United States Transportation Command

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By U.S. Transportation Command Public Affairs Release #: 071114-01 Published: Wednesday, November 14, 2007

SCOTT AIR FORCE BASE, Ill. (USTCNS) -- The U. S. Transportation Command has announced the resumption of the Defense Transportation Coordination Initiative contract following the cancellation of a stop work order. The stop work order was issued following a protest to the original contract award by Ryder Integrated Logistics, Inc., which was withdrawn on Oct. 29 and subsequently dismissed by the Government Accountability Office on Oct. 30.

The DTCI contract award is potentially worth $1.6 billion and was awarded to Menlo Worldwide Government Services, LLC of San Mateo, Calif., on Aug. 17, to manage Department of Defense freight movements in the continental United
States with the goal of maximizing efficiencies and reducing cost.

DTCI, a USTRANSCOM Distribution Process Owner initiative, is a freight management program designed to improve the reliability, predictability and efficiency of DOD materiel moving within CONUS by reducing cycle times and improving predictability through the use of more dedicated truck schedules, cross-docking operations, better mode selection and load optimization.

DTCI will be rolled out in three phases.

Phase I includes the Defense Logistics Agency CONUS Defense Distribution Centers and implementation will begin within 5 1/2 months.

Phase II will start before the completion of Phase I and will incorporate activities within close proximity of the DDCs, selected aerial ports and other DOD shippers.

Phase III will include all other scheduled DOD activities and will be completed within 25 months of the contract restart date of Nov. 2.

Benefits of the new program are expected to include increases in efficiencies and cost savings, so DOD can better meet end customer (warfighter) expectations of delivery.

Certain categories of freight will be excluded from DTCI, such as sensitive and/or classified shipments, arms, ammunition and explosives, bulk and missile fuels, household goods and privately owned vehicles.

The contract, which has a potential seven-year life-cycle, has a three-year base period estimated as worth more than $525 million. There are also two one-year option periods valued at approximately $543 million and two one-year award term option periods worth approximately $567 million.

For more information on DTCI, go to http://dtci.transcom.mil. You can find questions and answers about DTCI at http://dtci.transcom.mil/files/Q&A.pdf or contact the USTRANSCOM Public Affairs Office at (618) 229-4828.

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USTRANSCOM announces resumption of DTCI contract

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