PROCEEDINGS

	IN THE CASE OF

	BOARD DATE:           4 November 2003                   
	DOCKET NUMBER:  AR2003085922

	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	
	Ms. Gail J. Wire		Member	
	Mr. Antonio Uribe		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 her Date of Initial Entry to Military Service (DIEMS) be adjusted to 1 August 1986 or later. 

3.  The applicant states, in effect, that the date used as her DIEMS is in error.  She states that upon her initial visit to the finance office in Korea, she was told that her DIEMS was the same date she entered active duty, which was 9 October 1986.  As a result, the applicant believes she should retain the Career Status Bonus (CSB) she received for agreeing to being placed in a reduced retirement plan (REDUX).  

4.  The applicant’s military records show that she enlisted in the delayed entry program (DEP) on 2 July 1986, and that she entered Regular Army (RA) on 
9 October 1986.  She has continuously served on active duty since she entered the RA and has attained the rank and pay grade of staff sergeant/E-6.

5.  After being offered the opportunity by the Army, the applicant elected to receive a CSB in return for participating in the REDUX program.  The Chief, Compensation and Entitlements Division, Deputy Chief of Staff, G-1 determined that a small group of service members were erroneously paid a CSB for which they were not eligible, which thereby created a debt to the United States Government.  The memorandum indicated that those soldiers who erroneously received the CSB did not initially enter military service on or after 1 August 1986; therefore under the law, they are not eligible to elect for the bonus or for participation in the REDUX that accompanied the CSB.

6.  The G-1 gave the effected soldiers the following options:  appeal the validity of the debt; request remission and cancellation of the debt; request waiver of the debt; and/or apply to the Army Board for Correction of Military Records.  The applicant elected to apply to this Board. 

7.  In connection with the processing of this case, an advisory opinion was obtained from Department of the Army (DA), Recruiting Policy Branch, 
Office of the Deputy Chief of Staff, G-1.  The G-1 recommends that administrative relief be granted in this case because the debts appear to have been incurred as a result of administrative oversights by military separation personnel and were not the fault of the applicant.  The applicant was provided a copy of this G-1 opinion and concurred with its contents on 20 October 2003.

8.  Department of Defense Financial Regulation provides, in pertinent part, that the DIEMS determines which retired pay formula will be used.  It is not used for any other purpose (for example, it is not used in the retired pay computation).  In this case, the DIEMS date is the date the soldier enlisted in the DEP, not the date the soldier came on active duty.  Paragraph 10101t states that for a Regular Component, time spent in the DEP is creditable only if the member entered the DEP prior to 1 January 1985.

9.  In accordance with the DA, G-1 Retirement Services Homepage, a DIEMS date is the earliest date of enlistment, induction, or appointment in a regular or reserve component of a uniformed service as a commissioned officer, warrant officer, or enlisted member.  Public Law 106-65 moved soldiers with DIEMS dates on or after 1 Aug 86 to the High-3 formula.  However, soldiers in this group who are eligible for retention to 20 years can now elect to use REDUX and receive a $30,000 CSB in their 15th year (called a CSB/REDUX election).  If they accept the $30,000 CSB, they must agree to serve a total of 20 years of active duty.

CONCLUSIONS:

1.  By law and regulation, soldiers who entered the Army on or after 1 August 1986 are eligible to elect CSB under the REDUX program.  The evidence of record confirms that the applicant believed and had been informed by responsible Army officials that she was eligible for a CSB bonus and participation in the REDUX retirement program at the time she made that election.  

2.  The evidence also shows that the applicant’s ineligibility for the program is based on her DEP enlistment date being prior to the DIEMS date established as the eligibility date for the REDUX program.  Further, voiding the DEP enlistment contract and changing the applicant’s DIEMS date accordingly would have no impact on the applicant’s earned benefits or future entitlements.  As a result, it would be appropriate to void the applicant’s DEP enlistment and allow her to remain in the REDUX program.  

3.  In view of the facts and circumstances in this case, it would serve the interest of justice and equity to grant the requested relief.  Therefore, it would be appropriate to void the applicant’s enlistment in the DEP on 2 July 1986, correct her DIEMS date to 9 October 1986, the date she entered active duty in the RA, and to reimburse her any portion of the CSB debt that may have already been collected.

4.  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:

	a.  showing that the 2 July 1986 DEP enlistment of the individual concerned is null and void;

	b.  showing that she initially entered into the military on 9 October 1986, and adjusting her DIEMS date accordingly; 

	c.  showing that she was fully eligible for the CSB she received and participation in the REDUX retirement program based upon her adjusted DIEMS date; and 

	d.  reimbursing her for any portion of the CSB that may have already been collected as a debt to the government.  

BOARD VOTE:  

_ FE___  __GW___  __AU __      GRANT AS STATED IN RECOMMENDATION

________  ________  ________  GRANT FORMAL HEARING

________  ________  ________  DENY APPLICATION

		Fred N. Eichorn
		CHAIRPERSON

INDEX

CASE ID	AR2003085922	
SUFFIX		
RECON		
DATE BOARDED	2003/11/DD	
TYPE OF DISCHARGE	N/A	
DATE OF DISCHARGE	N/A	
DISCHARGE AUTHORITY	N/A	
DISCHARGE REASON	N/A	
BOARD DECISION	GRANT	
REVIEW AUTHORITY		
ISSUES         1.  231	112.0900	
2.		
3.		
4.		
5.		
6.