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MFA Meets with GAO
Our collective efforts to highlight the ongoing concerns with the new Global Household Goods Contract are getting noticed! Last week the Government Accountability Office staff held a productive discussion with our Executive Director Katie McMichael and some active MFA members to help inform an evaluation of the GHC.
As a reminder, the House version of the National Defense Authorization Act calls for a GAO audit of the GHC to assess the responsible use of taxpayer dollars. With the Senate’s approval, GAO will conduct an in-depth review, aiming to share preliminary findings with Congress by April 2025.
The GAO’s interest in our insights signals that our concerns are being taken seriously. Our discussion took a deep dive into the GHC’s flawed foundation, rocky rollout, capacity to serve military families, application of the Service Contract Act, and concerns about TRANSCOM’s transparency and direction.
Movers for America is proud to contribute to this critical evaluation, and we remain hopeful that our perspectives will shape positive changes in the GHC moving forward.
Missouri Mover Shares His Concerns
Bryan Morby has worked more than 17 years for Carlyle Van Lines, a Warrensburg-based moving company that services moves for active-duty military families. Bryan’s perspective recently ran in the Warrensburg Journal Star, his local newspaper. Take a minute to read his important point of view:
The New Military Moving Contract: A Raw Deal for Missouri Small Businesses and Military Families
Warrensburg Star Journal, 11/7/24
When someone says “Missouri,” the first images that come to mind are often things like the Gateway Arch, acres and acres of farms, and the Lake of the Ozarks. However, we’re also home to President Harry Truman, Mark Twain — and the world’s only B-2 Spirit stealth bomber unit and the future home of the B-21 Raider bomber. In the middle of Johnson County, some 1,800 Air Force and contract personnel work around the clock to defend our nation at this little-known military powerhouse.
I’ve worked at Carlyle Van Lines for more than 17 years, and moving military families in and out of Whiteman Air Force Base is a huge part of our business. When it comes to these relocations, we’re more than just movers; we’re a lifeline during a stressful time filled with new homes, new schools, and new communities.
However, a new federal contract on the horizon might make this process even more stressful. The Department of Defense’s Transportation Command (TRANSCOM), which oversees moves for military families, is trying to roll out its new Global Household Goods Contract (GHC), and they’ve put a single private entity in charge. While the government claims this contract will modernize the process, it’s shaping up to be more of a headache for the very families it’s supposed to help — and for small businesses like mine.
While it sounds encouraging that the government will set aside 40% of the moving jobs for small businesses, the devil is in the details. The reality is the GHC imposes new compensation and regulatory requirements that small businesses like mine simply may not be able to afford. These regulations may also push independent operators out of the market. We’re proud of creating jobs in our community and supporting our military neighbors — but if we can’t make the numbers work, those jobs will no longer exist.
If independent contractors are driven out of the industry, small businesses in modest markets like ours will be forced to scramble to fill a gaping hole in the workforce (amid a nationwide driver shortage). This could result in unwanted delays, lower-quality service, and frustrated military families left without the efficient moving experience they deserve.
The Department of Defense cannot afford to ignore the GHC’s potential impact on local economies. Military bases are a blessing to nearby communities, bringing in new residents, visitors, and revenue. Small businesses are a vital part of this economic ecosystem. But when DOD contracts with large corporations instead of local movers, all that money leaves town, threatening to take jobs and economic stability with it.
The DOD itself has acknowledged the importance of small businesses, even saying in its own report that a strong small business base is essential to supporting our nation’s defense. Yet the GHC, as it currently stands, risks undermining this.
Before the GHC is fully implemented, TRANSCOM must be transparent. That’s why I support those asking Congress to request a Government Accountability Office audit of the GHC. Let’s slow things down until we know how this contract will impact the small businesses and contractors who have been the backbone of military moves.
Our military families deserve the best, and for years, small businesses have been the ones working to provide it. But if we’re pushed out by overbearing regulations and skyrocketing costs, we won’t be able to continue to serve those who so heroically serve us.
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