ADDENDUM TO RECORD OF PROCEEDINGS

IN THE MATTER OF:	DOCKET NUMBER: BC-2015-03767-2

XXXXXXXXXXXX	COUNSEL:  
	(DECEASED)

XXXXXXXXXXXX	HEARING: NOT INDICATED
	(APPLICANT)

APPLICANT REQUESTS THAT:

The Board reconsider the applicant’s request that she be designated the former spouse beneficiary of the service member under the Survivor Benefit Plan (SBP).

RESUME OF THE CASE:

On 4 and 22 Nov 16, the Board considered and denied a request for correction of military records submitted by the applicant.  For an accounting of the applicant’s original request and the rationale of the earlier decision, see the AFBCMR Letter and Record of Proceedings at Exhibit H.

On 22 May 18, the applicant requested reconsideration.  The applicant’s complete submission is at Exhibit G.

STATEMENT OF FACTS:

Before his death, the deceased service member was a retired Air Force colonel.  The applicant is his former spouse.  The parties married on 9 Oct 87.  On 2 Jun 93, the service member elected spouse-only SBP coverage based on full retired pay, naming the applicant as the spouse beneficiary.  On 22 Jan 98, the parties divorced.  Neither party remarried.

The divorce decree awarded the applicant former spouse SBP coverage, but also reduced the alimony paid to the applicant to offset the SBP premiums paid by the service member.  On 18 Feb 98, via facsimile machine, the service member notified the Defense Finance and Accounting Service (DFAS) of the divorce.  On 13 Dec 98, again via facsimile machine, the service member sent DFAS a request to convert his spouse-only SBP coverage to former spouse.  However, he did not use the correct form.  DFAS neither processed the request nor notified the service member that he should have used a different form.  DFAS did continue deducting SBP premiums until the death of the service member.  As the DFAS advisory noted, “However, due to incorrect processing the SBP was never suspended and premiums for SBP spouse costs continued to be withheld from [the service member’s] monthly retired pay.”

Currently, DFAS is holding a partial refund of premiums for the Arrears of Pay (AOP) beneficiary, who has neither claimed nor received the refund.  DFAS has confirmed that no debt would be assessed against the AOP beneficiary, should the Board grant the application.

THE BOARD CONCLUDES THAT:

After reviewing all Exhibits, the Board concludes the applicant has presented evidence sufficient to demonstrate an error and injustice.  The former service member transmitted timely and unambiguous notice to convert spouse only coverage to former spouse coverage.  Specifically, he transmitted his request to DFAS within one year of the divorce, although he did not use the right form.  In receipt of his request, DFAS effectively cancelled the coverage for the applicant, but not the premiums. Under these circumstances, the Board finds that government error created an injustice for the applicant and a potential windfall for the AOP beneficiary.  Therefore, the Board recommends correcting the record of the service member as indicated below.

THE BOARD RECOMMENDS THAT:

The Board recommends the pertinent military records of the Department of the Air Force relating to the SERVICE MEMBER be corrected to show that on 18 Feb 98, he elected former spouse coverage under the Survivor Benefit Plan based on full-retired pay, naming the APPLICANT as the former spouse beneficiary.

CERTIFICATION:

The following quorum of the Board, as defined in Air Force Instruction (AFI) 36-2603, Air Force Board for Correction of Military Records (AFBCMR), paragraph 1.5, considered Docket Number BC-2015-03767-2 in Executive Session on 19 Nov 18:

 , Panel Chair
 , Panel Member
 , Panel Member

All members voted to correct the record.  The panel considered the following:

Exhibit H:	Record of Proceedings, w/ Exhibits A-G, dated 1 Dec 16.
Exhibit I:	Application, DD Form 149, w/atchs, dated 22 May 18.  

Taken together with all Exhibits, this document constitutes the true and complete Record of Proceedings required by AFI 36-2603, paragraph 4.11.9.