PROCEEDINGS

	IN THE CASE OF:  

	BOARD DATE:            28 March 2002
	DOCKET NUMBER:   AR2001064740 

	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	
	Mr. Joseph A. Adriance		Analyst	

  The following members, a quorum, were present:

	Mr. Fred N. Eichorn		Chairperson	
	Mr. Lester Echols		Member	
	Mr. Thomas Lanyi		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, in effect, that his retirement basic pay rate be adjusted from captain/0-3 (CPT/0-3) to CPT/0-3E.

3.  The applicant states, in effect, that his status as a prior enlisted solider and officer was omitted from his retirement order.  Therefore, he did not receive credit for his prior enlisted service and thus, he did not receive retired pay based on the proper pay scale as a CPT/0-3E.

4.  The applicant’s military records show that he was retired by reason of physical disability on 27 February 1998, and that he is currently receiving retired pay as a CPT/0-3.

5.  A separation document (DD Form 214) on file, confirms that the applicant served on active duty in the United States Marine Corps (USMC) in an enlisted status for 3 years and 9 months, between 20 November 1972 and 19 August 1976, at which time he was honorably discharged in the rank of corporal/E-4.  

6.  A Report of Separation and Record of Service (NGB Form 22) on file confirms that the applicant served in an enlisted status in the Army National Guard (ARNG) from 20 August 1976 through 23 June 1979.  A Verification of Service Letter, issued by the Office of the Adjutant General, Indiana ARNG, dated 
16 April 1981, confirms that the applicant completed 111 days of active duty or active duty for training in an enlisted status during his tenure in the ARNG.

7.  In connection with the processing of this case, the Defense Finance and Accounting Service (DFAS) retired pay section was contacted, in order to determine the retired pay grade on which the applicant’s retired pay was based.  A DFAS official confirmed that the applicant was being paid retired pay as a CPT/0-3 and not as a CPT/0-3E.  

8.  The Department of Defense Financial Management Regulation (DoDFMR), Volume 7A, provides the DoD policy on the pay and allowances of military personnel.  Paragraph 010301 contains the policy and criteria for awarding the pay grades 01E, 02E, and 03E.  It states, in pertinent part, that commissioned officers with over 4 years of prior active service as an enlisted member, warrant officer, or combined service in both grades are entitled to count such service for the purposes of computing basic pay for longevity purposes.  Such prior service includes active service in either a Regular or Reserve component of both (i.e., active duty for training in an enlisted or warrant officer status, annual Reserve training duty, and full time National Guard duty).  Service on active duty or active duty for training for at least 4 years and 1 day satisfies the over 4 year requirement of this section. 

CONCLUSIONS:

1.  The Board notes the applicant’s contention that he is entitled to receive retired pay as a CPT/0-3E based on his prior enlisted service and it finds this claim has merit.  

2.  The evidence of record confirms that the applicant completed a total of 
4 years and 21 days of prior active duty enlisted service, 3 years and 
9 months in the USMC and 111 days (3 months and 21 days) in the ARNG, which satisfies the 4 years and 1 day of prior active enlisted service requirement of the regulation.  Therefore, the Board concludes that the applicant is eligible to receive retired pay at the CPT/0-3E rate and that it would appropriate to adjust his retired pay rate accordingly at this time. 

3.  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 individual concerned completed 4 years and 21 days of prior enlisted active service before becoming a commissioned officer; by providing him retired pay at the CPT/0-3E rate; and by providing him any back pay due as a result.  

BOARD VOTE:  

__FNE__  ___LE___  ___TL___  GRANT AS STATED IN RECOMMENDATION

________  ________  ________  GRANT FORMAL HEARING

________  ________  ________  DENY APPLICATION

		____Fred N. Eichorn___
		        CHAIRPERSON

INDEX

CASE ID	AR2001064740	
SUFFIX		
RECON		
DATE BOARDED	2002/03/28	
TYPE OF DISCHARGE	HD	
DATE OF DISCHARGE	1998/02/27	
DISCHARGE AUTHORITY	AR 635-40 	
DISCHARGE REASON	Disability 	
BOARD DECISION	GRANT	
REVIEW AUTHORITY		
ISSUES         1.  338	136.0000	
2.  283	128.0000	
3.		
4.		
5.		
6.