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MTMC is quickly implementing new automated payments process

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ALEXANDRIA, Va. (USTCNS) --- Transportation companies that carry freight for the Military Traffic Management Command are finding their bills are being paid faster than ever.

It is all because of the rapidly increasing use of the PowerTrack automated payment software system by carriers of MTMC cargoes.

Previously, companies had to use unfamiliar Government Bills of Lading and wait weeks for compensation for their services. Now, companies using PowerTrack are paid within a few days.

MTMC has mandated the use of USBank's PowerTrack on-line system for all its military freight shipments in the near future.

"We are in fact changing the way we are doing business," said Bill Lucas, deputy to the commander.

All motor carriers must begin using the system by Sept. 30 to carry MTMC cargoes.

By Nov. 30, that deadline will expand to all air, sea, barge, pipeline and railroad transportation firms carrying MTMC cargoes.

"This is a massive, rapid roll-out," said Everett Doolittle, USBank's vice president - business development.

"Overall, it has been a phenomenal relationship," said Doolittle, in an "Industry Day" briefing to MTMC employees Sept. 20.

PowerTrack is now in use by 800 companies who represent 70-80 percent of the transportation providers to the military, said Doolittle.

"To date, we have had about 1.5 million transactions with a $350-400 million process volume," said Doolittle.

The use of electronic payments removes paper from the payment process, he said.

"Funds move electronically," said Doolittle.

"It combines all shipping data into one electronic document accessible by both buyer and seller."

As a consequence of that feature, PowerTrack is an immediate and highly responsive database on the details and compositions of Department of Defense cargoes.

"From a strategic point-of-view, said Lucas, "it will provide us an information dominance we've never had."

For the service, USBank charges carriers a fee on a sliding scale up to 2 percent of the
freight bill.

The adoption of PowerTrack is part of Management Reform Memorandum #15, a
Department of Defense initiative to use electronic systems to automate and standardize
military processes with the commercial world.

USBank developed a concept design for PowerTrack in August 1996. The system was first used operationally in March 1998.

User suggestions have led to continuing practical refinements to the software, said Doolittle.

Qualified carriers may obtain more information from PowerTrack by calling (800) 417-1844 or writing USBank PowerTrack, 1010 South Seventh St., FBTT0508, Minneapolis, MN 55415. Additional information is available on the Web at www.usbank.com/powertrack (FROM MILITARY TRAFFIC MANAGEMENT COMMAND).

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