I know someone at VMI who fell below and lost the scholarship for a semester. I don't believe they were paid that back after bringing their gpa back up. They were on the hook for that semester. Whether VMI financial aid office was able to assist with any funds for that semester, I don't know.
I think that you need to sit down over Christmas Furlough and honestly determine what your mistakes were and have a plan to overcome them in the spring. VMI is a difficult school. If you get behind it's hard to dig yourself out of the hole. You can but you need to be dedicated and determined. My son was in a pretty deep hole one spring semester, I was concerned that he would not get his gpa back up enough to keep his scholarship, but he did. His never fell below the requirements, but from mid terms to finals was a struggle for him. As a parent I was hard to watch him struggle through that semester and knowing the circumstances that caused it ( close friend was murdered) I had to say "son, I know why you are where you are and I understand. But, the Army doesn't care. You're going to have to suck it up and get it done." And he did.
There will always be "excuses" as to why you fell below or didn't do what you needed to but, you signed a contract and the Army isn't going to be concerned with the reason you aren't meeting your end. So, it's time to take a good look and be determined to fix what went wrong.
I wish you the very best. If you can get through the ratline at VMI, you can pull your grades up. It's worth it.