eGov/Mil Newsletter: June 5, 2015

June 05, 2015

In this Issue:

  • Intrastate Requalification
  • SDDC Extends Expanded Short Fuse Criteria
  • Carter Calls for Another BRAC Round Despite Opposition In Congress
  • Hours-of-service provision in House bill cited as a reason Obama may veto DOT funding bill
  • House Vote on Transportation Funding Expected June 9
  • DOD & Government Personal Property News & Notes
  • Possible Restructure of the GSA01 Tariff

Intrastate Requalification

On May 15, the Surface Deployment and Distribution Command (SDDC) announced that they would hold an “Intrastate Requalification” for all Transportation Service Providers (TSP) approved to operate within any intrastate channel.

The announcement came on the same day that the requalification period was to begin. The requalification period will run from May 15 through July 1. TSPs will be required to provide the following information to SDDC:

 a. Provide evidence of DoD warehouse approval (e.g. SIT Facility ID) in the state. Exceptions will be considered for TSPs with a DoD approved warehouse in a bordering state.

b. Proof of vehicle ownership, clearly identifying the name of the owner. Include the year, make, and vehicle identification number (VIN). Please submit front and side photographs of all vehicles and equipment.

A number of questions have come out of this data call from SDDC that have not been addressed. IAM has been in contact with SDDC and has encouraged them to issue a clarification message to address these questions. SDDC has indicated they would issue a clarification message as early as today (June 5, 2015).

IAM has also raised concerns with the timing for the data call (the middle of Peak Season) and the authority under which SDDC can issue a requalification. There is no mention of this type of process in the Defense Transportation Regulations (DTR), the 400NG or the Qualifications Document (PAM 55-4) and the particular data elements requested in the requalification also have no foundation in any of the Defense Personal Property Program (DP3) guiding documents.

IAM plans to formally request a delay in the requalification so that an open dialog between the industry and SDDC can take place.

TSPs should continue to move forward with collecting the required data elements and plan on meeting the July 1 SDDC submission deadline.

Source: IAM & SDDC

SDDC Extends Expanded Short Fuse Criteria

In a message issued May 28, SDDC extended the 10-day short fuse shipment criteria through at least June 8 but more likely through July 4.

The message indicates that “SDDC reserves the right to shorten or extend the expanded short fuse period as required to best support the DP3.”

The number of Blackouts by TSPs continues to increase in June and SDDC believes the short fuse expansion is the best available “tool” to help facilitate the TSP’s ability to maximize any capacity they have remaining for the rest of June.

The full message can be found on SDDC’s website.

Source: IAM & SDDC

Carter Calls for Another BRAC Round Despite Opposition In Congress

Defense Secretary Ashton Carter said Thursday that another round of base closures was inevitable despite the repeated rejections by Congress.

"It must be done," Carter said of the Base Re-Alignment and Closure (BRAC) process. "It's unpopular, I get it," but "we can't let tail and not tooth eat our budget," Carter said in response to questions at a town hall meeting in Stuttgart, Germany, with troops from Africa Command.

Read the Full Story

Hours-of-service provision in House bill cited as a reason Obama may veto DOT funding bill

The Obama Administration this week said it will strongly consider vetoing a bill to fund the Department of Transportation for the 2016 fiscal year, citing language in the bill that would reinforce last year’s suspension of some hours-of-service regulations as one of many reasons.

The policy statement issued June 1 by the White House says if the president receives H.R. 2577 as is, “senior advisors would recommend that he veto the bill.”

Read the Full Story

House Vote on Transportation Funding Expected June 9

Republican leaders of the U.S. House announced that final consideration of a fiscal 2016 transportation funding bill likely will occur June 9.

Lawmakers had kicked off debate on the bill and proposed amendments on June 3. Several Republicans took to the floor June 3 and 4 to defend several provisions related to trucking, while some Democratic leaders objected to their inclusion in the legislation.

Read the Full Story

DOD & Government Personal Property News & Notes

Peak Season Summary – Week 22 (Ending May 29)

Week Number 22   3-yr Average   2015
Counseled   9,880   9,289
Awarded   7,852   8,343
Picked up   10,676   11,070


Peak Season Totals

Total Shipments Awarded (Picking up May 15 – August 31) – 72, 843

Total Shipments Awarded (3-yr Average) – 71,773


2015 Peak Season Awards by Market

Domestic HHG (dHHG) – 57% (92% Code D, 8% Code 2)

International HHG (iHHG) – 26%

International Unaccompanied Baggage (iUB) – 17%


Fuel Surcharge for Period 6/15/15 to 7/14/15

The price of fuel was $2.91 per gallon as reported on Monday, June 1 2015 making the upcoming FSC rates for the period 6/15/15 through 7/14/15 as follows:

DOD GBL Domestic HHG / International HHG – 4%

GSA Domestic HHG – $0.00

GSA International HHG and BAG – $0.00

NOTE – You are reading correct above, there is NO fuel surcharge applicable for the specified period. The baseline rate that is used to calculate the fuel surcharge adjustment is $2.999. With the reported cost of fuel now below that baseline amount, a fuel adjustment does not apply.

Possible Restructure of the GSA01 Tariff

The Employee Relocation and Resource Center (ERRC) hosted an online meeting April 21, 2015 to discuss the possible restructure of the GSA domestic tariff, the GSA01.  The overall feel from GSA is that they are looking at making changes to the GSA01 tariff similar to the commercial 400N or military 400NG tariffs. Some of the main discussion points were focused on the bundling of charges, and what should or should not be included. The full slides and comments can be viewed here and here.
GSA’s timeline for this change is tentative, but they are hoping to publish the new tariff prior to the November 2016 rate filing. It will be interesting to see what changes GSA decides to make in the coming months, stayed tuned for more updates on this topic.

Pulled from the latest Daycos Newsletter (May 2015)