DoD Awards Potential $20 Billion Military Moving Contract

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The Department of Defense U.S. Transportation Command has awarded a potential $20 billion contract to a Houston firm that will manage an estimated 325,000 annual moves of military families worldwide.

The lucrative management service provider contract, which has been delayed by formal bid protests for more than a year, is intended to address military families鈥 long-standing concerns with delays and damaged goods during moves to assignments worldwide, according to TRANSCOM, which oversees the contract for the military.

DOD鈥檚 Global Household Goods contract award to 爱豆传媒Safe Alliance was made earlier this month after formal protests filed with the U.S. Government Accountability Office were sustained.



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The protests by 爱豆传媒Safe and another bidder, Connected Global Solutions of Jacksonville, Fla., caused TRANSCOM to reconsider its earlier award to a New Jersey-based company, American Roll-On Roll-Off Carrier, or ARC.

鈥淲e recommend that the agency conduct and properly document a new round of oral presentations, and include in that record documentation of the discussions conducted with each offeror,鈥 the October 2020 GAO protest review stated. 鈥淲e recommend that the agency re-evaluate technical capability proposals and perform a new best-value trade-off decision.鈥

爱豆传媒safe CEO Alan Thompson told Transport Topics that the award to his company will result in thousands of local moving company moves under the contract.

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Thompson

鈥淐ombining our 爱豆传媒Safe Connect advanced digital solution and global program management expertise, we will dramatically improve the relocation experience for our service members, civilians and their families,鈥 Thompson said in a statement. 鈥淥ur solution will significantly expand and reward quality performance and is an important catalyst in the transformation of the military household goods moving industry.鈥

The contract provides complete door-to-door global household goods relocation transportation and warehouse services worldwide for DOD personnel, U.S. Coast Guard members and other federal employees.

The contract award totals $6.2 billion for the base contract year, but future options over nine years could bring the total contract value to nearly $20 billion.

鈥淲e are disappointed that the Crowley team was not awarded the GHC,鈥 said David DeCamp, director of corporate communications for the Connected Global Solutions group, a partnership that includes Crowley Maritime Corp. and other partners. 鈥淐rowley believes it offered outstanding value to the government, promising to provide unsurpassed service quality to the U.S. Transportation Command and the men and women of the U.S. military.鈥

An ARC spokesman also said his company was 鈥渄isappointed鈥 with the award decision. 鈥淲e are awaiting our debriefing by TRANSCOM and are evaluating our options,鈥 said the spokesman, Charles Diorio.

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McMichael

Katie McMichael, executive director of American Trucking Associations Moving and Storage Conference, said that 鈥渁 large percentage鈥 of its conference members will likely participate in the military moving program. 鈥淭he Moving and Storage Conference looks forward to learning more from the winning bid team about the plans for the new program when available,鈥 McMichael said.

TRANSCOM said the contract is one aspect of a broader plan to improve the relocation process for service members, civilian employees and their families, and integrates functions currently performed by more than 900 commercial entities.

鈥淭he transition to a single move manager with an enduring contract is a key part of the reforms TRANSCOM is leading to deliver improvements to service members, DOD employees and their families,鈥 TRANSCOM said in a statement.

鈥淎t the end of the day, this change is about improving quality; and although we are extremely excited about improvements it will bring, we must be patient,鈥 said Air Force Col. Joel Safranek, Defense Personal Property Program Director. 鈥淚t will take time to transition and phase into this new contract, with moves under the new construct not taking place until late in 2022 at the earliest.鈥

鈥淭his is an opportunity to raise the standard for our families, attract quality capacity to the program, and introduce a level of accountability absent today,鈥 said Air Force Gen. Jacqueline Van Ovost, TRANSCOM commander. 鈥淥nce implemented, this contract will positively impact thousands of service members, civilian employees and their families each year.鈥

Van Ovost emphasized the government will continue to maintain ordering of services and rigorous oversight of contractor performance.

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