US HHG military contract awarded

Nov 05 | 2021

The US Transportation Command (USTRANSCOM) has awarded the Global Household Goods Contract (GHC), worth an estimated $6.2 billion, to HomeSafe Alliance LLC, of Houston. HomeSafe is a joint venture between KBR and Tier One Relocation.

“The strength of our service members starts at home,” said Air Force Gen Jacqueline Van Ovost, Commander, USTRANSCOM. “Change is required in order to keep faith with military families, and our strategy to improve the relocation process will deliver credible improvements to military families.”

The contract provides complete door-to-door global household goods relocation transportation and warehouse services worldwide for Department of Defense (DOD) personnel, US Coast Guard members and other federal employees. The contract transition period and base period of performance are from 1 December, 2021 to 31 August, 2025 and is a Fixed-Price with Economic Price Adjustments, Indefinite-Delivery, Indefinite-Quantity contract.

USTRANSCOM said that the GHC 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.

“The long-term stability and consistent business this contract presents will provide industry with the confidence and rationale to make lasting capital investments and relationships with trusted suppliers to meet DOD’s demand,” said Air Force Col Joel Safranek, Defense Personal Property Program Director. “It will also improve communication by delivering modern, digital management tools to customers, simplify the claims process in the event of loss, damage, or inconvenience, and enable the Department to fix the accountability lacking in today’s program.”

Jacqueline Van Ovost emphasised that the US government will continue to maintain ordering of services and rigorous oversight of contractor performance.

“This is an opportunity to raise the standard for our families, attract quality capacity to the programme, and introduce a level of accountability absent today,” she said. “Once implemented, this contract will positively impact thousands of service members, civilian employees and their families each year.”

USTRANSCOM and HomeSafe Alliance LLC will begin by integrating information technology systems and processes. “At 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,” said Joel Safranek. “It 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.”

"We are honoured to partner with the military community around the globe,” said Alan Thompson, HomeSafe CEO. “Combining our HomeSafe Connect advanced digital solution and global program management expertise, we will dramatically improve the relocation experience for our service members, civilians and their families. Our solution will significantly expand and reward quality performance and is an important catalyst in the transformation of the military household goods moving industry.”