U.S. General Services Administration
Federal Acquisition Service
Freight Management Branch:
Ship anything, anywhere, anytime
Center for Transportation Management
Federal Acquisition Service
Contractors Transportation Management Association Conference
July 8th, 2015
Federal Acquisition Service
Introduction
 Who we are: GSA’s Freight Management Branch
 What we do: Manage a freight management program and
offer freight consulting services for federal organizations
 When to use the program: Anytime a federal organization
needs to ship freight
 Where to obtain our services: Through our automated
solutions and self-service websites
 Why use the program: Let us show you…
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Federal Acquisition Service
Freight Management Branch’s Program
 Provides a framework for fulfilling worldwide freight shipping
requirements of federal organizations
 Offers rate management services for general commodity freight
 Has the authority to acquire transportation rates on behalf of other
Federal agencies
 Freight can be shipped to all 50 states, Washington DC, U.S.
territories, and international destinations
 Transportation Service Provider (TSP) approval process and
compliance enforcement managed by GSA
 Operates through a non-FAR based approach by using freight
tenders
 Freight tenders are obtained through Request for Offers (RFOs),
where GSA Freight invites approved freight TSPs to submit freight
tender rates
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Federal Acquisition Service
What are freight tenders?
 A tender is an offer from a transportation service provider
(TSP) to transport goods
 From one point to another
 For an agreed upon rate
 Applicable between the TSP and the agency listed in the tender
 TSP(s) submit tender rates to GSA for potential and expected
agency freight movements
 A bill of lading (BOL) document is the contract of carriage
between shippers and TSPs
 Contains tender rate and shipment details
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Federal Acquisition Service
Tenders vs. Contracts
When to use tenders (GSA Freight)
If Agencies/Bureaus;
 Need to quickly schedule a
shipment and do not have
sufficient time to identify or solicit
a FAR contract;
 Have shipments recurring
between designated places, but
do not expect consistent
volumes to obtain favorable
tender rates;
 Are not in a position to make a
definite volume and shipment
commitment under a FAR
contract
When to use contracts (FAR)
If Agencies/Bureaus;
 Will ship consistent volumes in
reoccurring traffic lanes;
 Have sufficient time to follow FAR
contracting procedures, and
negotiate a contract with a
transportation carrier;
 Are able to handle the
requirement to set up and
manage the FAR contract
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Federal Acquisition Service
Program Savings and Benefits
 Program services offered at no charge to participating federal
organizations
 Average freight rate savings for participants: 19.5% over other
government agency rates, and 51.9% off commercial rates
(Source: Runzheimer July 2011)
 Rates are priced for freight-all-kinds (FAK) shipments, Class 50
 No minimum shipment volume, tonnage or purchase requirements to
use program
 Full replacement value (up to $100,000) on all shipments
 Decades of freight transportation expertise
 Compliance with federal transportation laws and regulations
 Online automated solution that offers:
•
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Shipment creation and booking capabilities through TransPort Integrator
Freight bill prepayment-auditing, payment, and accounting functions
through PayPort Express (PPE)
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Federal Acquisition Service
Department of Energy Specifics
 GSA procured and negotiated LTL (Less Than
Truckload) rates on behalf of the DOE
 The rates are effective from January 1, 2015
through December 31, 2015
 The rate prices are state to state shipments moving FAK
(Freight All Kinds) class 50
 The rates were formatted and loaded into the DOE ATLAS
system
 DOE has the option to extend the rates for 1 year. If
exercised, the expiration of the rates would be
December 31, 2016
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Federal Acquisition Service
Transport Integrator (TPI)
 TransPort Integrator (TPI) is GSA’s web-based transportation
management solution (TMS)
 TPI provides a suite of services and advanced management
tools enabling freight rate shopping and shipment execution
 Access to GSA’s freight tender rates 24/7
 Industry leading business intelligence and reporting tools
 Provides a common procurement platform utilized by both
government and industry stakeholders
 Provides shipment transparency and increased accountability
 There is no cost for federal customers to utilize TPI!
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Federal Acquisition Service
PayPort Express (PPE)
 PayPort Express (PPE) is a web-based third-party payment service
for freight and parcel-related expenses
 PPE automates the transportation shipment pre-payment audit,
payment, and accounting functions for agencies and their TSPs
 Converts manual paper processes to an online electronic
process
 Offers detailed financial and transportation reporting
 Provides compliance with payment and audit regulations
 Reduces the need for contracted pre-payment auditing services
 Eliminates prompt payment fees through accurate and timely
payments
 There is no cost for federal customers
to utilize PPE!
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Federal Acquisition Service
Looking Forward: Category Management
 Category management focuses on defining and organizing
products and services that behave in a similar manner
 The Federal Government is applying this strategy to buy
smarter and more like a single enterprise
 Category management involves:
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Identifying core areas of spend
Collectively developing heightened levels of expertise
Leveraging shared best practices
Providing acquisition, supply and demand management solutions
 Category management enables us to:
 Eliminate redundancies
 Increase efficiency
 Deliver more value and savings from the government’s acquisition
programs
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Federal Acquisition Service
Additional Partnerships and Services
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Federal Acquisition Service
Federal Strategic Sourcing Initiative: What is FSSI?
 FSSI is an OMB-sponsored program focused on analyzing all
costs associated with a product or service under
management, in order to generate savings through:
 Requirements development
 Acquisitions
 Behavior changes
 FSSI solutions are developed through a cross-government
team that uses a structured and collaborative process to:
 Analyze an organization’s spending
 Compare the results to best in-class practices
 Then uses this information to make business decisions about acquiring
and using commodities/services more effectively and efficiently
 An example of a very successful FSSI is the Third Generation
Express and Ground Domestic Delivery Services (DDS3) for
small package delivery shipping
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Federal Acquisition Service
Domestic Delivery Services (DDS3)
 DDS3 Program features include:
• Domestic delivery services for both air and ground shipments:
o Between the 48 states and the District of Columbia
o From the 48 states to Alaska, Hawaii, and Puerto Rico
• Waived fuel surcharges for all express and ground parcel shipments
• Money-back guarantee for all air and ground services
• Online air bill creation, package tracking, and account
management
 Participation in the DDS3 BPA procurement vehicle delivers:
• Tiered discounts – as the collective volume increases, so do the
discounts
• Business intelligence – enables more informed business decisions,
such as saving 60-70% by purchasing ground over express shipments
• Best practice solutions – for better program management and
increased efficiencies
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Federal Acquisition Service
GSA Transportation Audits:
Auditing Transportation Bills…It’s the Law
Pre-payment audits
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Mandated by Public Law 105-264 under the “Travel and Transportation
Reform Act of 1998” (102-118.265)
Require that all federal agencies conduct pre-payment audits of all
transportation billings
By auditing prior to payment, agencies can avoid excess transportation
charges, and use the consequent savings to procure additional
transportation services
 Post-payment audits
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Mandated by “The Transportation Act of 1940 as amended 31 USC 3726”
(102-118.415)
Post-payment audit occurs once a transportation service provider (TSP) bill
has undergone a pre-payment audit and has subsequently been paid
These audits ensure that the bills are valid and proper, while in compliance
with rates, tariffs, quotations, agreements, tenders, and/or other applicable
rate authorities
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Federal Acquisition Service
Going Green: Partnering with EPA SmartWay
 Voluntary program created by US Environmental Protection
Agency (EPA), which helps organizations become
environmentally responsible
 Provides agencies a tool to comply with Executive Order 13514
 Helps modify logistics operations to improve efficiency, and
reduce Scope 3 Emissions to meet their Strategic Sustainability
Performance Plans
 On March 11, 2011, GSA became the first Federal Civilian
Agency to become a certified SmartWay Transport Partner for
efforts to reduce greenhouse gases and other air pollutants, and
improve fuel efficiency within the supply chain
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Federal Acquisition Service
For Further Information:
Additional Partnerships and Services
 FSSI/Domestic Delivery Service (DDS3):
www.gsa.gov/dds
 GSA Transportation Audits:
www.gsa.gov/transportationaudits
 OGP Transportation Officer Training:
http://transportationofficer.golearnportal.org/
 EPA SmartWay Transport Partnership:
www.epa.gov/smartway/index.htm
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Federal Acquisition Service
Contact Information
 Scott Kidd – Chief, Freight Branch
– Email: scott.kidd@gsa.gov
– Phone: 703-603-8138
 Rebecca Silver – Program Advisor
– Email: rebecca.silver@gsa.gov
– Phone: 571-289-6696
 Brian Assia – Team Lead
– Email: brian.assia@gsa.gov
– Phone: 202-557-1038
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