PROCEEDINGS

	IN THE CASE OF:      

	BOARD DATE:           25 April 2002                           
	DOCKET NUMBER:   AR2001063286

	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	
	Ms. Rosa M. Chandler		Analyst	

  The following members, a quorum, were present:

	Ms. Joann H. Langston		Chairperson	
	Mr. George D. Paxson		Member	
	Mr. Charles Gainor		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 current active duty commitment and service be accepted in lieu of the repayment of his Reserve Officers’ Training Corps (ROTC) scholarship debt.

3.  The applicant states that when he dropped out of the ROTC program, he had a choice of serving in the Army or repaying his ROTC scholarship.  He states he is currently enlisted in the United States Marine Corps (USMC).  He believes that his branch of service should not matter in satisfying his debt; that every branch of service shares the same purpose -- to protect and defend the United States.  He submits in support of his request, a letter from the US Army ROTC Cadet Command, Fort Knox, Kentucky, dated 5 August 1996; a memorandum from Headquarters, Fourth Region ROTC, US Army Cadet Command, Fort Lewis, Washington, subject:  Repayment of Scholarship Funds, dated 20 June 1997; an Addendum to his Scholarship Contract, dated 21 July 1997; a copy of his DD Form 4/1-4/3, Enlistment/ Reenlistment Document - Armed Forces of the United States, dated 17 November 1999; a letter from the Marine Corps Security Force Company, Naval Submarine Base, Kings Bay, Georgia, dated 21 May 2001; a letter from the Legal Assistance Office, Naval Submarine Base, Kings Bay, Georgia, dated 3 August 2001; and a letter from the Defense and Accounting Service - Denver Center (DFAS-DE), Denver, Colorado, dated 14 September 2001.

4.  The applicant’s military records show that on 5 August 1996, he was notified that he had been selected to receive a Tier IV 2-year Army ROTC Scholarship commencing in school year 1996-1997 to pursue a baccalaureate degree in an undeclared discipline.  The scholarship authorized him to receive up to $2,550.00 per year for tuition and fees, and $225.00 per semester for books and supplies (not to exceed a total of $450.00 per year).  As part of a scholarship enlistment in the ROTC program, an individual must sign a DA Form 597-3, which is the agreement between the Army and a potential ROTC cadet.  That form contains the promises made between the Army and the cadet, and includes what action the Army will take in the event that a cadet fails to successfully complete the terms of the contract.  The applicant acknowledged that he understood and agreed that if he were disenrolled from the ROTC program during Military Science III he could be called to active duty for a period of 3 years or incur a reimbursement obligation.

5.  On 20 June 1997, Headquarters, Fourth Region ROTC, US Army Cadet Command notified the applicant that it had been determined that he was in breach of his ROTC scholarship contract based on his withdrawal from school.  He was indebted to the US Government for a total of $3,000 that had been spent 

in support of his education.  He was reminded that the Army had the right to order him to active duty as a Private (PVT/E-1) in order to fulfill his contractual obligation.  He was offered the opportunity to make repayment in lieu of being ordered to active duty.

6.  On 21 July 1997, the applicant signed an Addendum to Part I of his Scholarship Contractual Agreement which acknowledged that as a cadet at the New Mexico Military Institute, Fourth Region ROTC, he was in breach of his 2-year Army ROTC Scholarship Contract; that he understood the terms of his contract; and that he had been advised that he was being provided the opportunity to repay $3,000.00 that the United States had expended in support of his educational assistance in lieu of the Army exercising its right to order him to active duty.  He promised in writing to repay the total amount owed in monthly installments.

7.  On 17 November 1999, the applicant enlisted in the Delayed Entry Program (DEP).  On 13 December 1999, he was discharged from the DEP and he enlisted in the USMC for 4 years.  He is a now a Corporal, pay grade E-4, assigned to the Marine Corps Security Force Company, Kings Bay, Georgia.  

8.  The applicant's commander states in a letter, date 21 May 2001, that the applicant's base pay equals $1,288.80 per month and other allowances equals $34.76, therefore, his total pay equals $1,323.56.  

9.  The Debt Management Section, DFAS-DE, shows that between August 1999 and August 2001, DFAS recouped a total of $760.35 of the applicant's $3,000 debt.  He currently owes the US Government a total of $2,239.65.

10.  AR 145-1 provides in pertinent part that a scholarship or non-scholarship cadet under consideration for involuntary call to active duty for breach of contract will be so ordered within 60 days after they would normally complete baccalaureate degree requirements or the cadet is no longer enrolled in school. Graduate students may not be ordered to active duty until they complete the academic year in which they are enrolled or disenroll from the school, whichever occurs first.  The cadet will not be discharged/disenrolled from ROTC until determination has been received from Headquarters, Cadet Command . If it is determined that the cadet will be ordered to active duty, the cadet will not be discharged, and Headquarters, Cadet Command will issue active duty orders.

CONCLUSIONS:

1.  The applicant was properly disenrolled from the ROTC; there is no error or injustice in his disenrollment.

2.  The applicant argues that his service in the USMC should qualify as repayment of his ROTC scholarship, and that being forced to repay the scholarship while serving in the USMC is unfair.  In actuality, if the applicant had chosen to enter active duty or been involuntarily ordered to active duty, he would have been assigned against the needs of the Army and not allowed to choose his branch of service, or a training option.  In this sense, he has obtained an advantage over similar individuals who, upon disenrollment from ROTC, choose active duty or are involuntarily ordered to active duty.  This advantage occurs because AR 145-1 mandates that cadets ordered to active duty for breach of contract are ordered directly to active duty.  Cadets so ordered report directly to a military installation and do not participate in the recruiting function where enlistment options are offered and negotiated.

3.  Nonetheless, the Board accepts that the applicant’s enlisted service in the USMC is equivalent to being called to active duty under the terms of his ROTC contract.  Therefore, collection of his ROTC scholarship debt should be held in abeyance during the term of his enlistment and remitted (with any monies already collected returned to him) provided he satisfactorily completes the terms of his enlistment.

4.  If the applicant fails to complete the period of enlisted service obligated as a result of his ROTC scholarship, either voluntarily or because of misconduct, his ROTC scholarship debt would be required to be recouped on a pro-rated basis.

5.  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.  Amending the applicant’s ROTC scholarship contract to show that he would satisfy the service obligation under the original terms of the ROTC contract as a United States Marine;

	b.  Suspending collection of his ROTC scholarship debt during his enlistment, with the debt to be remitted (and any money already collected returned to him) upon his satisfactory completion of his term of service; and 

	c.  Showing that if he fails to complete the period of enlisted service obligated as a result of his amended ROTC scholarship contract, either voluntarily or because of misconduct, his ROTC debt would be required to be recouped on a pro-rated basis in accordance with paragraph 12 of his DA Form 597-3.

BOARD VOTE:  

___cg___  ___jhl___  ___gdp__  GRANT AS STATED IN RECOMMENDATION

________  ________  ________  GRANT FORMAL HEARING

________  ________  ________  DENY APPLICATION

		_________Joann H. Langston_____
		        CHAIRPERSON

INDEX

CASE ID	AR2001063286	
SUFFIX		
RECON	YYYYMMDD	
DATE BOARDED	20020425	
TYPE OF DISCHARGE	NA	
DATE OF DISCHARGE	NA	
DISCHARGE AUTHORITY		
DISCHARGE REASON		
BOARD DECISION	(GRANT)	
REVIEW AUTHORITY		
ISSUES         1.	128.000	
2.		
3.		
4.		
5.		
6.