[Federal Register Volume 65, Number 151 (Friday, August 4, 2000)]
[Notices]
[Pages 47970-47971]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-19796]


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DEPARTMENT OF DEFENSE

Department of the Army


Proposed Mandatory Use of USBank's PowerTrack System by DOD 
Freight Carriers

AGENCY: Military Traffic Management Command, DoD.

ACTION: Notice.

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SUMMARY: The Military Traffic Management Command (MTMC), as the 
Department of Defense (DOD) Traffic Manager for surface and surface 
intermodal traffic management services, proposes the mandatory use of 
PowerTrack as a transaction and payment system for all DOD freight 
carriers.

DATES: Comments must be submitted on or before October 3, 2000. 
Proposed effective dates for mandatory use of PowerTrack are: November 
30, 2000 for air (includes small package express freight shipments), 
barge, pipeline, rail and sealift carries, and December 31, 2000, or 
all Guaranteed Traffic carriers.

ADDRESSES: Comments may be sent as follows: by fax: 703-428-3397 attn: 
Jerome Colton by e-mail: [email protected] by mail or courier to: 
Headquarters, Military Traffic Management Command, ATTN: MTOP-MRM 
(Jerome Colton),Hoffman Building II, 200 Stovall Street, Alexandria, VA 
22332-5000.

FOR FURTHER INFORMATION CONTACT: Mr. Jerome Colton at 703-428-2384, e-
mail [email protected].

SUPPLEMENTARY INFORMATION: A notice announcing the DOD Management 
Reform Memorandum #15 (MRM15) directed reengineering of the DOD 
transportation documentation and financial processes was published in 
the Federal Register, Vol. 64, No. 14, p. 3488, Friday, Jan 22, 1999. 
Through a joint effort, the DOD transportation and financial 
communities, in conjunction with the commercial transportation 
industry, have developed an electronic acquisition and payment process, 
which uses commercial documentation to procure and pay for 
transportation services. Over the past three years, DOD, in conjunction 
with the commercial transportation industry, has taken several major 
steps toward adopting transportation industry commercial practices. 
Specifically, the DOD is eliminating government unique documentation, 
including freight Government Bills of Lading and military manifests for 
commercial Sealift movement. Several prototypes have been conducted 
with commercial carriers. These prototypes tested the reenginerred 
process in a demanding but controlled environment. Based on the success 
of the prototypes, Dr. John J. Hamre, Deputy Secretary of Defense, 
directed the implementation of PowerTrack service for commercial 
transportation of freight movements within the United States, worldwide 
air movements, and Sealift intermodal service. PowerTrack, a product of 
US Bank, Inc., is an online payment and transaction system that is 
projected to reduce the payment cycle from an average of 60 days to 3 
days from notification that service has been performed. PowerTrack 
effectively supports up-front pricing, facilitates the exchange of 
electronic information between shipper and carrier, and provides an 
automated payment and reconciliation tool. These changes will 
streamline procedures, reduce paperwork, and eliminates the need for 
Government payment centers dedicated to paying transportation services.
    PowerTrack is now being used for the majority of DOD's freight 
shipments both in terms of number of shipments and in terms of dollar 
value. Today over 300 commercial carriers utilize PowerTrack. These 
carriers haul approximately 95% of DOD's freight traffic. Based on the 
success of the MRM 15 reengineering initiative, DOD wishes to expedite 
implementation of PowerTrack to all commercial carriers doing business 
with DOD. Accordingly, it is proposed that effective November 30, 2000, 
all remaining carriers, to include, air express, air freight, barge, 
pipeline, rail and sealift carriers wishing to transport freight for 
the DOD must have an agreement with US Bank and be PowerTrack certified 
for the electronic payment of commercial transportation services. It is 
important that interested carriers begin the PowerTrack signup process 
by calling US Bank at 1-800-417-1844. Additional information on 
PowerTrack is available at www.usbank.com/powertrack.
    If the proposed schedule implementing mandatory use of PowerTrack 
is adopted, the following actions will be taken effective:
    November 30, 2000--For all carriers in the categories listed above 
that are not PowerTrack capable, their voluntary and negotiated rate 
tenders on file will be placed in a nonuse status. Carriers with non-
binding contracts will not be used for DOD freight movements. MTMC will 
work with carries to modify those contracts that do not contain the 
PowerTrack requirement in an effort to meet the November 30, 2000 
implementation date.
    December 31, 2000--For carriers participating in Guaranteed Traffic 
(GT) movements, carriers that are not PowerTrack capable will not be 
considered for GT awards beyond this date. Carriers that are not 
PowerTrack capable but are currently performing under GT awards will be 
allowed to continue performance until expiration of the contract 
period. MTMC may, with the carrier's agreement, extend a GT award if 
required for operational reasons. Only those carriers that are 
PowerTrack certified will be eligible for the extension of Guaranteed 
awards after December 31, 2000.

Regulatory Flexibility Act

    This change is not considered rule making within the meaning of the 
Regulatory Flexibility Act, 5 U.S.C. 601-612.

[[Page 47971]]

Paperwork Reduction Act

    The Paperwork Reduction Act, 44 USC 3501 et seq., does not apply 
because no information collection requirements or recordkeeping 
responsibilities are imposed on offerors, contractors, or members of 
the public.

Thomas Hicks,
Assistant Deputy Chief of Staff for Operations and Plans.
[FR Doc. 00-19796 Filed 8-3-00; 8:45 am]
BILLING CODE 3710-08-M