military & government affairs panel wednesday, october 8 th, 2013 1:30pm – 3:30pm
TRANSCRIPT
MILITARY & GOVERNMENT
AFFAIRS PANEL
Wednesday, October 8th
, 2013
1:30pm – 3:30pm
MARGARET “PEG” WILKEN
Vice Chair, IAM Executive Committee
Chair, IAM Government & Congressional
Affairs Committee
Vice President of Government Traffic,
Stevens Forwarders Inc.
KIM J. CHANCELLOR
Traffic Management Specialist/COTR
Employee Relations Resource Center (ERRC)
U.S. General Services Administration
Federal Acquisition Service
U.S. General Services Administration
GSA’s Household Goods Programs
Kim ChancellorGSA Employee Relocation Resource Center
Federal Acquisition Service
GSA’s Program Highlights
Centralized Household Goods Traffic Management Program (CHAMP)
Schedule 48, Move Management Services
Extended Storage Program
5
Federal Acquisition Service
GSA’s Household Goods Programs
Centralized Household Goods Traffic Management Program (CHAMP) – Tender-based program Civilian HHG moves (non-DOD) Domestic & nternational (over 200 countries) HTOS: Document providing rules/provisions of
handling Government shipment Request for Offers (RFO): solicitation notice for
Transportation Service Providers GSA-01 tariff Solicit rates for HHG, unaccompanied air
baggage, and personally owned vehicles6
Federal Acquisition Service
CHAMP Numbers
Active Domestic TSPs: 210 Active International TSPs: 91
Of those TSPs, a combined 142 currently have active rates on file.
FY13 – over 75 Federal agencies used CHAMP to move employees
State Dept is CHAMP’s largest agency customer
7
Federal Acquisition Service
GSA’s Relocation Schedule 653-7 653-7, Move Management Services (MMS)
Transferee entitlements, pre-move counseling, carrier selection, Bill of Lading preparation, shipment booking, claims assistance, on-site quality control
Contract procurement, under the rules of the Federal Acquisition Regulations (FAR)
Commercial discounted pricing
26 contractors offering MMS FY13 – 7,500 shipments reported www.gsa.gov/tdrs or e-mail [email protected] 8
Federal Acquisition Service
Phases of Extended Storage
Phase 1 – Packing, loading & draying the shipment into the
warehouse Effective date November 1, 2013
Phase 2 – Delivery out & unpacking Effective date May 1, 2014
9
Federal Acquisition Service
Requirements to Participate
Must be a CHAMP approved TSP
New performance bond = $20,000
New Trading Partner Agreement (TPA) signed
File rates for extended storage
Recommend CHAMP rates be filed
10
Federal Acquisition Service
Extended Storage Info - Phase 1 A TSPs current scope will be used for extended
storage Rates will be solicited on a per State basis, similar
to the CHAMP-Int’l program CSI scores will not carry over Query screen will be sorted by price (i.e. Value
Index score) Non-alternating SRO codes: EXSTG & CCNTL
11
Federal Acquisition Service
Charges for Extended Storage – Phase 1
Rates solicited based on per hundred weight (per 100 lbs of the shipment)
Packing/Loading/Drayage – services combined Fuel within 50 miles from origin - warehouse Warehouse Handling contains “In” Charges – one
time charge Specific accessorial services combined into rate Coverage area is domestic CONUS, including
points within Alaska
12
Federal Acquisition Service
Delivery Out of Extended Storage Phase 2: (in progress) Delivery out rates include: line haul from
Section 3 of the GSA-01 (when shipment is delivered 50+ miles)
Discount offered will be displayed in TMSS, similar to surface charges in CHAMP
Fuel surcharge is applicable on delivery out ??How to handle unpacking charges;
accessorial services; and warehouse handling “out”??
??How to solicit rates (such as traffic lanes)?? Screen shot - - - next slide
13
Federal Acquisition Service
14
Federal Acquisition Service
FAQs Can an SIT shipment be converted to extended storage? Yes, if the
Govt is paying the costs. Costs will only include the monthly storage rates.
What happens when the shippers extended storage time has expired and the goods are still in storage? The agency should provide the TSP with a 30 day notice of expiration. If the goods are still in storage, the employee will be responsible for the additional days. Amount should be pro-rated at full valuation.
Can a TSP store a shipment at a different location for convenience? Yes, with agency approval. However, if a closer facility is available, storage charges will be based on the nearest facility.
Can the shipper store a boat in extended storage? Boats, trailers, airplanes, & vehicles are excluded from the XTOS. Similar type items, such as jet skis, may be stored with the approval of the agency.
Federal Acquisition Service
FAQs Continued
I have a shipment in storage for 18 months. How should I bill the agency? The agency will determine & communicate the time frame to invoice for services. The 1st invoice shall not be submitted greater than 1 year from the date services began.
What supporting documentation do I need to include with my invoice? May include, but is not limited to: Copy of the pre-move survey; Weight tickets; Extended storage authorization; Authorizations for approval of additional services; Advanced charges; Miscellaneous charges; DD Form 619, 619-1, or other comparable commercial form; Original Bill of Lading
Federal Acquisition Service
FAQs Continued
What services are included for delivery out of extended storage? Phase 2 will include delivery out, unpacking, handling of debris removal, etc.
Must a shipment be delivered to a residence? No. A shipment can be delivered to an alternate location listed on the Bill of Lading.
Are all accessorial charges inclusive in the rates? No. Specific accessorials require agency approval, and are listed in the current Request for Offers.
17
Federal Acquisition Service
FAQs continued
How long does a shipper have to file a claim? Concurrent with CHAMP, the owner has 75 days to file a written claim. After 75 days, the burden of proof shifts to the owner/agency to prove the damage occurred while in the TSP’s possession. Per the Federal Management Regulations (FMR) 102-118.460, an agency has up to six year to file a loss/damage claim.
May a shipper purchase additional valuation above the full valuation amount of $6? Yes. The cost will be .85/.18 cents per $100 of additional valuation.
18
Federal Acquisition Service
FAQs continued
What types of storage facilities are approved under the XTOS? Warehouses that maintain liability insurance consistent with commercial practices, or an approved DOD/DOS certified warehouse.
Other criteria:All facilities & warehouses must not be in or near a flood plain area. All facilities & warehouse must physically be located within CONUS or Alaska. All facilities & warehouses shall be within 50 miles from the origin municipality (unless approved).
19
Federal Acquisition Service
Industrial Funding Fee (IFF) Extended storage IFF paid per applicable
quarter to GSA, as with the IFF for CHAMP shipments
2.50% of the net shipment charges billable to the Government, to include the following services: packing, loading, drayage, warehouse handling in charges, & first month of extended storage.
Extended storage & CHAMP IFF may be sent together, with explicit instructions on which IFF is for each program.
20
Federal Acquisition Service
Extended Storage Reporting Shipment reports will be filed electronically in TMSS in
a separate module. Reporting will be completed in TMSS Reporting elements will include:
State of storage location SCAC Dates of packing & into extended storage Type (EXSTG or CCNTL) Reporting year/quarter Agency FAIC Employee last name Amount invoiced to agency per quarterly basis
Screen shot - - - next slide 21
Federal Acquisition Service
22
Federal Acquisition Service
Assistance from Industry Phase 2, Delivery out of extended storage Unpacking Accessorials
Common commercial practice Practical / Competitive
23
Federal Acquisition Service
24
QUESTIONS ???
THANK YOU
DONNA JACK
Chief, Audit Policy & Review Branch
Transportation Audits Division
U.S. General Services Administration
U.S. General Services Administration
Federal Acquisition Service
U.S. General Services Administration
U.S. General Services Administration. Federal Acquisition Service.
IAM Annual MeetingMilitary and Government Affairs Panel
Donna Jack
Transportation Audits Division, GSAOctober 2013
Agenda
27
Household Goods Offsets
Web-Protest Program
Top 5 Overcharges
Key Audit Issues TARPs System Glitch Shuttle NOCs Protests
28
Status of DoD Household Goods Offsets
Up to date on entering Overcharges If you have an agreement on file with GSA no overcharges are being entered If you do not agree with overcharge… Dispute it!
Month Entered Summary
Number of Overcharges
Entered
Amount of Entered
Overcharges
Number of Collected
Overcharges Amount
Received by GSA Outstanding
Entered Overcharge
Outstanding Cumulative
Amount
Phase I Totals August 458 $ 344,857.47 356 $ 256,901.52 102 $87,955.95
Phase II Totals August 5750 $4,268,714.10 4005 $ 2,846,069.38 1745 $1,422,321.64
Phase III
Grand Total August 6208 $ 4,613,571.57 4361 $ 3,102,970.90 1,847 $ 1,510,600.67
Web Protest Program (Web-TARPS)
29
GSA developed a process in which Transportation Service Providers (TSPs) can log in their own overcharge protests into the TARPS system via the internet
Apr 11, 2012 - First protest was entered into TARPS by the TSP and backup documentation was received in TSP protest mailbox
Jul 31, 2012 - GSA extended the opportunity to participate to all TSPs
To date, 351 TSPs are participating (329) are HHGs Anyone interested in participating contact [email protected] or (703) 605-2881
30
Issues Top HHG Overcharges
2,985
Auxiliary Services 2,903
Terminations 1,288
Duplicate Payments 1,206
SIT Charges 1,016
Linehaul Charge Error 246
Top Issues
Weight Adjustments
31
What TSPs can do to avoid overpayments
Ensure rates, dates, weights, origins and destinations are correct on invoices
Ensure data in shipper system and payment system matches
Work with shipper to ensure data is accurate
Provide documentation or data to support billings
Provide shipment information in notes section in systems
32
Transportation Accounts Receivable/Payment System Glitch
• GSA recently discovered, due to a system glitch, 1285 Notices of Overcharge (NOCs) were closed in TARPS indicating GSA has received payment from Transportation Services Provider (TSPs)
• GSA has not received payment for these transactions
• GSA is in the process of reversing the status on these transactions
• TSPs are liable for paying or disputing these transactions
• TSPs will be notified of the NOCs involved
Key Audit Issues
33
Key Audit Issues
Shuttle Notices of Overcharge
• Shuttle service incorrectly applied to/from Storage
• Short distance pickup/delivery by local agent
• GSA is working with SDDC to determine proper interpretation of rate applications/governing provisions
• GSA will provide direction to contract auditors when a decision is made
34
Key Audit Issues
Protesting Notice of Overcharge (NOC)
• Must protest an NOC or offset action will occur
• Protest must come to GSA, not SDDC
• Can only submit 2 protests
• If protest is denied and funds are collected, TSP can file a claim to GSA
• If claim is denied, TSP can present claim to CBCA
Points of Contact
Director Joyce Clark(703) [email protected]
Deputy DirectorVacant
Accounts & CollectionsBranch Chief
Jeffrey Adcock(202) [email protected]
Audit Policy and ReviewBranch Chief
Donna Jack(703) [email protected]
Disputes ResolutionBranch Chief
George Thomas, Jr.(703) 603-8188 george.j.thomas @gsa.gov
Carrier Claims Status Inquiry
Cynthia Pope(703) [email protected]
35
36
Questions?
CHARLES OLDEN
Branch Chief, Transportation Management
Transportation & Travel Management
U.S. Department of State
3838
Department of State
Transportation and Travel Management Division
Charles OldenBranch Chief, Traffic Management
Washington, DC
3939
The Department of State Transportation Division supports customers worldwide. Our clients, both overseas and domestic, are primarily Department of State Foreign and Civil Service employees, but they may also be members of other U.S. Government Agencies involved in foreign affairs and operations.
The Department of State (DOS) maintains about 262 diplomatic and consular posts.
What do we do?
4040
30,000 Personal Effects (PE) shipments.
13,000 door to door PE shipments
Approx 36.5 million pounds of long-term personal property storage
20,000 Official shipments (supplies, materials, furnishings, official vehicles)
What did we do in 2012?
41
Locations
4242
International Shipping Methods
Transportation Operations utilizes two methods for the shipment of Household Effects:
The preferred method is the
International Through Bill of Lading Program (ITGBL)
The alternate method of shipping is the
Direct Procurement Method (DPM)
4343
Why is the ITGBL method preferred?
Cost effective One stop shopping Fiscal responsibility and accountability Visibility Overall best value in today’s economy Reduction of paperwork at Post Insurance
Replacement valuation included Maximum liability is $8.50 times the net weight of the
shipment; caps at $153K for an 18,000 Lb shipment
Best Value
All our contracts and tenders of service require service providers to meet both low cost and high quality.
44
4545
Important Quality ElementsThe ITGBL program is divided into four critical quality elements
Performance of physical servicesEstablished Transit Times (RDD)Reporting RequirementsCommunications
TSP is expected to meet all critical elements
Performance Metrics
Customer Satisfaction Surveys
Missed RDD analysis
Issue Log for recording all service failures and
successes
Inspection teams in the DC area and abroad
Response to service failures and challenges
Claims report46
4747
DOS has specific requirements under GSA RFO
Section 3 The RFO contains a list of transit requirements and an
explanation on how to calculate transit times Required transit times for surface shipments are listed in
the RFO Transit times are evaluated every 2 years Air shipments have an 18 day transit requirement
Transit Time Requirements
4848
DOS has specific requirements under GSA RFO Section 3 New liftvans that meet USDA/APHIS WPM (Wood
Packaging Material) ISMP 15 guidelines Triwalls (not to exceed 15 cuft) for airfreight Punctual arrival to residence Customer friendly and efficient crews Minimum of one English speaking crew member with the
ability to communicate with any crew members that do not speak English
Added Value ImportantQuality Factors
4949
Communications
•Employee•Embassy•Booking DA
5050
Destination Agents
Throughout the year we receive changes to the list of agents from all Posts. We consolidate this list once a year and provide it to GSA for inclusion in the RFO.
Contact the Embassy or Consulate if you are a local, or overseas agent, interested in doing business as an origin or destination agent for DOS door to door shipments.
Overseas agents that are not on the GSA RFO under section 9 cannot be utilized for State shipments.
5151
Direct Procurement
•Local Pack and Crate/Long Term Storage Contract
•Out of Town Pack Tender
•3 Airfreight Tenders
•3 Drayage Tenders Freight\Vehicles
•Consolidated Receiving Point Contracts at each Despatch Facility
As a result of an Inter-Agency Cooperation Initiative between DOD, USCG, and Department of State. DOS will begin coordinating all DOD shipments assigned to or departing from a DOS mission.
DOD-State Department Personal Property
Program
DOD/DOS
– The program, effective October 1, 2013, is the result of a successful three year pilot program involving 25 DOS posts – DOS managed over 2,400 DOD shipments during the pilot period
– DOS has been successfully shipping all DOD POVs to and from DOS posts for several years – and average of 850 DOD POVs per year are shipped by DOS
5454
Many cost savings changes were implemented yet quality and employee satisfaction remain high. Through the use of automation we have total visibility of cost and performance metrics.
For additional information or questions contactAndrew NeilsonITGBL Team [email protected]
Summary
LT COL GINA PREVETT
DPS Program Manager, Acquisition Directorate
JPMO HGGS
Scott Air Force Base
56
Together, we deliver.
UNCLASSIFIED
UNCLASSIFIED
Defense Personal Property System (DPS) Briefing Type: Informational
for
IAM Annual Meeting
9 Oct 2013
Lt Col Gina Prevett DPS
57
Together, we deliver.
UNCLASSIFIED
UNCLASSIFIED
• DPS Program Review– Recently Implemented Releases– Invoicing Downtime and Way Ahead– Notional Releases – FY14– Notional Releases – FY15-18– Contract Re-Compete Update– Performance Improvements
– Engagements
Agenda
Lt Col Gina Prevett/TCAQ PEO-T/618-220-4526/9 Oct2 013
58
Together, we deliver.
UNCLASSIFIED
UNCLASSIFIED
DPS Recently Implemented Releases
Release Functionality Date1.6 One Time Only/Boats/Mobile Home OTO Moves, Rate
Filing Submission for Peak/Non Peak Line haul and Storage in Transit discounts
30 Aug 2013
1.6.2 Siebel Product Upgrade (required for Authority-to-Operate [ATO] security compliance)
19-20 Sep 2013
1.6.2 Oracle Business Intelligence (OBI) Product Upgrade (required for ATO security compliance)
19-20 Sep 2013
Lt Col Gina Prevett/TCAQ PEO-T/618-220-4526/9 Oct 2013
59
Together, we deliver.
UNCLASSIFIED
UNCLASSIFIED
Invoicing Downtime
• Had a scheduled, extended system outage during Release 1.6 implementation (30 Aug 2013)
• When the system is down, invoices sent into the system reject, get sent back to US Bank, and used to get attached to the next file in the queue to be sent into the system
• During extended outages, the file grows and continues to grow until the system comes back on-line at which point the invoice is supposed to process in the system.
• Invoice files grew so large that it caused the system to lock up following the 1.6 release.
Lt Col Gina Prevett/TCAQ PEO-T/618-220-4526/9 Oct 2013
60
Together, we deliver.
UNCLASSIFIED
UNCLASSIFIED
Invoicing Downtime (cont’d)
• US Bank intervened to assist in a workaround to get invoices flowing again.
• US Bank broke the larger size file into smaller batches more likely to process through the system, and the workaround was successful.
• With a large # of invoices backlogged (≈35K), it took time to clear the backlog.
• Invoices are now processing, as expected.
Lt Col Gina Prevett/TCAQ PEO-T/618-220-4526/9 Oct 2013
61
Together, we deliver.
UNCLASSIFIED
UNCLASSIFIED
Invoicing Issue – Way Ahead
• Root cause analysis for the problem is still in progress.• Once the root cause is known, then the PMO will ensure that a
solution is identified and coordinated.• Additional measures taken to mitigate risk of occurring again
• PMO now coordinates with GEX to stop the flow of invoices into the system prior to a major outage (this prevents invoices from getting “stuck”)
• US Bank plans to leave their workaround in place to mitigate the risk of the file size becoming too large again to process through the system
• Workarounds were tested during subsequent Siebel/OBI outage; invoices processed as expected
Lt Col Gina Prevett/TCAQ PEO-T/618-220-4526/9 Oct 2013
62
Together, we deliver.
UNCLASSIFIED
UNCLASSIFIED
DPS Notional Releases – FY14
Functionality Date
Out-of-Cycle SCR Release (content pending) 2nd QTR FY14
Siebel v8.1.1.11 COTS Product Upgrade 3rd QTR FY14
Windows 2008 COTS Product Upgrade 3rd QTR FY14
Stand-up of Initial WebMethods Virtualized Environment (Test and Training; Production to follow in FY15) 4th QTR FY14
Database Partitioning (improves performance for database queries)
4th QTR FY14
Rate Filing Redesign(replaces obsolete Manugistics COTS product with Java code) 4th QTR FY14
Lt Col Gina Prevett/TCAQ PEO-T/618-220-4526/9 Oct 2013
63
Together, we deliver.
UNCLASSIFIED
UNCLASSIFIED
DPS Notional Releases FY15 – FY18Functionality Date
Document Imaging 3rd QTR FY15
Non-Temporary Storage, Re-designed User Interfaces for Self-Counseling and Counseling, Document Imaging, Web Services for TSP Data Transfer
4th QTR FY15
Claims Redesign 1st QTR FY16
Intra-Country Moves, Re-designed Shipment Management User Interfaces, and Incremental Migration of Existing Functionality to New Architecture
4th QTR FY16
Digital Signature 4th QTR FY17
Direct Procurement Method and Incremental Migration of Existing Functionality to New Architecture
4th QTR FY17
Automatic Reweighs and Joint/Combined Spouse Moves 4th QTR FY17
Archiving Capability 3rd QTR FY18
Lt Col Gina Prevett/TCAQ PEO-T/618-220-4526/9 Oct 2013
64
Together, we deliver.
UNCLASSIFIED
UNCLASSIFIED
DPS Contract Re-Compete Update
• Contract award and start tentatively scheduled for Oct 2013
Lt Col Gina Prevett/TCAQ PEO-T/618-220-4526/9 Oct2013
65
Together, we deliver.
UNCLASSIFIED
UNCLASSIFIEDUNCLASSIFIED
Performance - Improvements
DISA Network Migration Update – Apr 2013– Changed from 3 nodes to 1 node into DPS– Counseling & Shipment Management response time
• 5-10% improvement after migration– Network Bandwidth Usage
• Post Migration: 9% reduction
Cache Control – Aug 2013– Implemented industry best practices configuration on DPS web servers– Reduced client to web servers file requests by 32%– Reduced network traffic by 5%
• Planned network device configuration settings will automatically limit the number of hits to the short-fuse page
Lt Col Gina Prevett/TCAQ PEO-T/618-220-4526/9 Oct 2013
66
Together, we deliver.
UNCLASSIFIED
UNCLASSIFIEDUNCLASSIFIED
Additional Improvements
13 May 2013 - Move.mil redesign was implemented– Positive feedback from all Services
– Will make quarterly improvements to website (next update scheduled for 15 Oct)
Lt Col Gina Prevett/TCAQ PEO-T/618-220-4526/9 Oct 2013
67
Together, we deliver.
UNCLASSIFIED
UNCLASSIFIED
• 15-17 Oct 2013 – National Defense Transportation Association (St Louis Area)
Engagements
Lt Col Gina Prevett/TCAQ PEO-T/618-220-4526/9 Oct 2013
68
Together, we deliver.
UNCLASSIFIED
UNCLASSIFIED
Feedback from the community?
Lt Col Gina Prevett/TCAQ PEO-T/618-220-4526/9 Oct 2013
LT. COL MICHAEL ERHARDT
Deputy Chief of Staff for Personal Property
Military Surface Deployment and
Distribution Command
Scott Air Force Base
Military Surface Deployment& Distribution Command
DoD Personal Property Program (DP3) Update
9 October 2013
Lt Col Michael Erhardt
Deputy Chief of Staff for Personal Property
IAM Conference
Delivering Trust
Agenda
• 2013 peak season review
• Way ahead
71
Delivering Trust
Peak Season 2013
OVERALL…• 2013 peak season less challenging than previous three
under DPS• Some capacity (driver availability) issues• Peak season telecon kept stakeholders informed
What Worked• Pre-peak season webinars• Rates available 22 March• Weekly telecons• Peak season adjustments• DPS data/metrics better understood
72
Delivering Trust
Booking Progression
73
5/17 5/24 5/31 6/7 6/14 6/21 6/28 7/5 7/12 7/19 7/26 8/2 8/9 8/16 8/23 8/30 -
5,000
10,000
15,000
2012 Pickups
In Self-Counseling
In Counseling
In PPSO Queue
Offered (Not Accepted)
Awarded (Pickup)
5/17 5/24 5/31 6/7 6/14 6/21 6/28 7/5 7/12 7/19 7/26 8/2 8/9 8/16 8/23 8/30 -
5,000
10,000
15,000
2012 Pickups
In Self-Counseling
In Counseling
In PPSO Queue
Offered (Not Accepted)
Awarded (Pickup)
5/17 5/24 5/31 6/7 6/14 6/21 6/28 7/5 7/12 7/19 7/26 8/2 8/9 8/16 8/23 8/30 -
5,000
10,000
15,000
2012 Pickups
In Self-Counseling
In Counseling
In PPSO Queue
Offered (Not Accepted)
Awarded (Pickup)
5/17 5/24 5/31 6/7 6/14 6/21 6/28 7/5 7/12 7/19 7/26 8/2 8/9 8/16 8/23 8/30 -
5,000
10,000
15,000
2012 Pickups
In Self-Counseling
In Counseling
In PPSO Queue
Offered (Not Accepted)
Awarded (Pickup)
5/17 5/24 5/31 6/7 6/14 6/21 6/28 7/5 7/12 7/19 7/26 8/2 8/9 8/16 8/23 8/30 -
5,000
10,000
15,000
2012 Pickups
In Self-Counseling
In Counseling
In PPSO Queue
Offered (Not Accepted)
Awarded (Pickup)
5/17 5/24 5/31 6/7 6/14 6/21 6/28 7/5 7/12 7/19 7/26 8/2 8/9 8/16 8/23 8/30 -
5,000
10,000
15,000
2012 Pickups
In Self-Counseling
In Counseling
In PPSO Queue
Offered (Not Accepted)
Awarded (Pickup)
5/17 5/24 5/31 6/7 6/14 6/21 6/28 7/5 7/12 7/19 7/26 8/2 8/9 8/16 8/23 8/30 -
5,000
10,000
15,000
2012 Pickups
In Self-Counseling
In Counseling
In PPSO Queue
Offered (Not Accepted)
Awarded (Pickup)
5/17 5/24 5/31 6/7 6/14 6/21 6/28 7/5 7/12 7/19 7/26 8/2 8/9 8/16 8/23 8/30 -
5,000
10,000
15,000
2012 Pickups
In Self-Counseling
In Counseling
In PPSO Queue
Offered (Not Accepted)
Awarded (Pickup)
5/17 5/24 5/31 6/7 6/14 6/21 6/28 7/5 7/12 7/19 7/26 8/2 8/9 8/16 8/23 8/30 -
5,000
10,000
15,000
2012 Pickups
In Self-Counseling
In Counseling
In PPSO Queue
Offered (Not Accepted)
Awarded (Pickup)
5/17 5/24 5/31 6/7 6/14 6/21 6/28 7/5 7/12 7/19 7/26 8/2 8/9 8/16 8/23 8/30 -
5,000
10,000
15,000
2012 Pickups
In Self-Counseling
In Counseling
In PPSO Queue
Offered (Not Accepted)
Awarded (Pickup)
5/17 5/24 5/31 6/7 6/14 6/21 6/28 7/5 7/12 7/19 7/26 8/2 8/9 8/16 8/23 8/30 -
5,000
10,000
15,000
2012 Pickups
In Self-Counseling
In Counseling
In PPSO Queue
Offered (Not Accepted)
Awarded (Pickup)
5/17 5/24 5/31 6/7 6/14 6/21 6/28 7/5 7/12 7/19 7/26 8/2 8/9 8/16 8/23 8/30 -
5,000
10,000
15,000
2012 Pickups
In Self-Counseling
In Counseling
In PPSO Queue
Offered (Not Accepted)
Awarded (Pickup)
5/17 5/24 5/31 6/7 6/14 6/21 6/28 7/5 7/12 7/19 7/26 8/2 8/9 8/16 8/23 8/30 -
5,000
10,000
15,000
2012 Pickups
In Self-Counseling
In Counseling
In PPSO Queue
Offered (Not Accepted)
Awarded (Pickup)
5/17 5/24 5/31 6/7 6/14 6/21 6/28 7/5 7/12 7/19 7/26 8/2 8/9 8/16 8/23 8/30 -
5,000
10,000
15,000
2012 Pickups
In Self-Counseling
In Counseling
In PPSO Queue
Offered (Not Accepted)
Awarded (Pickup)
5/17 5/24 5/31 6/7 6/14 6/21 6/28 7/5 7/12 7/19 7/26 8/2 8/9 8/16 8/23 8/30 -
5,000
10,000
15,000
2012 Pickups
In Self-Counseling
In Counseling
In PPSO Queue
Offered (Not Accepted)
Awarded (Pickup)
5/17 5/24 5/31 6/7 6/14 6/21 6/28 7/5 7/12 7/19 7/26 8/2 8/9 8/16 8/23 8/30 -
5,000
10,000
15,000
2012 Pickups
In Self-Counseling
In Counseling
In PPSO Queue
Offered (Not Accepted)
Awarded (Pickup)
Data pulled 5/13/2013 - 8/26/2013
Delivering Trust
Peak Season Shipments
74
COS 23%
COS D97%
COS 498%
COS T2%
COS 77%
COS 810%
COS J83%
Data pulled 8/26/2013
2011 2012 2013
dHHG 77,230 83,807 82,578
iHHG 30,203 46,621 42,172
iUB 27,527 30,544 27,046
TOTAL 134,960 160,972 151,796 5/17
5/24
5/31 6/
76/
146/
216/
28 7/5
7/12
7/19
7/26 8/
28/
98/
168/
238/
30 -
20,000
40,000
60,000
80,000
100,000
120,000
140,000
160,000
180,000
Cumulative Shipment Pickups
2011
2012
2013
Delivering Trust
3/15
3/22
3/29 4/
54/
124/
194/
26 5/3
5/10
5/17
5/24
5/31 6/
76/
146/
216/
28 7/5
7/12
7/19
7/26 8/
28/
98/
168/
238/
300
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
Award
Pickup
Deliver
Sh
ipm
ents
Peak Season Timeline
75
Award Pressure Pickup Pressure Delivery Pressure
Extended Short Fuse Window
Unlimited Refusal Policy
Weekly Telecons
Rates filed Mar 22; peak season offers jumped immediately
Offer Peak: May 17 Pickup Peak: Jun 28
2013 volume slightly less than 2012
Delivery Peak: Aug 9
Delivering Trust
3/15
3/22
3/29 4/
54/
124/
194/
26 5/3
5/10
5/17
5/24
5/31 6/
76/
146/
216/
28 7/5
7/12
7/19
7/26 8/
28/
98/
168/
238/
300%
5%
10%
15%
20%
25%
30%
35%
40%
45%
2011
2012
2013
Per
cen
tag
e o
f S
hip
men
ts
Short Fuse Expansion
76
Extended short fuse window decreased workload on PPSO and allowed TSPs flexibility to accept shipments and meet our customers demandsNormally, shipments are awarded via short fuse method if the award date is within 5 days of desired pickup date. The short fuse window was extended for a total of 24 business days.
Short Fuse Window Expanded
Short Fuse Expansion:• 25 Jun-18 Jul 2012• 3 Jun-5 Jul 2013
Goo
d
Delivering Trust
3/15
3/22
3/29 4/
54/
124/
194/
26 5/3
5/10
5/17
5/24
5/31 6/
76/
146/
216/
28 7/5
7/12
7/19
7/26 8/
28/
98/
168/
238/
300
5
10
15
20
25
30
35
40
45
Ave
rag
e D
ays
Aw
ard
to
Des
ired
Pic
kup
Shipment Lead Time
77
Average Lead Time
2011 2012 2013*
19.7 days 21.8 days 23.2 days
Change
10.7% 6.4%
Description: Measure of the time difference between TSP award date and desired pickup date. By measuring this timeframe, we attain a relative measure of how much 'lead time' the government is providing to industry so that they may align resources to support moves and so they may comply with DTR premove survey requirements, etc.
Goo
d
Delivering Trust
Way Ahead
Complete Open Season Make peak season adjustments permanent in DTR Part IV
• Unlimited Refusals remain: 15 May-31 July• Short Fuse window expansion (5-10 days): 10 June-5 July 2013
Continue DP3 Telecons Rate Filing: solicitations early December; rate filing in February 2014 Training (webinars, telecons) for TSPs/PPSOs
• Domestic peak/non-peak rate filing• Standardization
Personal Property Forum: 29 October (Fairview Heights, IL)
78
Delivering Trust
QUESTIONS
79
JIM WISE & BRYAN VICKERS
PACE, LLP
International Association of Movers (IAM) Annual Meeting
October 9, 2013Vancouver, BC, Canada
Jim Wise & Bryan Vickers, Pace, LLP
2013 GOVERNMENT SHUTDOWN OVERVIEW & IMPACT
TIMELINE OF EVENTS• September 20th – U.S. House sends spending bill to
the Senate, funding the government through Dec. 15th, with funding for the ACA significantly depleted.
• September 24th – Sen. Ted Cruz (R-TX) and other Republican Senators give speeches on Senate floor against Healthcare Law.
• September 30th – House and Senate volley legislation back and forth – no agreement is reached.
• October 1st – Shutdown begins at Midnight – Healthcare exchanges open at 8 am later that morning.
Government Shutdown – What’s Next? Or Likely..
• Last night, the President agreed to hold formal negotiations with
Republicans on a short-term deal, should they agree to fund the
government and meet funding obligations (debt ceiling).
• Likely topics for discussion – 1-year delay of the individual
mandate (businesses were granted this), repeal of medical
device tax (est. to generate $30 billion over 10 years), removal of
health care subsidies for Members of Congress and staff,
tweaking of “full-time” employees under the ACA from 30 hours
per week to 40.
• Speaker Boehner has rejected this idea (so far) – situation is
fluid however, and may change if some concessions with ACA
are agreed to.
Government Impasse – Debt Ceiling Limit
• To be clear, the approaching deadline to increase nation’s debt
limit is done only to pay existing borrowing obligations – it by
itself begins no new spending measures.
• October 17th is deadline – Treasury Secy Jacob Lew says the
U.S. will have $30 billion on hand at that point – unable to meet
its roughly $60 billion in daily obligations.
• At stake – Administration officials and most financial analysts
forecast world markets dropping sharply, significant loss in
value of the USD, and sharp increases for U.S. borrowing costs.
Government Impasse – Debt Ceiling Limit
• Many Republican legislators insist that the October
17th deadline not as final as being made out by the
Administration.
• They believe with tax revenues coming in, key
obligations will be met, and payments made in order
of priority.
• This contrasting view on the breach of the debt
ceiling limit adds complications to the negotiations
and talks.
Stock Market Activity & Financial Impact• Stock market took the government shutdown on October 1st in
stride.
• This has not been the case as the US pushes closer to breaching the debt ceiling limit – Dow Jones down 500 points over the past two weeks.
• Since Sept. 2012, the Federal Reserve has been buying $85 billion a month in bonds in an effort to keep longer term interest rates down - Federal Vice Chair Janet Yellen to be nominated to succeed Bernake – supporter of efforts to keep interest rates low.
• While this program and buying power will be adjusted downward – indications are it may be tapered, rather than drastically altered.
Federal Agency Activity• On a normal day, the collective Federal Agencies will
post 150-200 rulemakings, notices of action, request for comments and various decisions in the Federal Register.
• The past week has seen the number of postings and related shrink to about 5 or 6 a day.
• Notices now being published are now only those critical and relate to safety and security measures.
• Non-critical Agency meetings cancelled (i.e. next week’s Defense Business Board meeting at Pentagon)
Federal Agency Activity - PCS
• Currently, only those who have PCS orders in hand, prior to October 1st, will be allowed to proceed with their PCS, since their move has been funded by the FY-12 budget.
• All others, should continue with the PCS process, but must wait for funding to be authenticated before they are able to complete their move.
• PCS orders coded “A” for accession and “S” for separation are authorized to continue.
Federal Maritime Commission Due to the Shutdown, the FMC is not not accepting online filings
or applications through its website for the following:
• Service contracts through SERVCON
• Ocean Transportation Intermediary (OTI) applications through the Automated OTI Application (FMC-18)
• Tariff Registration Forms (FMC-1) The Commission’s online databases will not be updated (and most inaccessible) until Agency funding has resumed.
• The Commission will not accept or act on complaints, requests for dispute resolution services, nor ombudsman services.
Questions?
MILITARY & GOVERNMENT
AFFAIRS PANEL
Wednesday, October 8th
, 2013
1:30pm – 3:30pm