IN THE CASE OF:  

		BOARD DATE:  29 October 2020

		DOCKET NUMBER:  AR20200002430


APPLICANT REQUESTS: Correction of his record to show:

*	cancellation/remission of a Selective Reenlistment Bonus (SRB) debt in the 
amount of $7,945.92
*	a personal appearance before the Board

APPLICANT'S SUPPORTING DOCUMENTS CONSIDERED BY THE BOARD:

*	DD Form 149 (Application for Correction of Military Record)
*	DD Form 4 (Enlistment/Reenlistment Document Armed Forces of the United 
	States), dated 5 June 2017
*	DA Form 4789 (Statement of Entitlement to SRB), dated 5 June 2017
*	Leave and Earnings Statement (LES), dated 31 July 2017
*	DA Forms 2166-9-2 (Noncomissioned Officer Evaluation Report (NCOER) (Staff 
	Sergeant - 1SG/Master Sergeant), dated 18 January 2018 and 5 September 
	2018
*	DD Form 214 (Certificate of Release or Discharge from Active Duty), dated 
	4 November 2018
*	Defense Finance and Accounting Service (DFAS) debt letter, dated 15 July 2019
*	DFAS letter response to the Honorable Mr. J-, dated 2 December 2019


FACTS:

1.  The applicant states:

	a.  On 15 July 2019, he received a letter of indebtedness form DFAS due to a bonus 
recoupment.  This letter did not provide specific information about the debt calculation.  
He was advised by DFAS that he needed to contact his local finance office for details. 
His multiple attempts to get information from the local finance office were unsuccessful.

	b.  On 19 August 2019, he requested assistance from U.S. Senator J- by filing a 
congressional inquiry.  On 2 December 2019, DFAS responded to his request stating 
that his debt "remains valid."  However, this time detailed calculations were provided. 
Based on the provided DFAS debt calculations, the following errors were noted by him: 
 

	c.  Explanation: According to the SRB contract, he agreed to complete the period 
from 5 June 2017 to 30 June 2024 (which is 7 years or 84 months).  The same contract 
also states, "I have been advised and understand that if I do not complete the full period 
of service, or if I do not remain technically qualified and classified in the Military 
Occupational Skill (MOS)/skill 79R30 (Recruiter), I will have to pay back as much of the 
bonus as I already received for the unexpired part of the period of obligated service." 
Attached please find his NCOERs/job performance evaluations covering 2017 and 2018 
years of service as a proof of satisfactory performance and technical qualification in 
MOS 79R30 during this time.  Taking into account that his separation date was 
4 November 2019 [sic], he earned 17 months of bonus pay: from the beginning of the 
contract 5 June 2017 to his separation date of 4 November 2018.  As he mentioned 
before, 7 years= 84 months= $27,600.00 (after taxes), so 1 month= $328.60 
($27,600.00: 84 months= $328.60).  So, 17 months of satisfactory and technically 
qualified service is $5,586.20 bonus earned ($328.60 x 17 months= $5,586.20).

2.  A review of the applicant's official records shows the following:

	a.  On 23 June 2004, the applicant enlisted in the Regular Army.

	b.  From 25 October – 9 December 2011, the applicant attended and completed the 
U.S. Army Recruiting Course.

	c.  On 5 June 2017, the applicant reenlisted for an indefinite status:

		(1)  DD Form 4, Section B (Agreements), item b shows he reenlisted for a tier 7 
SRB, and his reenlistment was for an indefinite period and he would be allowed to serve 
until his retention control point of 30 June 2024.  

		(2)  In conjunction with this reenlistment DA Form 4789 was completed showing 
the applicant was reenlisting in MOS 79R for 7 years and 2 months.  If he did not 
complete the full period of service or remain technically qualified in MOS 79R, he would 
have to pay back as much of the bonus as he already received for the unexpired part of 
the obligated service.

	d.  On 4 November 2018, the applicant was honorably discharged from active duty 
by reason of parenthood.  He completed 14 years, 4 months, and 12 days of net active 
service.  Item 18 (Remarks) shows separation pay in the amount of $33,036.90.

3.  The applicant provides:

	a.  LES showing he received an SRB payment of $36,800.00, Federal tax deduction 
of $9,460.00, and a SRB payment of $27,600.00.

	b.  DA Form 2166-9-2 showing the applicant was evaluated as a recruiter for 20 
months.

	c.  DFAS debt letter wherein the applicant was informed he had a debt balance of 
$7,945.92 based on the bonus recoupment of his unearned portion of his SRB based on 
2036 (5.5 years) unserved days. 

	d.  DFAS letter response to the Honorable Mr. J- that states in pertinent part, they 
reviewed the applicant's account and determined his debt of $7,945.92 remains valid. 
They added interest and fees of $20.86 and applied collections totaling $200.00,
bringing his current balance due to $7,773.28.  The applicant's debt is for the 
recoupment of the unearned portion of his SRB payment.  He received a total of 
$36,800.00; however, his unit reported he only completed 4 months of satisfactory 
performance.  Since he did not complete his contract (projected date of separation, 
30 June 2024), he is required to repay the unearned portion of the bonus amount he 
received.  He received all entitlements up to his date of separation of 4 November 2018.  
His separations pay entitlement, $14,699.72, was applied towards his debt, resulting in 
the remaining balance due, as shown:

	
 
4.  On 23 October 2020, the Office of the Deputy Chief of Staff, G-1 reviewed the 
applicant's records and rendered an advisory opinion in his case.  After a thorough 
review, the Chief, Military Personnel Enlisted Division opined:

	a.  Recommend that the applicant's request for relief be partially approved.  It is the
opinion of this office that there was a slight over-estimation of the recoupment amount
by DFAS.

	b.  The applicant reenlisted in the Regular Army on 5 June 2017 for an indefinite 
period; for his grade at the time, this authorized him to serve until 30 June 2024. SRB's 
are paid to a service member based on additional obligated service, and previously 
obligated service may not be used in bonus calculation.  At the time of reenlistment, the 
applicant's previously obligated service ended 23 May 2018.  The applicant received a 
$36,800.00 SRB under Military Personnel Message Number 17-156 for 60 months of 
additional obligated service.  In this instance, the bonus was paid for the period of 
service from 24 May 2018 to 23 May 2023.  Based on the applicant's separation date of 
4 November 2018, the applicant served 5 months and 11 days of the 60 months of 
additional obligated service, leaving an unearned amount of 4 years, 6 months, and 
19 days or -$33,474.70.

	c.  The DFAS response to the Honorable J-, dated 2 December 2019,
states that "his unit reported he only completed 4 months [sic] of satisfactory
performance." Law, regulations, and policies cited in paragraph 4 below require that a
service member completes the full period of obligated service and that they remain
technically qualified in their incentivized skill.  This office finds no evidence that the
applicant lost technical qualification prior to his separation date, only that he did not
complete the period of obligated service.  Thus, calculating the difference between the
amount in paragraph 2 above and the amount recouped by DFAS, we recommend
partial relief in the amount of $1,212.71 to be credited back to the applicant.

5.  On 23 October 2020, the applicant provided a response to the advisory opinion and 
stated:

	a.  One important piece of information that was overlooked is taxes.  As you already 
know, his SRB amount was $36,800.00.  However, his original net payment amount 
after $9,200.00 in tax deductions was $27,600.00.  DFAS never addressed the taxes in 
their debt calculation resulting in him re-paying the gross amount of $36,800.00 instead 
of the net amount of $27,600.00.  This means that he paid taxes twice.  Please 
reimburse $9,200.00 that was previously deducted from his SRB.  Attached please find 
his SRB LES (showing tax deductions) along with the DFAS debt calculation letter.

	b.  He is requesting re-consideration of the advisory opinion and award an additional 
$9,200.00 in tax overpayment reimbursement.
6.  See applicable references below.


BOARD DISCUSSION:

1.  After reviewing the application and all supporting documents, the Board found partial 
relief is warranted.

2.  The Board concurred with the conclusion of the advisory official that the applicant 
should be credited with having earned an additional $1,212.71 of his SRB.  The Board 
determined the debt resulting from recoupment of his SRB should be reduced by that 
amount.  

3.  This Board is not empowered to address matters related to personal income taxes.  
If the applicant believes the recoupment of his SRB should result in the reimbursement 
of taxes previously paid, he should seek advice from DFAS or the Internal Revenue 
Service.  


BOARD VOTE:

Mbr 1	Mbr 2	Mbr 3

:	:	:	GRANT FULL RELIEF

:XX	:XX	:XX	GRANT PARTIAL RELIEF

:	:	:	GRANT FORMAL HEARING

:	:	:	DENY APPLICATION


?
BOARD DETERMINATION/RECOMMENDATION:

1.  The Board determined the evidence presented is sufficient to warrant a 
recommendation for partial relief.  As a result, the Board recommends that all 
Department of the Army records of the individual concerned be corrected by showing he 
earned an additional $1,212.71 of his Selective Reenlistment Bonus.

2.  The Board further determined the evidence presented is insufficient to warrant a 
portion of the requested relief.  As a result, the Board recommends denial of so much of 
the application that pertains to any relief in excess of that described above.

		  
I certify that herein is recorded the true and complete record of the proceedings of the 
Army Board for Correction of Military Records in this case.


REFERENCES:

1.  Army Regulation (AR) 600-4 ((Remission or Cancellation of Indebtedness) provides 
policy and instructions for submitting and processing packets for remission or 
cancellation of indebtedness to the U.S. Army.  Requests for remission or cancellation 
of indebtedness must be based on injustice, hardship, or both.  A Soldier's debt to the 
U.S. Army may be remitted or canceled on the basis of this regulation in cases arising 
from debts incurred while serving on active duty or in an active status as a Soldier.

2.  Title 10, United States Code, section 1552 states the Secretary of a military 
department may correct any military record of the Secretary’s department when the 
Secretary considers it necessary to correct an error or remove an injustice.

3.  AR 15-185 (Army Board for Correction of Military Records (ABCMR) prescribes the 
policies and procedures for correction of military records by the Secretary of the Army, 
acting through the ABCMR.  The ABCMR may, in its discretion, hold a hearing or 
request additional evidence or opinions.  Additionally, it states in paragraph 2-11 that 
applicants do not have a right to a hearing before the ABCMR.  The Director or the 
ABCMR may grant a formal hearing whenever justice requires.

//NOTHING FOLLOWS//
ABCMR Record of Proceedings (cont)	 AR20200002430


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ARMY BOARD FOR CORRECTION OF MILITARY RECORDS

RECORD OF PROCEEDINGS


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