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March 15, 2000 8:55 AM, EST

Buoyed by the Defense Department’s success in changing the way it pays its freight bills, the General Services Administration is moving to encourage all federal agencies to adopt electronic payment and other commercial business practices.

For years, the federal government has used a specialized purchase order, called the Government Bill of Lading, to purchase freight transportation services. The process required carriers to maintain huge piles of paper records which often led to delays in getting paid and settling disputes.

Under new regulations posted by GSA, federal agencies will be required to conduct pre-payment audits of freight bills from motor carriers and eventually eliminate the GBL in favor of “customer-friendly commercial systems.”

“We’re one of the biggest transportation buyers, and this is affecting all transport companies in more ways than you can imagine,” said Ted Bembenek, acting director GSA’s Office of Governmentwide Policy.

For the full story, see the Mar. 13 print edition of Transport Topics. .