Should someone who is RCP get an award?

Context is going to matter here. Did they get demoted for something stupid, or something terrible? If they violated curfew because they were rescuing a burning bus full of nuns? Sure, write up that award.
If they got caught selling cocaine at the local preschool? Not so much...

The Soldier is ETSing, not being separated. They're receiving an Honorable discharge, they served honorably. Yeah, they probably did something stupid, but they still volunteered, and served for at least five years, making them a tiny percentage of the population. If what the Soldier did was so bad, your Command had the opportunity to separate them and even take their benefits.

RCP isn't a bad thing, it's more of the Army's way of saying, "It's not you, it's me" and "We just have different life goals". In fact, the Soldier is still eligible to join the National Guard or the Reserves. He won't get a sign on bonus since he was reduced, but he can still serve, get promoted, and retire.

The Soldier has at least five years of service, since the RCP for PFC is five years. Five years of service has to be worth at least an AAM.

COA to AAM as long as the rest of their time at the unit was great. But, it's up to the Leadership.