IN THE CASE OF: BOARD DATE: 18 January 2022 DOCKET NUMBER: AR20210007089 APPLICANT REQUESTS: * Remission/cancellation of indebtedness regarding his Student Loan Repayment Program (SLRP) in the amount of $6,975.01 * Refund of monies already recouped APPLICANT'S SUPPORTING DOCUMENTS CONSIDERED BY THE BOARD: * DD Form 149 (Application for Correction of Military Record) * U.S. Army Human Resources Command (HRC) Orders Number C-01-100541 * DD Form 214 (Certificate of Release or Discharge from Active Duty), ending on 21 December 2016 * Request packet to HRC for remission or cancellation of indebtedness * HRC response to request for remission or cancellation of indebtedness FACTS: 1. The applicant states in effect, in 2019, the Army Reserve Student Loan contractors erroneously recouped his Fiscal Year (FY) 2017 SLRP payment contrary to the FY17 Army Reserve Incentive Program Policy and Army Regulation (AR) 601-201 (Active and Reserve Components Enlistment Program). He was not informed in writing, via e-mail or telephonically that his request for a waiver was denied and the debt was entered. This issue came to his attention when his credit was affected after the debt was transferred to the U.S. Department of Treasury for collection. Through his pay center, he submitted a request for remission or cancellation of the debt to HRC. HRC responded, stating they could not process the request and he needed to file an applicant with the Army Board for Correction of Military Records (ABCMR). 2. A review of the applicant's service record shows: a. The applicant enlisted in the U.S. Army Reserve (USAR) on 11 August 2010. (1) DD Form 1966 (Record of Military Processing – Armed Forces of the United States) shows, he enlisted in Military Occupational Specialty (MOS) 09S (Commissioned Officer Candidate) with the SLRP in the amount of $40,000.00 and Commissioned Officer Accession Bonus (OAB) in the amount of $10,000.00. (2) DA Form 3540 (Certificate and Acknowledgement USAR Service Requirements and Methods of Fulfillment) shows, he enlisted in the MOS 09S with programs and/or incentives of commissioned OAB in the amount of $10,000.00 and SLRP in the amount of $40,000.00. It also states that: * if he is reassigned to an Individual Mobilization Augmentee (IMA), he must continue to participate satisfactorily in the IMA program * he will serve as a member of the Selected Reserve troop program unit (TPU) for the entire period specified in his service agreement unless otherwise reassigned or separated by proper authority * if voluntarily or involuntarily reassigned or transferred out of the Selected Reserve, all entitlements under the Selected Reserve incentives will terminate (3) DA Form 5261-4 (SLRP Addendum) shows, he: * contracted for completion of initial active duty for training and qualification in MOS 09S which Headquarters Department of the Army (HQDA) had approved for a maximum of $40,000.00 in loan repayments * enlisted for 6-years and agreed to serve his initial 6-years in the Selected Reserve in the MOS indicated He understood the terms of the agreement and his entitlement to loan repayment under the SLRP would be terminated if he: * became an unsatisfactory participant * moved to a MOS or reclassified in a MOS other than he contracted for * failed to become MOS qualified within 12-months * accepted a permanent civilian position where membership in the Selected Reserve was a condition of employment * exceed maximum period for suspension during a period of non-availability * entered on active duty in an Active Guard Reserve (AGR) status, provided this would be his initial entry on active duty and he was enrolled under the Montgomery GI Bill for active duty * reached the maximum portion authorized for loan repayment (Army National Guard and USAR service combined) b. DD Form 214 shows the applicant was ordered to Active Duty for Training (ADT) on 13 September 2010 to attend the Officer Candidate Course. The applicant was honorably released from active duty on 2 March 2011. c. The applicant completed his oath of office on 3 March 2011 as a Reserve commissioned officer in the rank/grade of second lieutenant (2LT). d. DA Form 1059 (Service School Academic Evaluation Report) shows he attended and completed the Transportation Basic Office Leader Course during the period 13 May 2011 through 1 September 2011. e. On 3 January 2012, Orders Number 12-003-00004, issued by the Deployment Support Command, the applicant was ordered to active duty in support of Operation Enduring Freedom, effective 10 March 2012. f. The applicant was honorably released from active duty on 14 February 2013. DD Form 214 shows the applicant completed 11-months and 5-days of active service. g. DD Form 220 (Active Duty Report) shows the applicant was ordered to active duty on 26 May 2014. The applicant was honorably released from active duty on 1 August 2014. The applicant completed 68-days of active service. h. DD Form 214 shows the applicant was ordered to active duty in support of Operation Inherent Resolve on 7 January 2016. He was honorably released from active duty on 21 December 2016. He completed 11-months and 15-days of active service. i. On 10 July 2017, Orders Number C-07-709306, issued by HRC, the applicant was reassigned to the U.S. Army Element Special Operations Command South as the Public Affairs Officer in the drilling IMA program, effective 7 July 2017. j. On 2 October 2017, Orders Number R-10-705167, issued by HRC, the applicant was ordered to active duty in an AGR status, effective 16 October 2017 for a 3-year active duty commitment. k. The applicant was honorably released from active duty on 14 June 2021 and assigned to the 335th Theater Signal Command. DD Form 214 shows he completed 3- years, 7-months, and 29-days of active service. 3. The applicant provides a Memorandum from the Director, Defense Military Pay Office, Fort Gordon, GA, Subject: Remission or Cancellation of Indebtedness. It states: a. Applicant accumulated a debt of $7,575.01 for Student Loan Repayment Program (SRIP) and the interest while serving in the Reserve. The Soldier should not have been charged since he served the entire FY16 as a TPU Soldier, which he was also deployed during this time. Based on the AR 601-201 and USAR FY17 SRIP Policy 18-01-01, the applicant should not have the debt since he was not informed that transferring into the Individual Mobilization Augmentee (IMA) position would terminate without recoupment of any of the unearned SRIP. b. In accordance with paragraph 3-3, AR 600-4, the following is submitted: Date notified: August 2018; Date entered for collection March 2019 suspended by DFAS-IN, Debt collection re-suspended by this office pending reply of approval or disapproval; and Soldier’s ETS date is 15 October 2020 c. He based on the information and provided supporting documentation showing why he should not have the SRIP debt. Notification was sent and the information was provided to the appropriate parties. Based on the USAR FY17 SRIP Policy 18-01-01 para 7 and AR 601-201 (Active and Reserve Components Enlistment Program), supports why the debt should not be assumed by [Applicant], which should have terminated before his anniversary date. Soldier was not given his credit for service and the debt amount was not prorated, which caused financial hardship. The Soldier due to fault of his own should not be held liable for the amount of the debt of $7575.01. d. Recommend that the Soldier not pay the amount of $7,575.01, since this debt is no fault of the Soldier. The USARC policy needs to be reviewed since time served was provided and the UARS SRIP Policy stated that the transfer into the Individual Mobilization Augmentee (IMA) program on 7 July 2017 one month before the Soldiers anniversary, which he should not have received the SLR that has caused the debt. 4. On 21 November 2019, the U.S. Army Human Resources Command responded to the Director, Defense Military Pay Office, Fort Gordon, GA. The response states in response to the applicant's request for remission or cancellation of indebtedness, the applicant's packet was returned without action citing that debts resulting from the SLRP cannot be processed by HRC. The applicant could apply to the ABCMR for further review if he feels an injustice occurred. BOARD DISCUSSION: After reviewing the application, all supporting documents, and the evidence found within the military record, the Board found that relief was warranted. The applicant's contentions, the military record, and regulatory guidance were carefully considered. Board members agreed that based on the USAR FY17 SRIP Policy and AR 601-201, the debt should not be assumed by applicant. It should have terminated before his anniversary date. He was not informed or properly counseled that transferring into an IMA position would terminate without recoupment of any of the unearned SRIP. He was not given his credit for service and the debt amount was not prorated, which caused financial hardship. The Soldier due to fault of his own should not be held liable for the amount of the debt. BOARD VOTE: Mbr 1 Mbr 2 Mbr 3 XX: XX: XX: GRANT FULL RELIEF : : : GRANT PARTIAL RELIEF : : : GRANT FORMAL HEARING : : : DENY APPLICATION BOARD DETERMINATION/RECOMMENDATION: The Board determined the evidence presented is sufficient to warrant a recommendation for relief. As a result, the Board recommends that all Department of the Army records of the individual concerned be corrected by showing: * The applicant submitted an exception to policy request to the U.S. Army Reserve to retain the Student Loan Repayment Program incentive * The U.S. Army Reserve Command received and approved his request, provided all other criteria has been met 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. AR 601-210 (Active and Reserve Components Enlistment Program), in effect at the time, prescribes eligibility criteria governing the enlistment of persons, with or without prior service (PS), into the Regular Army (RA), the U.S. Army Reserve (USAR), and the Army National Guard (ARNG). a. Paragraph 9–18 (Enlistment Program 9L, U.S. Army Reserve Component Incentive Enlistment Program (non-prior Service Enlistment Bonus, prior service Enlistment Bonus, Montgomery GI Bill-SR Kicker, Loan Repayment Program)), this program is available to qualified NPS, PS, Glossary NPS, and ACASP applicants enlisting for the minimum term of enlistment, when authorized under the SRIP as described in chapter 10, this regulation or in AR 621–202 (Army Educational Incentives and Entitlements). The current year approved SRIP will describe all approved RC incentives. b. Paragraph 10-3t (Termination of incentives), incentive eligibility will be stopped when any of the termination reasons as listed below apply and that member shall not be eligible to receive any further incentive payments, except for service performed before the termination date. Once declared ineligible, termination of an incentive will not affect a Soldier's responsibility to serve his or her current statutory or contractual service commitment. Termination of eligibility to an incentive will occur, if a Soldier: * Becomes an unsatisfactory participant, termination date entered into the personnel data reporting systems must be the date the Soldier is declared an unsatisfactory participant * Is an enlisted Soldier attending high school at time of enlistment and does not become a secondary school graduate within the required time limit * Fails to become MOS qualified or certified in the health professional specialty for which contracting * Accepts a permanent military technician or AGR position where membership in the SELRES is a condition of employment and have served less than six months of the incentive contract term (temporary assignment as a military technician for a period of less than six months is excluded) * Voluntarily moves to a non-bonus unit or MOS * Exceeds the maximum authorized period of non-availability * Fails to extend the contracted term of service for an authorized period of non- availability * Separates from a SELRES unit or the Individual Ready Reserve (IRR) of the USAR or ARNGUS for any reason. Separation includes, but is not limited to: * Discharge, or transfer to the IRR, Inactive National Guard, Standby, or Retired Reserve * Enlistment or appointment in the Active Army or in an Active or RC of another U.S. Armed Force * Voluntary entry or ordered to extended active duty in the Active Army * Has received the maximum benefit authorized c. Paragraph 10-3v (Recoupment of incentives), With the exceptions of (a) through (c), below, recoupment conditions in this paragraph cover all incentives. When relief is not granted through the waiver process from incentives received, the member must refund a pro-rata amount to the Government when termination is due to reasons outlined in paragraph a-c, except where prorated recoupment is not authorized. (a) The Specialized Training Assistance Program (STRAP) health professional stipend is recouped in total. (b) The Healthcare Professional Bonus (HPB) is recouped for the entire period of the year not served satisfactorily. (c) The SLRP and Health Professional Loan Repayment (HPLR) are normally not recouped because time is served prior to receipt of the incentive. However, when overpayment or payment in error is made, recoupment may occur when a waiver of indebtedness is not obtained. 2. 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. 3. USAR SRIP Policy Number 18-01-01, states on page 6 incentive recipients must be informed that if they transfer to an IMA position, their incentive will be terminated without recoupment of any unearned portion of the SRIP incentive. Failure to serve at least one year on the current contract in a TPU status before transferring to an IMA status will result in termination of the incentive. //NOTHING FOLLOWS// ABCMR Record of Proceedings (cont) AR20210007089 1 ARMY BOARD FOR CORRECTION OF MILITARY RECORDS RECORD OF PROCEEDINGS 1