOARD DECISION	(GRANT)	
REVIEW AUTHORITY		
ISSUES         1.	137.03	
2.		
3.		
4.		
5.		
6.