US Transportation Command (USTRANSCOM) is expected to announce that it is awarding its Global Household Goods Contract (GHC) to HomeSafe Alliance, according to several industry reports.
The HomeSafe group is a collaboration between existing Department of Defense (DoD) contractor Kellogg Brown & Root (KBR); Tier One Relocation, a move manager in the current DoD Personal Property Program; and a strategic partnership with SIRVA Relocation & Moving, which includes US-based van lines, Allied and northAmerican. The alliance was set up specifically to bid for the contract.
It will now put together a network of industry service providers for the relocation and warehousing activities it will need. According to DoD, this should be made up of domestic small business subcontractors taking an estimated share 40 per cent of the overall value of the contract.
The DoD business is reportedly worth an estimated US$7.2 billion during an initial transition period and its first three years; and nearly $20 billion throughout its longest possible duration.
According to USTRANSCOM, seven offers were made during the competitive tender process.
The contract was originally awarded to American Roll-on Roll-off Carrier Group (ARC) but was retendered after protests from HomeSafe Alliance and Connected Global Solutions.