[Federal Register Volume 63, Number 57 (Wednesday, March 25, 1998)]
[Notices]
[Page 14431]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-7720]


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DEPARTMENT OF DEFENSE

Department of the Army


Program for Qualifying Department of Defense (DOD) Brokers

AGENCY: Military Traffic Management Command, DOD.

ACTION: Notice.

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SUMMARY: In previous Federal Register notice (Vol. 62, No. 27, pages 
5962-5963) Monday, February 10, 1997, the Headquarters, Military 
Traffic Management Command (HQMTMC) announced a request for comments on 
the Program for Qualifying Department of Defense (DoD) Brokers. Due to 
comments received concerning the earlier notice, HQMTMC has decided to 
test the Broker Program for a period of one year, beginning June 1, 
1998 and ending June 1, 1999. Brokers will be allowed to participate in 
the movement of all DoD freight except for shipments requiring 
Transportation Protection Services (TPS). Brokers will be evaluated 
using the same rules as those applied to carriers who are currently 
approved to do business with the DoD.

ADDRESSES: Headquarters, Military Traffic Management Command, ATTN: 
MTOP-QQ, Room 630, 5611 Columbia Pike, Falls Church, Virginia 22041-
5050.

FOR FURTHER INFORMATION CONTACT:
Rick Wirtz, MTOP-QQ, telephone 703-681-6393.

SUPPLEMENTARY INFORMATION: MTMC is the agency established within the 
DoD for the procurement of land transportation services from commercial 
carriers on behalf of DOD shippers. Historically brokers could not 
participate in DOD traffic because the broker was an intermediary 
between the shipper and the carrier, essentially duplicating the 
mission performed by MTMC of matching the DOD shipper's requirements 
with a carrier which can accommodate the move. Brokers were not 
carriers, did not perform transportation, did not assume responsibility 
for the transportation, and did not publish tariffs or offer Government 
rate tenders, or enter into Government bills of lading (GBLs) or other 
transportation contracts. Today, in the deregulated transportation 
environment, brokers can and do conduct carrier operations, perform 
transportation, and assume responsibility for the transportation, and 
no reason appears why they may not voluntarily enter into the DOD 
standard tender/GBL and other transportation contracts arranged by 
MTMC. Consequently, MTMC is not proposing to change its policy in order 
to offer brokers the opportunity to qualify for participation in DOD 
transportation procurements, except shipments requiring a 
Transportation Protective Services (TPS). Under MTMC's new policy, 
brokers interested in completing for DOD traffic, except TPS shipments, 
could apply for qualification by executing the basic Agreement, and by 
complying with requirements for submission of evidence of insurance 
(public liability and cargo), a list of underlying carriers which the 
broker intends to use in the movement of DOD shipments, a performance 
bond, and other standard requirements.
Frederick G. Wirtz,
Traffic Management Specialist.
[FR Doc. 98-7720 Filed 3-24-98; 8:45 am]
BILLING CODE 3710-08-M