Detailed Information on the
General Services Administration - Transportation Management Assessment

Implement "best value" and efficiency measures for the transportation services offered to GSA customers. Performance Data is collected each year to ensure program performance is improving and operations are becoming more efficient to save taxpayer dollars.

Continue to monitor industry offerings and customer needs to ensure that best value solutions are provided to the Federal Government. Collect annual data from customer satisfaction surveys to ensure that services that are desired by customer agencies are provided. Continuously monitor program to ensure that offerings are current with the transportation industry and are the best value solutions for Federal Agencies.

Modifying all GSA government-wide contracts under which transportation services can be obtained to obtain the data necessary for OMB and OGP to provide proper oversight of agency transportation activities and spending. Milestones include: 1) meet with OGP to discuss development of a Governance Model that features an Executive Committee; 2) finalize Governance Model and Executive Committee Membership; and 3) establish Executive Committee Meeting schedule for FY08.

Develop "best value" and efficiency measures for the transportation services offered to GSA customers. Milestones include: 1) meet with OMB to reach agreement on the new FSSI Transportation measure; and 2) develop measures with possible contractor support.

Implement a process for obtaining an external, independent evaluation of GSA's transportation operational programs on a regular basis. Milestones include: 1) develop plan for independent external program review with timeliness; 2) meet with IG to discuss whether they can review Transportation programs on a regular basis; if IG cannot accomodate, contract for 3rd-party reviews of transportation program(s); and 4) consultant conducting independent assessment of CHAMP and FMP.

Develop a formal governance mechanism to assure that transportation operations and services offered by the Federal Acquisition Service and the transportation policies set by the Office of Governmentwide Policy are mutually supportive. Milestones include: 1) meet with OGP to discuss development of a Governance Model that features an Executive Committee; 2) finalize Governance Model and Executive Committee memebership; and 3) establish Executive Committee Meeting schedule for FY08.

Reorganizing GSA's transportation operational programs, including all related schedules, so that they are accountable to a single manager with responsibility only for the full range of those programs, including responsibility for determining the requirement. Milestones include: 1) The new FAS established organizational design (completed) and 2) Complete integration of FAS transportation programs and resources (anticipated completion early FY08)..

Measure: External customer satisfaction survey

Explanation:Based on an external customer satisfacction survey. Three questions on the survey are consistent to the American Customer Satisfaction Index. A combination of these scores is used for overall customer satisfaction.

Measure: Percent of audits performed electronically

Explanation:Measure will track the number of audits that are performed electronically relative to the entire population of audits.

Measure: Percent of claims processed within 120 days

Explanation:Measure will track the percent of claims that are processed within 120 days relative to the entire popluation of claims that are processed.

Measure: Direct costs as a percent of gross margin

Explanation:Measures how efficiently direct costs are controlled relative to revenue generated, less costs of goods sold.

Measure: Freight Savings

Explanation:Measures percentage discount from 1000-D Standard Tender of Service Baseline Rate Publication

Measure: Household Goods Savings

Explanation:Measures percentage discount from Domestic Household Goods Government Rate Tender (STB HHG 415-G)

Measure: Express and Ground Domestic Delivery Services Savings - FSSI

Explanation:Percent of savings over commercial Express Ground and Domestic Delivery Services (ExGDDS) pricing.

Is the program purpose clear?

Explanation: Transportation provides federal civilian agencies and Department of Defense (DoD) agencies (for some services) a variety of services to move things safely, efficiently, and affordably in support of agency programs and employee relocations. These services include domestic package delivery, relocation services, and freight and household goods movement services. This program also includes the transportation audits activity which assures that transportation service providers are giving agencies the discount prices to which they are entitled.

Evidence: Federal Property and Administrative Services Act of 1949, Federal Management Regulation (FMR) Chapter 102, Part 102-117 & 102-118, Travel and Transportation Reform Act of 1998 ( P.L. 105-264), FSS and T&T Mission Statement

Does the program address a specific and existing problem, interest, or need?

Explanation: In FY05, the federal government plans to obligate just over $15 billion to transport freight and household goods. If FY 2006, this spending is projected to decrease slightly to $14 billion. Skillful negotiations with transportation companies and use of automated scheduling tools can result in access to better services and lower transportation and related administrative costs than would otherwise be available. Careful auditing of government transportation orders and payments can also catch carrier overcharges. For example, GSA expects to recover $12 million in transportation overcharges in both of these years.

Evidence: Federal Property and Administrative Services Act of 1949, Federal Management Regulation (FMR) Chapter 102, Part 102-117 & 102-118, Travel and Transportation Reform Act of 1998 (P.L. 105-264), FSS and T&T Mission Statement, FY 04-06 Congressional Budget Justification

Is the program designed so that it is not redundant or duplicative of any other Federal, state, local or private effort?

Explanation: Except for transportation audits, GSA's transportation programs are not mandatory and other agencies are permitted to obtain transportation services on their own. For example, the Department of Defense (DoD), Tennessee Valley Authority (TVA), and the United States Postal Service (USPS) together represent 88% of the $14 billion requested for transportation in FY 06 and each operates its own transportation programs independent of GSA. By statute, DoD operates its transportation program only for DoD's agencies and military departments; there is no overlap between the customer agencies that DoD and GSA are allowed to serve. Although the USPS chooses to use Federal Supply Service's freight rates, it also manages its own freight contracts separate from GSA's program. Furthermore, several civilian agencies choose to maintain at least partially duplicative transportation operations. Finally, another program in GSA has established the LOGWORLD schedule that offers agencies easy access to third-party logistics (3PL) companies that will provide them with the same transportation management services offered by this program as well as a wider ranges of logistics services.

Evidence: Federal Property and Administrative Services Act of 1949, Travel and Transportation Reform Act of 1998 (P.L. 105-264).

Is the program design free of major flaws that would limit the program's effectiveness or efficiency?

Explanation: Organizing all of GSA's transportation functions within the same office could promote a desirable level of synergy, efficiency and effectiveness; however, the Federal Supply Service (FSS) has not done this. For example, a separate acquisition center outside of this program office manages the LOGWORLD schedule through which agencies can acquire various logistics services related to the transportation of freight, though not household goods. Even within this program, household goods transportation and move management services offered under the relocation services schedule were not coordinated with the same services offered under the Centralized Household Traffic Managment Program (CHAMP) and Freight Management Program (FMP). Also, the relocation services contracts managed by this office only provide minimal support to the transportation aspects of employee relocations and may be more appropriately managed by a standalone office that looks more broadly at relocation services. A positive delineation of Travel and Transportation program/policy responsibilities is understood by, and a productive relationship exists between, FSS and the Office of Governmentwide Policy (OGP). Nonetheless, contracts developed by this office do not appear to be sufficiently coordinated with, and guided by, program and policy considerations.

Evidence: Travel and Transportation Management Division Functional Statements, Audits Functional Statement, FBG Functions, Customers, Stakeholders and Future

Is the program design effectively targeted so that resources will address the program's purpose directly and will reach intended beneficiaries?

Explanation: This program lacks comprehensive information on the services it provides to specific beneficiary agencies. Therefore, there is no way to know the extent to which program resources and benefits are associated with specific beneficiaries.

Evidence: FY 2006 Congressional Budget Justification (FSS, T&T programs), See also documentation above for 1.1-1.3

Does the program have a limited number of specific long-term performance measures that focus on outcomes and meaningfully reflect the purpose of the program?

Explanation: Federal Supply Service (FSS) and Office of Management and Budget (OMB) have partnered to develop a long-term outcome goal for the Transportation program, which is to provide an end-to-end fully integrated management system/solutions to increase value for agency customers. Deployment of Transportation Management Services Solutions reflects movement toward a fully-integrated transportation solution that serves as a platform for delivering best-value transportation services at competitive prices. To assess accomplishment of its long-term goal, Transportation has associated performance goals and performance measures. Performance measures that focus on outcomes are household goods savings, freight savings, and domestic delivery savings. Collectively, these reflect the purpose of the program and are designed to achieve the President's Management Agenda of improving the way GSA manages for results.

Evidence: FY 2006 Congressional Budget Justification (FSS, T&T programs). FY 2006 Transportation Strategy Action Plan (SAP) and Transportation Audits SAP

Does the program have ambitious targets and timeframes for its long-term measures?

Explanation: Federal Supply Service (FSS) and Office of Management and Budget (OMB) have partnered to develop ambitious targets andtimeframes for Transportation program long-term measures in the critical areas of customer satisfaction, direct cost control, electronic commerce and savings tocustomers/taxpayers. At the beginning of each fiscal year, senior management negotiates and sets targets. Challenging, yet achievable, targets are set to reflect continual improvement towards accomplishing Transportation's long-term goal of providing an end-to-end fully integrated transportation system/solutions to increase value for customer agencies.

Evidence: FY 2006 Congressional Budget Justification (FSS, T&T programs); FY 2006 Transportation SAP and Transportation Audits SAP

Does the program have a limited number of specific annual performance measures that can demonstrate progress toward achieving the program's long-term goals?

Explanation: Federal Supply Service (FSS) has several annual transportation performance measures and targets that are aligned with the GSA/FSS Strategic Goals and Outcomes. Discount savings from our household goods and freight programs, Transportation, Delivery and Relocation Solutions Schedule, customer satisfaction, Transportation Management Services Solution satisfaction, and savings obtained via pre and post-payment auditing of transportation bills provide customercentric transportation services at increased savings to the government. Achievement of annual performance measures logically align and connect with achievement of longterm goals, outcomes and measures.

Evidence: Guide to the FSS Performance Measurement System, FSS & T&T Scorecard, Use of Performance Measurement Tool

Does the program have baselines and ambitious targets for its annual measures?

Explanation: Baselines are generally set using the previous year's actual. Annual stretch targets (significantly beyond the baselines) are set using a compound annual growth rate (CAGR) methodology as well as through research and analysis of the particular parameters related to each measure.

Evidence: Guide to the FSS Performance Measurement System, FSS & T&T Scorecard

Do all partners (including grantees, sub-grantees, contractors, cost-sharing partners, and other government partners) commit to and work toward the annual and/or long-term goals of the program?

Explanation: Customers and vendors are fully aware of Transportation goals and measures and philosophically share their intent and implementation as their achievement makes them successful as well. GSA associates convene quarterly Partnership meetings with vendors in which program issues are discussed. During these meetings, GSA shares verbatim comments acquired from respondents of the Transportation Customer Satisfaction Survey with its partners and discusses ways to increase customer satisfaction which is one of Transportation's annual and long-term performance measures. The program also employs several customer feedback mechanisms to collect actual performance results along with general information on customer satisfaction. GSA also ties vendor performance to the number of markets in which the vendor can operate. For example, a relocating employee would complete a 3080 rating the vendor on his performance during the move. Once the relocating employee has completed the 3080, the employee's agency forwards it to GSA for review and analysis. Based on feedback from the 3080, GSA assigns a customer satisfaction index to the vendor. If the vendor's composite score is above 105, it is allowed to increase the number of markets in which it operates. If the vendor's composite score is below 95, the number of markets in which it can operate is reduced. GSA rewards those vendors who perform exceptionally and reprimands those who don't. Transportation Programs also uses contract requirements and other agreements (i.e., "tenders") with freight and household goods carriers to communicate performance expectations. All of this is designed to ensure vendors are working towards our annual and long-term goal of enhancing customer satisfaction.

Evidence: Transportation, Delivery and Relocation Solutions solicitation and task order. MT (OGP)/ FB Partnership Meeting Agenda, Quarterly Partnership meetings on Freight and Household Goods, Annual GSA TSP/Carrier Conference, Annual Household Goods and Freight Conference; 2004 Customer Satisfaction Survey

Are independent evaluations of sufficient scope and quality conducted on a regular basis or as needed to support program improvements and evaluate effectiveness and relevance to the problem, interest, or need?

Explanation: In 2002, Federal Supply Service (FSS) began using a consultant to conduct satisfaction surveys of customers and transportation service providers and has continued those surveys annually thereafter. The survey results are interpreted by the contractor and form the basis of FSS action plans to address the survey findings. Though useful for monitoring customer and vendor satisfaction with the transportation program, customer satisfaction surveys do not have the depth and scope of the independent evaluations contemplated by this question. In first quarter 06, Runzheimer conducted an independent evaluation of GSA's Centralized Household Goods Traffic Management Program (CHAMP). During this evaluation, Runzheimer evaluated the effectivess of CHAMP and concluded that CHAMP was indeed effective, relevant and was meeting GSA's long-term goal of providing end-to-end fully integrated management system/solutions to increase value for agency customers, and was relevant. For example, the Runzheimer study found that customer agencies using CHAMP are receiving a 58 percent discount off published commercial rates for household goods transportation. This represents significant savings for customer agencies. GSA's Office of the Inspector General (OIG) will also conduct an independent evaluation of the Freight Management Program and the CHAMP program in third quarter 06. Additionally and on a regular basis, GSA will commission contractor support to conduct an outside review of a particular aspect of the transportation program.

Evidence: GRAB Overview, 2004 CFI customer and vendor satisfaction surveys, Human Capital Plan, FY 06 OIG Audit Plan, Runzheimer CHAMP Assessment

Are Budget requests explicitly tied to accomplishment of the annual and long-term performance goals, and are the resource needs presented in a complete and transparent manner in the program's budget?

Explanation: GSA's Transportation programs utilize GSA's Office of the Chief Financial Officer's Performance Management Process (PMP) to establish its long-term performance goals and measures, as well as to establish its budget estimates. Program budgets are formulated at the operational unit level to ensure that appropriate funding levels are established to execute the programs. The total cost of operations is captured through this process.

Evidence: FY 2006 Congressional Budget Justification (Federal Supply Service, Transportation programs)

Has the program taken meaningful steps to correct its strategic planning deficiencies?

Explanation: In FY 2004, Transportation instituted an annual strategic assessment of its entire program, followed by a resultant Strategic Action Plan, as part of GSA/Federal Supply Service's (FSS's) Performance Management System (PMS). This complements separate development in FY 04 of a detailed internal Strategic Plan for Financial Recovery. Additionally, feedback obtained from the results of customer and vendor satisfaction surveys is used to make program improvements and to assist in strategic planning efforts. GSA has very strong processes for driving performance toward identified goals and has an OMB-approved long-term goal of providing an end-to-end fully integrated management system/solutions to increase value for agency customers. GSA also has annual performance goals and measures with associated baselines and targets that demonstrate progress toward achieving its long-term goal.

Evidence: Guide to the FSS Performance Measurement System, FSS & T&T Scorecard, FY 2006 Congressional Budget Justification (FSS, T&T programs), FY 06 Transportation SAP Audits SAP; Transportation Strategic Assessment

Does the agency regularly collect timely and credible performance information, including information from key program partners, and use it to manage the program and improve performance?

Explanation: Transportation senior management meet quarterly with the Administrator to review performance data collected for every Transportation scorecard measure. This data is collected monthly and progress toward long-term and annual goals and measurement targets is assessed, with corrective actions identified to improve performance as needed. There are also quarterly performance review meetings with associates within the business line. During these meetings, the quarterly actual results of every Transportation measure are discussed in detail. The business line discusses ways in which it can enhance program performance and its financial posture. In FY 2002 Transportation instituted annual customer and transportation service provider satisfaction surveys to identify actions needed for continual improvement with these important program partners. Schedule and tender partners are also required to submit timely performance information such as quarterly shipment reports detaiing expenditures, claims, services ordered by agency, shipment charges, and number of shipments. This information is used to assess the IFF due to GSA and to assess and manage changes in our operating evironment and to pinpoint problem areas or identify opportunities. As new long-term outcome measures are established, the corresponding data will be included in these performance reviews.

Evidence: Guide to the FSS Performance Measurement System, Administrator's Quarterly Performance Review, 2004 CFI customer satisfaction survey and 2004 vendor satisfaction survey; TMSS training surveys; monthly profit and loss statements; FY 05 Financial Plan - Travel and Transportation Programs

Are Federal managers and program partners (including grantees, sub-grantees, contractors, cost-sharing partners, and other government partners) held accountable for cost, schedule and performance results?

Explanation: Federal managers are held accountable through the annual Associate Performance Plan and Appraisal System (APPAS) in which individual performance expectations are aligned with organizational goals. Individual and organizational awards are tied to the achievement of performance goals. Industry partners are held accountable for providing services on time, at or below negotiated prices and with satisfactory results. Accountability for Transportation partners is specified in contracts, task orders and tenders. Moreover, the Performance Scorecard contains measures that directly correlate with vendor performance, e.g. business volume and customer satisfaction. Annual customer satisfaction surveys ask our customers to rate our partners and the services they provide in order to identify actions needed for continual improvement. To hold vendorss accountable for cost, schedule and performance under the household goods program, a Household Goods Carrier Evaluation Report (GSA 3080), is used to assess customer satisfaction with each move. The score a vendor receives on this form is combined with the vendor's total cost of a shipment to calculate a "value index" used for ranking the vendor's presented for agency selection in Transportation Management Services Solution. Freight carriers are held accountable through carrier performance reviews based on complaints (both oral and written) from agencies, reports obtained from carrier pickup records, history files, finance payment records and serious incident reports. If carrier performance is determined to be unsatisfactory, the carrier could be planced in temporary nonuse, debarment and suspension from the Freight Management Program.

Evidence: Guide to the FSS Performance Measurement System; Transportation, Delivery and Relocation Solutions solicitation and task order; Household Goods Tender of Service; Standard Tender of Service

Are funds (Federal and partners') obligated in a timely manner, spent for the intended purpose and accurately reported?

Explanation: GSA Transportation programs in cooperation with the FSS Controllers office utilize a rigorous financial planning process which establishes resources requirements for all operations prior to the execution of the current year's budget and operations. These plans are tracked throughout the year on a monthly basis and compared with actual spending as funds are utilized to execute program operations. Any large variations between planned and actual spending are researched to ensure that program operations are being executed according to plan.

Evidence: GSA's FY 2005 Annual Performance and Accountability Report, Annual performance on program measures as documented in FY 2007 Congressional Justification

Does the program have procedures (e.g. competitive sourcing/cost comparisons, IT improvements, appropriate incentives) to measure and achieve efficiencies and cost effectiveness in program execution?

Explanation: To achieve efficiencies and cost effectiveness, GSA has developed the web-based Transportation Management Services Solution (TMSS) for use by its customer agencies. It is designed to increase efficiency by eliminating paperwork and allowing customers to use the internet to complete transportation transactions. Not only does TMSS provide efficiencies for customer agencies, it provides efficiencies for the Transportation business line. Because transactions are now completed on-line, we're now able to complete processes more timely and eliminate various processes that are no longer needed thereby enhancing program effectiveness. Transportation has three efficiency measures on its scorecard - direct costs as a percent of revenue, percent of audits performed electronically, and percent of claims processed within 120 days. These measures have been approved by the Office of Management and Budget (OMB) and align with OMB's guidance that efficiency measures and targets should focus on per-unit costs of outputs, timing targets, or that they are indicators of efficient and productive processes germane to the programs. In further keeping with OMB guidance in this regard, TMSS provides clear goals of improving efficiency for the program. To ensure competitive pricing for our customers, Transportation seeks vendor pricing based on their commercial prices. Vendors are required to offer to the government prices which are discounts off vendors' commercial rates. To ensure our customers are receiving competitive pricing, vendors are required to submit commercial pricing list and a government pricing listing. Vendors are also required to ensure that its firm and staff maintain required professional certification, accreditation, license and proficiency relative to their area of expertise. Vendors are also required to undergo a very stringent approval process in order to do business under the HHGs and Freight programs. In FY 06, we contracted with Runzheimer to conduct an independent evaluation of our household goods program, the Centralized Household Goods Traffic Management Program (CHAMP) in which Runzheimer consultants were to conduct an extensive unbiased analysis and cost comparison of CHAMP and other commercial procurement methods. Runzheimer found that under the CHAMP, customers are receiving a 58 percent discount off published commercial rates. Internally, we perform quarterly performance measures analyses to assess the accomplishment of our performance and use the feedback to take corrective action when necessary. Senior managers within the business line conduct performance measures update briefings to senior leadership within GSA. Annual customer satisfaction surveys are fielded by an independent contractor, and the feedback we receive from these surveys is used to assess customer satisfaction and to make program improvements. To enhance our cost effectiveness, we regularly review the financial posture of our Transportation programs and have instituted cost-saving measures to improve our financial posture such as a implementing a hiring freeze and more prudent execution of program expenditures. With the advent of TMSS, Transportation has been able to leverage technology thereby enhancing efficiency through automation and has reengineered its business processes. TMSS eliminated the need for several in-house traffic management specialists in Audits who were performing standard transportation management functions. Audits received buyout authority and reduced its direct costs by approximately $555K significantly further improving the financial posture of the Transportation business line. Transportation has instituted stringent industrial funding fee (IFF) tracking procedures to ensure it receives all IFF due, and revenue has increased as a result of its efforts. These cost-saving measures are effective and are evidenced in the actual results of Transportation's FY 05 and first quarter 06 performance measures.

Evidence: GSA FY 2005 Annual Performance Plans and Reports, FY 06 T&T Scorecard, Centralized Household Goods Traffic Management Program (CHAMP) Program Assessment

Does the program collaborate and coordinate effectively with related programs?

Explanation: In order to share best practices and to stay abreast of what's occurring within the Transportation operating environment, Transportation hosts/participates in various inter-Governmental and Government/industry committees, councils and conferences. Transportation's close working relationship with Office of Governmentwide Policy (OGP) ensures consistency between GSA's transportation programs and OGP policies. GSA collaborates and coordinates program and policy issues with transportation service providers and its customers. GSA participates in conferences and/or training forums with the Department of Defense (DOD) who has its own Transportation program. By serving on councils and meeting with other groups, GSA is better able to gain consensus from stakeholders and develop programs that meet the needs of all stakeholders. These events provide stakeholders the opportunity to share information that is instrumental in meeting their needs economically and efficiently. Four examples follow: (1) to better serve its customers by simplifying the method by which customer agencies acquire transportation services, GSA developed an electronic process to acquire transportation services and sought OGP approval for the process. Previously, customer agencies used the hard-copy, nine-part SF1103, Bill of Lading, to acquire transportation services. Customer feedback acquired through discussions during quarterly customer meetings revealed the form was burdensome and that customers were looking for a simplified method to acquire transportation services. OGP eliminated the SF 1103 which left customer agencies without a standard form to acquire transportation services. GSA, through collaboration with customers, TSPs, and with approval from OGP, instituted an electronic Bill of Lading, through its Transportation Management Services Solution (TMSS), that agencies can use to order transportation services. This electronic form provides standardization and is very simple to complete. Customer feedback has been positive. (2), to implement additional process improvements for its customers and TSPs, GSA has also proposed to amend the Federal Management Regulation to discontinue use of the hard copy SF 1113, Public Voucher for Transportation Charges, and its memorandum copy, SF 1113-A. To expedite the receiving and payment of transportation bills, GSA has proposed that agencies use electronic commerce. Customer and TSP feedback from this effort has also been extremely positive. (3) GSA programs provide significant discounts from Transportation baseline prices. Through meetings and discussions with TSPs, GSA is able to negotiate and provide competitive discounts off commercial rates to its customers. Customers using GSA's Centralized Household Goods Program are receiving a 58 percent discount off published commercial rates which equates to significant savings to customer agencies. (4) GSA identifies and recovers TSP overcharges and other debts relating to transportation bills paid by agencies around the word. Each year, GSA detects and recovers millions of dollars in overcharges. Because of these efforts, GSA experienced a significant increase in its customer satisfaction score. In support of the Federal Strategic Sourcing Initiative (FSSI), GSA collaborates with associates from Treasury, Interior, Health and Human Services, Energy, Veterans Administration, and DOD. The intent of this initiative is to leverage the collective buying power of the US Government. Through agency collaboration, domestic delivery services were identified as a viable candidate for government-wide strategic sourcing efforts, and Federal commodity/service teams were developed from the FSSI. GSA, as the procurement arm of the Federal government, participates on the commodity/service teams by providing functional guidance and acquisition support in achieving the FSSI goal to test the ability to strategically source across federal agencies.

Evidence: Governmentwide Transportation Policy Council, Quarterly Partnership meetings on Freight and Household Goods, Annual AMSA/GSA Household Goods and Freight Forum, GSA Expo; DOD's Surface Deployment and Distribution Command's Training Symposium; 2006 Household Goods/Freight CSI Customer Satisfaction Topline Results; Extension of Waiver for OF 1103 and OF 1203; Federal Management Regulation Transportation Payment and Audit - Use of SF 1113, Public Voucher for Transportation Charges Federal Register Notice; OMB Memo Implementing Strategic Sourcing

Does the program use strong financial management practices?

Explanation: GSA's financial management procedures consistently meet high standards as indicated by GSA's 17th consecutive receipt of a "clean audit opinion" on its annual financial statements with no material weaknesses identified in the Transportation program. In addition, GSA's financial systems meet statutory requirements and procedures are in place to provide financial information accurately and timely via the NEAR/Pegasys System. This financial information is the basis for the financial measures appearing on the Performance Scorecard.

Evidence: GSA's FY 04 Annual Performance and Accountability Report; monthly profit and loss statements; quarterly briefings with the administrator; minutes from Transportation Business Line Meeting

Has the program taken meaningful steps to address its management deficiencies?

Explanation: Transportation convenes at least two management conferences during the year covering a multitude of program issues with detailed action plans resulting. Transportation managers also prepare annual assurance statements, which identify management deficiencies and steps for improvement. In 2004, management became aware that program revenues were not sufficient to cover costs and developed a Strategic and Financial Recovery Plan to address this problem. This plan outlined several cost-saving measures to improve the program's financial posture such as a implementing a hiring freeze and more prudent execution of revenue tracking and program expenditure controls. The success of this plan is evidenced in the program's FY 05 performance results, which exceed the targets in all areas.

Evidence: Management Control Improvement Program (ADM P 5400.41A), Audit Resolution and Followup System (ADM P 2030.2C), FY 06 Transportation SAP Transportation Audits SAP, T&T Business Line Management Meeting agenda; FY 05 Financial Plan - Travel and Transportation Programs

Has the program demonstrated adequate progress in achieving its long-term performance goals?

Explanation: Transportation has four long-term outcome goals. One deals with customer satisfaction and has shown continuous improvement and exceeded its annual targets for the past three years. The other three are new and their actual FY 06 results had no corresponding targets.

Evidence: FY 2006 Congressional Budget Justification (FSS, T&T programs), TMSS overview

Does the program (including program partners) achieve its annual performance goals?

Explanation: Transportation achieved many financial and non-financial performance goals from FY 02 to FY 05, but fell below acceptable levels in some financial measures in FY 04. To enhance our performance in this area, GSA developed a financial get-well plan and implemented numerous cost cutting initiatives. FY 05 and 06 actual cost figures show Transportation is benefiting from these initiatives. Transportation continued to exceed the direct cost as a percent of revenue target for FY 06, but fell short of the targets for percent of audits performed electronically and the percent of claims processed within 120 days. .

Evidence: FY 06 Performance Scorecard; Transportation and Audits SAP

Does the program demonstrate improved efficiencies or cost effectiveness in achieving program goals each year?

Explanation: Transportation has three Office of Management and Budget (OMB) approved efficiency measures - direct costs as a percent of revenue, percent of claims processed within 120 days and percent of audits performed electronically. In FY 06, two of these three annual efficiency measures showed improvement, although two of the measures failed to meet the annual targets.

Evidence: FY 2004 GSA Annual Performance Plan, FY 2006 Congressional Budget Justification (FSS, T&T programs), FY 06 T&T Performance Scorecard Results; FY 05 Financial Plan - Travel and Transportation Programs

Does the performance of this program compare favorably to other programs, including government, private, etc., with similar purpose and goals?

Explanation: In terms of price and service, Transportation programs compare favorably to commercial rates. In December 2005, Runzheimer conducted an independent analysis of our Centralized Household Goods Traffic Management Program (CHAMP) and during the analysis, Runzheimer compared CHAMP to commercial/private sector transportation programs and found that CHAMP compares favorably to private sector programs. Runzheimer found that the discounts agencies receive under the CHAMP program are comparable to discounts negotiated by corporate relocation programs. Runzheimer found that GSA's customer agencies receive, on average, a 58 percent discount off published commercial rates for household goods transportation. Runzheimer also found that this discount level is comparable to discounts negotiated under corporate relocation programs. GSA's Domestic Delivery Services program also provides the opportunity for substantial savings for Federal agencies. Domestic Delivery Services are available under GSA's Transportation, Delivery and Relocation Services Schedule at rates that represent at least 69% off published commercial rates.

Evidence: GSA's TMSS publication; Presentation by American Moving and Storage Association to the Government Relocation Advisory Board on 5/25/05; Runzheimer's Centralized Household goods Traffic Management Program (CHAMP) Program Assessment

Do independent evaluations of sufficient scope and quality indicate that the program is effective and achieving results?

Explanation: GSA contracted with Runzheimer Associates to assess the effectiveness of GSA's Centralized Household Goods Traffic Management Program (CHAMP). In first quarter FY 06, Runzheimer conducted an independent evaluation of CHAMP and determined that CHAMP is effective and achieving results in terms of cost savings and customer agency satisfaction. To further ensure that Transportation programs are effective and achieving results, GSA began an Office of Inspector General (OIG) evaluation of these programs during third quarter FY 06. GSA also met with OIG associates in third quarter FY 06 to discuss regular OIG evaluations of Transportation programs. When the OIG is unable to schedule independent evaluations, GSA will contract for independent evaluations. GSA has budgeted for such evaluations in its FY 07 operating expense budget.

Evidence: GSA Form 3080; Runzheimer's CHAMP Assessment, FY 06 OIG Audit Plan