In mid-May, the California Moving and Storage Association (CMSA) sent a letter to each member of the California Congressional Delegation, comprising 52 individuals (43 Democrats and 9 Republicans), as well as California’s two United States Senators (both Democrats). A copy of the letter is on pages 22 & 23 of this issue of the Communicator. As you might imagine, the letter focuses on military moving and US TransCom’s failing Global Household Goods Contract (GHC).  Their ineffectual rollout would be almost comical in its implementation, but for the disastrous impact on military families trying to PCS, and the disastrous economic war on the traditional brick and mortar mover who has always worked hard to serve our military customers. Our letter asks Congress to intercede in the process, supporting a halt to the failing concept until a pending study by the U.S. Government Accountability Office (GAO) of the program is completed and its impact reviewed.

While I was reminded by a colleague with a legislative background that Congress has no direct input on whether US TransCom delays the program or not, I still believe that the letter has real value. The letter generated several congressional responses, and I had two team calls where congressional staffers asked for our input on the issue. The second, and in my opinion, the more impactful meeting was with Justin Smith, a Fellow for California Congressman John Garamendi (D) of the 8th district, a congressman since 2009, and the ranking member of the House Armed Services Readiness Subcommittee. Justin is an Air Force Major doing a one-year Fellowship assignment with the Congressman. He has moved several times and is well aware of the issues with the Global Household Goods contract. He is aware of the hypocrisy of the turnbacks and the negative impacts of a large, short-fuse list. He understands the challenges of the PPM program that doesn’t seem to adequately cover a member's self-move. He also makes the connection from that pricing to the insufficient revenue to the professional mover.

One area that was new and of interest to him was the historic relationship between industry associations and US TransCom and its predecessor, SDDC. Before General Lyon’s move to a Global Household Goods contract, the industry trade associations, including CMSA, were actively involved with military leadership on issues related to the program and its participants. Associations were the voice for the majority of our industry. In my opinion, General Lyon did not like a strong and generally unified voice and cleverly knew that one-on-one, almost no individual moving companies would be on a level playing field; therefore, he blocked long-respected industry trade associations from a dialogue. General Lyon’s strategy worked for him and his successors, Generals Van Ovost and Reed, as well as SES Robert A. Dawson, Director of the Defense Personal Property Management Office, US TransCom, at least until May 20th, when he was dismissed.

Defense Secretary Pete Hegseth has acknowledged significant shortcomings in the Global Household Goods Contract (GHC) and has directed immediate changes to address these issues. In a memorandum dated May 20, 2025, Hegseth noted that the PCS process has "never been a great system," and recent changes have made things worse. He emphasized that the rates offered to moving subcontractors via HomeSafe "fail to reflect market rates," leading to a capacity crisis in the military moving system. Hegseth has ordered U.S. Transportation Command to develop and implement rates similar to the legacy Tender of Service system within GHC to increase vendor capacity and ensure enough companies are willing to move military family household goods to the next duty station.

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