GSA Freight TSP Quarterly Meeting Rate Procurement Update – August 20, 2014

GSA Rate Solicitation Update Bid Segment #1: General and Department of State rates Bid Segment #2: Emergency rates with new accessorial for emergency after hours Bid Segment #3: NARA , US Mint, VA Memorial, Alaska Freight Forwarders and Alaska Thru rates Bid Segment Number Bid Open Date Respond by Date Bid Close Date New TSP Registration Cutoff Date: 05/19/2014 1 05/26/2014 05/30/2014 06/07/2014 2 06/30/2014 07/07/2014 07/12/2014 3 08/04/2014 08/08/2014 08/16/2014

FY 15 Freight Procurement Overview New bid segmentation resulted in spreading the filing load over several weeks, improving management of background processes for GSA 183 Unique TSPs expressed interest in participation 135 Unique TSPs actually submitted rates 1167 Tariffs are Complete (Active) 64 Tariffs are Incomplete (Inactive) Reduced inactive tariffs from 30% (FY14) to 5%, a major improvement TSPs bid only for tariffs/lanes of interest (able to service lanes you have bid for, reduced rates volumes in TPI , improves system performance) TSPs continue to submit rates in the last 24-48 hours (GSA cannot extend or respond to last minute assistance) Some TSPs continue to submit unrealistic rates for line haul and accesorials (example follows) GSA offered several training sessions – some rate filers did not attend and attempted to file

Some Key Changes made for FY 15 Procurement Baseline values for the minimum charge in the distance base of Item 100 table of STOS, Baseline Rates and Minimum charges are now replaced with the same minimum charge of $65.00 for all distance bands. This change is applicable ONLY for General LTL rates at this time. The baseline charge Item 350 Detention-Vehicle Without Power Units-Spotting or dropping trailers has been updated in the STOS and in TPI for all tariff groups The maximum charges for accesorials (13 with STOS based value) have been updated to reflect fair market prices. TSPs cannot bid on the maximum charges in TPI for these accessorials; however TSPs may continue to bid on the minimum charges.

Opted to Participate vs. Actual Bids

Number of Bids Submitted Bidding Trends of TSPs Number of TSPs Number of Bids Submitted

Sample Accessorial Analysis: Item 485 - Emergency Response After Hours Service Charge Tariff Group TSPs Filed for Tariff TSPs Submitted Rates for Item 485 FEDDTL 48 20 FEFBTL 71 24 FEGNTL 49 19 FELBTL 46 FEPUTL 51 FERVTL 54 21 FESDTL 59 23 FEVTL 78 28 Grand Total 456 173 All TSPs did not bid for 485 Non bidders will not qualify for after hour load Tariff Group Min. Value Bid Max Value Bid FEDDTL 1 1200 FEFBTL 0.35 700 FEGNTL 800 FELBTL FEPUTL 500 FERVTL 600 FESDTL FEVTL 1000 Grand Total Filing Pattern: Unrealistic values Refer to STOS for baseline

Thanks! For any Rate Procurement Questions Rebecca Silver frtrates.procurement@gsa.gov Rebecca Silver Rebecca.silver@gsa.gov