2019.03.07_GHC_Industry_Day_General_Session_QA.pdf

HTC711-19-R-R004

Answer 1 Who are the 8 companies that the

Government determined to be “valid” based on RFI responses? What was the criteria used to make that determination?

The intent of a request for information (RFI) is to seek input from industry partners to assist in the procurement process. The Government issued an RFI to obtain information regarding the household goods industry commercial practices and capabilities.

The team conducted an analysis of the information received for EACH of the respondents reported technical capability and experience.

2 Four items were brought up to GEN Lyons:

required delivery dates, right of refusal, rates, demand smoothing; what happened to those considerations?

The Defense Personal Property Program (DP3) Division (J4-H) has addressed the status of these during industry open discussion meetings and subsequently published the minutes. Updates to these four areas of concern will continue to be areas of collaboration between J4-H and industry.

3 Why hasn’t the Government incorporated industry suggestions provided to USTRANSCOM prior to reaching this point?

Industry suggestions have been incorporated. Some include a simplification of the program Tender of Service, an increase of domestic transit times, work at the OSD levels on demand smoothing, and other items discussed during our industry engagements as noted above.

4 Does the Government understand that industry has stopped investing and is reducing capacity due to this new requirement?

While companies make investment decisions in reaction to many variables, the Department of Defense's (DOD) requirements are not changing. The DOD is considering a different acquisition strategy for procurement of services to address shortcomings with the current process.

5 How many of the current TSPs will go out of business with this new contract?

The DOD's approach is intended to improve quality of service to the end user (service members and civilians) and is not designed to affect industry capacity. Market Research indicates the need for TSPs will remain constant. Similar to the response in question 4 above, the DOD's requirement is not changing.

The following is a list of questions presented during the General Session of Global Household Goods Contract (GHC) Industry Day event. The answers included are complete answers to the questions presented and not direct quotes from the discussions.

Subject: Miscellaneous Question

Answer 6 How will the Government adjust transit times?

Transit times have been increased for the domestic program as of 4 Mar 19. The Government intends to continue assessing transit times for all markets and any further necessary revisions may be reflected in the solicitation.

7 When will Industry see the transit times? Transit times will be outlined in the Draft RFP.

8 Will PPSOs be a part of this product? How PPSOs will align with the performance requirements of a new contract vehicle is being addressed as part of the Government's internal transition plan.

9 Who will conduct/inspect reweighs? Reference draft PWS 1.2.5.8. and 1.2.5.9. The contractor will be responsible for conducting reweighs and for providing certified weight tickets. The government will still have the ability to witness reweighs.

10 What will you do with the 61,000 NTS (Non- Temporary Storage) lots in the system right now?

NTS lots in place when performance begins on a new contract will attrit out in accordance with the terms of the agreement in place (tender of service (TOS) or other contract vehicle).

11 Will GSA conduct the pre and post audits? Auditing is still under review.

12 Will Syncada/US Bank still remain involved? Invoicing is still under review.

13 How is the Government going to fix blackouts?

In a future contracting model, the prime contractor will be responsible for meeting all shipment requirements in accordance with (IAW) the terms of the contract, which may or may not include the use of blackouts.

14 Will Directly Procured Moves (DPM) and Personally Procured Moves (PPM) be under this new contract?

Yes, DPM and PPM are within the scope of the new contract.

The MilMove interface could potentially play a role in how PPM payments are processed.

15 Will pricing be based on a type of tariff? Will the 400NG continue to be the pricing model?

The Government is looking for feedback on the best approach to pricing. No pricing model has been decided and all options are up for discussion.

Subject: PWS

16 I thought there was a move for some of the services to do more "in person" counseling versus online or virtual?

Currently, the Air Force requires some in person counseling, Army has commercial contracts for counseling, and Navy uses webinars. The Government is looking for industry to share ideas on what is available and how to best meet the needs of the DOD as a whole.

17 Will there be two separate contracts? One for domestic and one for overseas?

The DOD currently plans to award one contract to a single prime contractor with a phased in approach to full performance.

18 Will Industry be required to conduct a demo of their IT system prior to award?

It is highly likely offerors will be required to demonstrate their IT systems as part of the source selection evaluation.

19 What level of ITV does the Government require?

The best level of ITV available at the right cost. The Government wants to know what options are commercially available.

20 What is the estimated annual value of this program?

The team is still working the total cost estimate.

21 Is the Government expecting any cost savings?

The goal of this initiative is to improve quality to the service member at a fair and reasonable price and the Government will assess the potential for cost savings at the appropriate time.

Answer 22 Can a Small Business submit a bid as the prime?

Yes.

23 What will be the small business subcontracting percentages in this new contract?

The Government is currently analyzing the market in order to set reasonable and attainable small business goals.

24 Is USTRANSCOM Small Business Office concerned with the potential loss of business to small business concerns under this new contract?

The Small Business Office works directly with the contracting team to ensure small business goals are implemented and part of the contract requirement.

25 Is the prime contractor/subcontractor supposed to interface with MilMove or use it as GFE?

The Government is looking for recommendations on using MilMove. At this time we envision that any interface with MilMove will only be done by the prime contractor. The subcontractor would interface with the prime contractor's system.

26 What if a subcontracting plan is non-compliant, what happens to the proposal?

If a subcontracting plan is determined non-compliant, the Government will work with offerors to address areas of non-compliance.

Answer 27 Is MilMove just for onboarding? Yes, at this time the intent is for MilMove to be the platform for the Service Member to initiate the onboarding portion of the move, primarily through the orders integration for Military Services systems into MilMove.

28 How many moves has MilMove conducted so far?

13 personally procured moves and 8 household goods movements. The plan at this time is to move approximately 1,000 shipments during 2019.

29 Is MilMove commercially licensed or Government owned?

Government owned but hosted in the commercial cloud and built on open sourced code.

30 How is Industry supposed to integrate with MilMove in less than 1 year?

The platform is open sourced which should allow for a contractor to interface within the current estimated transition timeline. The Government is seeking feedback on constraints for IT integration and transition timelines.

31 Will MilMove be replaced by a commercial system?

The Government is seeking feedback on how MilMove can play a role in the future contract structure.

Subject: Small Business Question

Subject: MilMove

Answer 32 Why are proposals due in the middle of peak season?

When establishing acquisition timelines, peak season implications were considered. However, to allow for adequate transition and to avoid contract performance beginning during peak season, the proposal due date falling during peak season was unavoidable.

33 What happens between 15 March and 21 June on the milestone chart?

The Government will be working to incorporate industry feedback on the draft RFP by responding to questions and answers, as well as other internal acquisition processes. Due to the dollar value (estimated to be more than $1Billion), the acquisition strategy will be approved by the Office of the Secretary of Defense (OSD). Typically, the Government will conduct a Pre-Proposal Conference prior to the solicitation closing to provide guidance on proposal submission requirements, etc. The Contracting Officer (CO) does intend to conduct a Pre- Proposal Conference for this requirement following the posting of the final RFP.

34 Is this a best value solicitation? What different acquisition strategies does the Government want Industry feedback on?

This will not be a LPTA (lowest price technically acceptable) source selection. The CO anticipates using some sort of trade-off approach IAW Federal Acquisition Regulations (FAR) 15.101 in selecting the offeror who submits the best value to the Government. Tender of Service agreements are more prescriptive than a PWS. A PWS provides the Government's "minimum requirements" and then each offeror can propose innovative solutions or technical capability that exceeds the Government's minimum requirements and the Source Selection Evaluation Board will utilize the evaluation criteria included in the RFP to make a final recommendation to the Source Selection Authority.

Industry will be afforded an opportunity to provide feedback on the strategies identified in the draft RFP and responses to RFIs help shape the entire acquisition process.

Subject: Timeline/Contract

35 When will the rest of the appendices to the PWS be posted on FBO?

Ideally, the draft RFP will include all attachments and appendices unless a particular area is still under development and not ready for comment. Should that situation arise, documents will be added for comment when available.

36 Will employees have to comply with the Service Contract Act (SCA)?

Unless the Department of Labor (DOL) determines an exemption applies, the successful offeror and subcontractors will have to comply with Service Contract Act. The team is currently working with the DOL on this subject.

37 Will USTRANSCOM discuss the new contract at the Personal Property Forum in March?

The Contracting Officer will be in attendance. However, the focus of the Personal Property Forum is the 2019 Peak Season and future contract strategies or updates are not specifically on the agenda for discussion.

Summary of suggestions received during Industry Day engagements

- Improving Quality:

o A single individual to coordinate direct with member throughout entire move to improve members move experience o More quality assurance agents in the field o Incentives are generally more effective than penalties o Quality tied to cash flow getting to the curbside provider

- Forecast, Peak Season:

o Increased prices for peak season moves o Known requirements would increase capacity by advanced planning and relationship building o Demand smoothing of DoD requirements and clear understanding of DoD projections are critical

- Key Metrics:

o Government needs to look at commercial standards and re-evaluate metrics as compared to commercial standards

- Pricing:

o Suggested pricing a move manager as a separate firm fixed price item and pricing actual moves as cost reimbursable items o Pay more for short fuse requirements o Different rates for peak and nonpeak moves o General consensus to retain tariffs models familiar to industry to maximize use of commercial provider networks

- Counseling:

o Lots of options available for counseling in commercial market o Web-based and on-line capabilities already in practice

- IT Requirements:

o Commercial IT systems exist and are in use today. Most would require minor modifications to accommodate large number of subcontractor interfaces.

o Using MilMove for the orders integration piece was widely received by most larger companies and IT companies. Would take time to build interface, but should be relatively inexpensive

-Schedule:

o Suggested 3 days for spread time for domestic o PWS scheduling language needs clarification