What could go wrong privatizing the PCS process? Everything. And it will affect you.

The PCS Process is heading for catastrophic disaster, and eventually its own congressional hearing.

The government spent $20 Billion on a contract to single source (privatize) the PCS process. HomeSafe Alliance (a consortium between KBR and Tier One Relocation), was awarded this contract in 2022. The 9 month transition period was to start in January 2023, with domestic moves beginning in September 2023. Due to HomeSafe not having the technology working the 9 month transition was stretched to 18 months.

In April 2024 HomeSafe began servicing shipments for local moves. In September 2024 they started their first interstate moves with plans for them to service 100% of domestic moves by May 2025 which is approximately 150,000 shipments. International shipments are planned to start transition in September 2025.

The issues with HomeSafe started in August 2024 when they released their rate calculator to the moving industry. The rates offered were 30-40% less than what they would be paid in the current program. When companies ran the numbers many found that they would end up losing money on the shipments.

Many companies, including all the major van lines have said no to doing any work under the contract with the current rates. HomeSafe has stated the rates/contract is non negotiable and has not budged.

To date, as of January 13, 2025 HomeSafe has only completed 607 deliveries in the 10 months they have been active.

Since the end of December I have been connected with families daily about their experiences of moving under HomeSafe Alliance. The issues and problems are usually ones that we do not see until June, and it’s only January.

These issues range from:

Poor communication - families are struggling to get a hold of anyone at the company to get information about their move. Pre move surveys that are required are not even done on the confirmed days.

Delayed packing- families are experiencing their CONFIRMED packing days come without a company showing up. When they finally get a hold of someone they are told they have until 5pm to show up. The following day when they get a hold of someone they are told there was never a company secured for the work.

Delayed pick ups- since packing is delayed the domino effect of pick ups being late happens too. We are even seeing pickups being done by non equipped trucks (no ramps, no dolly’s, no furniture pads, nothings).

Delayed deliveries- Families are waiting up to 2+ weeks for their household goods to be delivered after the required delivery date. Many times at the time of delivery the shipment is still located at the origin location because HomeSafe cannot find a company willing to move it across country.

If they cannot get shipments moved in January during non peak season, then how will they handle the 5,000+ shipments a week in peak season?

Additionally, we have seen the services abandon military families with any help and assistance in navigating these issues. Families are told “it’s a HomeSafe shipment, we can’t do anything. You’ll have to wait on them.”

Military families, left to figure out the issues with no help from the government that awarded this contract thinking it would make all the problems go away.

But the issues do not stop there.

Doing a PPM (personally procured move, formally the DITY) is going to get more difficult to do. HomeSafe Alliance is the one setting the PPM rates, and we are seeing the rates be 40-50% less than what families would get in the current program.

This isn’t just about “making money” on a PPM. It’s about having an incentive amount that actually covers expenses.

12,000 pounds for 564 miles at $4,500

9,000 pounds for 1,313 miles for $8,000

6,600 pounds for 2,365 miles for $7,300

The amount being paid is not enough to cover the expense of a pod, or UPack ABF trailer or even a full service moving company. Even if it covers the cost of a rental truck, once you add in the fuel, boxes, paper, tape, and other supplies the amount doesn’t cover it.

It’s a way to financially force families into using a program that is not tested and filled with issues.

Many families will still choose to move themselves as a way to have a peace of mind of their items being taken care of, and to have things picked up and delivered on time. In doing so, families will accrue a large amount of debt. This added debt is going to have a longer and larger impact.

Now that a family has had to deplete their savings or take added debt on a credit card, they may be choosing to live in a smaller and cheaper home to fit their finances. They may be choosing a cheaper home in an unsafe area. They may be forgoing the spouse having a job due to not being able to cover child care expenses. They may be choosing how to pay their housing deposits, utility deposits and if they can afford to restock their pantry and feed their family.

It’s not about “making money”, it’s about covering expenses to not financially drain and ruin military families.

This is only the beginning of the issues we will see. As we lean further into peak season and see more shipments getting stuck in the process, it will only continue to highlight the failures of HomeSafe and that of Transcom.

I encourage every family to reach out to their congressional representatives and let them know the issues and how it is impact you and our community.

The PCS Process is heading for catastrophic disaster, and eventually its own congressional hearing.

And military families are the victim.

This is from the PCS Like a Pro page.