eGov/Mil Newsletter: January 12, 2016
In this Issue:
- DP3 2016 Rate Filing Begins
- Navy Issues TENTATIVE Dates for their Household Goods Industry Days
- SDDC Issues DPS Click Count Update
- Some Key New International Tender Accessorial Items to Consider
- Report: DoD needs big cuts in civilian, contract spending in next budget
- DOD & Government Personal Property News & Notes
- Unified Carrier Registration enforcement for 2016 delayed until Feb. 1
- Air Force to Cut Civilian Workforce Through Reductions in Force
The Surface Deployment and Distribution Command (SDDC) opened the window for the first round of the 2016 Defense Personal Property Program (DP3) rate filing on Jan. 10 at 7:00 p.m. EST. Round 1 will remain open through Jan. 15 at 7:00 p.m. EST.
Round 2 of the rate filing will open on Feb. 1 at 7:00 p.m. EST and the window will close on the 2016 DP3 rate filing on Feb. 9 at 7:00 p.m. EST.
At this point SDDC has not determined when the rate rejections issued after the close of Round 1 will be sent to Transportation Service Providers (TSP).
Things to remember:
- TSPs filing for Domestic channels must file four components: Peak Linehaul, Non-Peak Linehaul, Peak SIT, and Non-Peak SIT rates. All four components MUST be accepted by the end of Round 2 in order for the bid to be considered valid. For TSPs filing in both Domestic and International Markets using the Bulk Rate File method, separate Bulk Rate Files must be filed for each market.
- During Round 2, TSPs will not be able to re-file all components of a rate channel (Peak/Non-Peak Linehaul, Peak/Non-Peak SIT, and Peak/Non-Peak Single Factor Rates) if a rate rejection is due to issues with only one of the rate components. Example: If a TSP receives a Round 1 “Error Code 4” rate rejection for the Peak single factor rate (TSP Intl-Rate/Domestic discount is higher than acceptable high for this Channel and Code of Service), the TSP cannot change the accepted Non-Peak Single Factor Rate for the same channel/code of service in Round 2. Likewise, if a TSP receives a Round 1 “Error Code 8” for the Peak Linehaul Bid (TSP Intl-Rate/Domestic discount is lower than the acceptable low for this Channel and Code of Service), The TSP cannot change the accepted Non-Peak Linehaul, the Peak SIT, or the Non-Peak SIT bid for the same Channel/Code of Service in Round 2.
- TSPs using the Bulk Rate Filing method must re-submit all accepted bid components (Peak/Non-Peak Linehaul, Peak/Non-Peak SIT, and Peak/Non-Peak Single Factor Rates). Previously accepted bids will not be replaced/overwritten. As a reminder, TSPs will receive an error code indicating that a specific bid component was accepted in the Round 1 rate filing period. Note: TSPs using Workbench cannot re-file accepted bid components.
- TSPs may submit rates in Round 2 for any channel/COS regardless if the TSP filed rates in Round 1; however, TSPs are reminded that Round 2 is their last chance to file rates and any rates rejected at the end of Round 2 cannot be refiled.
A copy of the most recent DP3 Rate Filing User Guide can be found on the IAM website.
Leading up to the rate filing, IAM heard from a significant number of members regarding the need for a possible delay in the rate filing. Coming out of the December holiday season and the second Customer Satisfaction Survey (CSS) “mini-appeal” period, some members felt that they had not been provided adequate time to properly prepare for the rate filing.
IAM reached out to SDDC and opened discussions regarding a possible delay. After numerous written and telephonic discussions, SDDC decided that their timeline had been communicated to industry in a timely manner and the rate filing should go on as scheduled.
Source: IAM & SDDC
The Naval Supply System Command’s (NAVSUP) Global Logistics Support (GLS) Household Goods Office has tentatively announced the schedule for their Navy Household Goods Industry Days.
These meeting still have not yet received final approval from Navy leadership but that approval is expected in the very near future. The GLS Household Goods Office thought it was it important to get the schedule in front of industry so they could establish tentative dates and locations on their calendars.
Tuesday, March 1, 2016
0800 – 1600
Doubletree by Hilton Norfolk Airport
1500 North Military Highway
Norfolk VA 23502
San Diego, CA
Tuesday, March 15, 2016
0800 – 1600
Anchors Catering & Conference Ctr
2375 Recreation Way/Yama St
San Diego CA 92136
Tuesday, March 29, 2016
0800 – 1600
Holiday Inn Hotel & Suites
620 Wells Rd
Orange Park, FL 32073
Source: IAM &Navy GLS
Following the week-long Defense Personal Property System (DPS) outage in mid-December, SDDC and the DPS Program Office are being quite diligent in ensuring that TSPs are not violating the DPS click count limits, even by a single click. The following message was issued on Dec. 24.
TSPs need to follow the click count limits to the letter of the law or face the possibility of punitive action and being completely locked out of DPS. As stated in the message, SDDC believes that excessive TSP load on the system is a contributing factor to the degraded performance in DPS.
IAM has communicated to SDDC and the DPS PMO that it does not believe that TSP load was in any way a contributing factor to the DPS outage. It appears that the true reason for the outage has yet to be determined.
Source: SDDC, IAM & DPS PMO
It is critical to review all of the changes to the both the 2016 International Tender and 400NG. However, here are three accessorial items that should be highlighted when considering rate formulation and will directly affect both TSP and agent compensation.
- Reweighs - Item 505 of the IT-16
“The TSP must enter the shipment weight into DPS prior to the shipment arrival to allow the customer or PPSO the opportunity to request a reweigh. For shipments pending reweighs, TSPs must enter reweigh information into DPS prior to submitting any invoices. Invoices for shipments pending reweigh will be disputed or denied until the reweigh is performed. TSPs must be cognizant of reweigh requests and must accomplish requested reweighs prior to the actual commencement of unloading of the shipment for delivery or into storage.”
It is unclear at this point how SDDC expects International TSPs to accomplish this item. This appears to be a domestically focused requirement that has been added to the International Tender. How can an international shipment reweigh be completed if one is requested as a shipment is going into storage? Will a TSP/agent be required to unload the crates to obtain a tare weight or will the origin tare weight be accepted?
IAM and SDDC are still in discussion regarding this item.
- Crating – Item 508
SDDC has limited the billing size for crates:
Billing Note 4: Regardless of the actual cubic feet of the crate provided, compensation for internal crates will not exceed 3 inches beyond any single dimension (length, width, or height) of the item being crated. For example: an invoice for an internal crate for an item with dimensions of 39 inches x 71 inches x 0.5 inches will not exceed 42 inches x 74 inches x 3.5 inches, or a total 6.29 cubic feet.
Billing Note 5: Regardless of the actual cubic feet of the crate provided, compensation for external crates will not exceed 5 inches beyond any single dimension (length, width, or height) of the item being crated.
SDDC has also required all crating be approved by the PPSO even for motorized vehicles, which in the past had been automatically approved. They have also prohibited the approval of crating for motorized items that can stand alone.
Subject to PPSO approval, additional external crating/containers may be authorized for item(s) that may require additional external crating such as motorcycles, mopeds, mini-bikes, scooters, etc. Additional external crating should not be approved for items that can stand alone such as motorcycles with more than two wheels, ATVs, Jet Ski with trailer, trailers, etc.
- Item 215 – Pickup or deliver at Commercial Warehouse
No longer will compensation be given for pickups or delivery at mini-storage warehouses if the pickup or delivery is the primary location shown in Block 18/19
Item 215 Pickup or Delivery at Commercial Warehouse
a. When the “Primary” Pickup (Block 19) or Delivery (Block 18) is a commercial warehouse rented by the DOD customer, the TSP is “required” to enter the facility, at “no additional cost”, to service the shipment IAW with Item 223 or 224.
b. If an “Additional” pickup or delivery is requested at a commercial warehouse rented by the DOD customer, upon PPSO request, labor rates may apply (with PPSO pre-approval) utilizing item code 509.
Report: DoD needs big cuts in civilian, contract spending in next budget
The Department of Defense has been following a congressional directive to reduce spending on civilian and contract employees, the department told the Government Accountability Office. However, GAO investigators say they can't find the data to back this up.
GAO looked into whether the DoD has been complying with a mandate in the 2013 National Defense Authorization Act to bring down staffing levels and reduce expenses on the civilian side on par with similar reductions to military personnel, which total about 7 percent since 2012.
Within Change 2 to the IT-15, there were some base regionalizations effective Jan. 1. The Item 500 GBLOC table has now been released, listing the affected locations highlighted in red. The impacted areas are: Fleet Logistics Center, Jacksonville, FL (CNNQ), where a number of counties have been added; and Fort Campbell, KY (FAAT), listed under Kentucky & Tennessee will now be updated to JPPSO Mid-Atlantic, VA (BGAC).
SDDC “What’s New”
- Customs Clearance of Shipments Containing Alcohol – 12/30/15
- Mean Scores for the May 15 – July 31, 2016 Performance Period – 1/6/16
Fuel Surcharge for Period 1/15/16 to 2/14/16
The price of fuel was $2.21 per gallon as reported on Monday, Jan. 4, making the upcoming FSC rates for the period 1/15/16 through 2/14/16 as follows:
- GBL Domestic HHG / International HHG – 0%
- GSA Domestic HHG – $0.00
- GSA International HHG and BAG – $0.00
You are reading correct above, there is no fuel surcharge applicable for the specified period.
IAM Senior VP Chuck White to Speak at CMSA San Diego/Imperial Counties and Central Valley Chapter Meetings
Chuck White will be the headliner at the CMSA San Diego/Imperial Counties Chapter meeting. He will speak about the current state of the industry. The meeting will be on January 13 at Tom Ham’s Lighthouse in San Diego and tickets are $50. Register now to reserve your seat. The next night, Mr. White will be speaking again, this time at the Central Valley Chapter, held in conjunction with a Texas Hold-Em poker tournament fundraiser. Dinner reservations are required.
New Navy E-mail Box for Documents
The new navy email box used to provide documents to Navy sites is intended only for document submission. No other forms of communication with Navy JPPSOs/PPSOs should utilize this new tool.
The following is the original communication on the use of the email received from the Navy POC:
The Navy now has a centralized e-mail account for the TSPs to send in their rated B/Ls, inventories, 619-1s, and other supporting documentation for all Coded HHGs/UB shipments. This does not currently pertain to NTS documentation. That will be rolled out at a later phase. This applies to the following GBLOCs: BGNC, CNNQ, JENQ, LKNQ, MLNQ, and QENQ. We anticipate that the remaining Navy sites will be added in calendar year 16.
This centralized e-mail account will be monitored by our Center of Excellence team who will then transfer the documents into our electronic document storage system, called TRIM. Each of our JPPSOs has access to TRIM so they can look up the documents as they need them.
New centralized account: NAVY_HHG_DOCS@navy.mil.
We ask the TPS follow these business rules.
1. In the e-mail subject line, please put the complete GBL number. (This way it will make it easier to search if there is a need to.)
2. That each e-mail contains the supporting documents for ONLY ONE customer/GBL. Some TSPs are sending multiple GBLs in one e-mail, we then have to split it apart in order to get our documents to flow into our electronic document storage system (TRIM).
3. This is a RECEIVING only e-mail account. The only e-mails being sent to this account are the required supporting documentation that the TSPs are required to submit. This e-mail account is NOT to answer any questions or do any research that the TSPs may have. If the TSPs are looking for answers on something, they need to use the same e-mail accounts at each JPPSO they are currently using to ask those questions.
4. TSPs are only to send the supporting documents ONE time and to this ONE e-mail account- Navy_HHG_DOCS@navy.mil . Please do not submit duplicate documentation or e-mails as this will bog down the process as the technicians have to review each e-mail to ensure we are not processing duplicate documentation
Please note: That once the TSP starts forwarding their supporting documents e-mail to the new account the TSP will no longer be required to forward the same e-mail to the particular JPPSO. Our goal is to alleviate our staff at the JPPSOs from having to receive and TRIM documents.
IAM Military News and Resources Page
The IAM Military News and Resources page provides military-based information in an easy-to-navigate tabbed format. In addition, IAM is linking to SDDC Personal Property updates and categorizing them by topic. Currently, on the SDDC website, these updates are hard to find and are organized chronologically – not a very user-friendly way to display information.
This new system on the IAM site should make it easy for IAM members to easily find the important information they need. Contact Carl Weaver with questions.
Sources: IAM, Daycos, Navy & SDDC
Unified Carrier Registration enforcement for 2016 delayed until Feb. 1
Enforcement of the Unified Carrier Registration Agreement has been delayed until Feb. 1, according to an inspection bulletin released this week by the Commercial Vehicle Safety Alliance. Enforcement was originally set to begin Jan. 1.
The delay gives motor carriers, brokers, freight forwarders and leasing companies an extra month to file their registration fees for the 2016 registration year.
Air Force to Cut Civilian Workforce Through Reductions in Force
The Air Force will soon begin issuing reductions in force to 1,000 civilian employees, the service announced this week.
A 2015 review of Air Force needs identified more than 1,000 “overages” in 48 installations, the military branch said, creating positions that are no longer funded. The agency will attempt to avoid completely separating any employees, however, instead using the RIF flexibility to place them in other jobs or to reduce their pay.