Latest news with #GHC
Yahoo
23-05-2025
- Business
- Yahoo
Hegseth orders immediate changes to troops' household goods program
With peak military moving season in full swing, Defense Secretary Pete Hegseth has ordered immediate changes to the system that moves troops' household goods, in light of 'recent deficiencies' in the performance of the new Global Household Goods Contract, according to a Pentagon memo. That includes increasing the reimbursement rate for troops and families who decide to move all or part of their household goods themselves to 130% of what the government would have paid under the GHC contract for personally procured moves made May 15 through Sept. 30. The rate is currently 100%. 'I take my responsibilities to our service members, civilians and their families seriously,' Hegseth wrote in a May 20 memo to senior Pentagon leaders, combatant commanders and defense agencies. The new contract, worth potentially up to $17.9 billion over nine years, is aimed at fixing long-standing problems with missed pickup and delivery dates, broken and lost items and claims. However, amid the contract's rocky rollout this year, families have reported delays in getting their household goods picked up and delivered. 'We know it's not working and it's only getting worse. We've heard your concerns about contractor performance quality and accountability. We hear you loud and clear. That's why we're taking decisive action immediately,' Hegseth said in a video posted on X. He described the process as 'a mess,' and acknowledged 'it's never been a great system.' The current GHC rates 'fail to reflect market rates,' Hegseth said. He's ordered a review of the rates being paid to movers under both the new GHC system, which consolidates management under a single contractor, HomeSafe Alliance, and the legacy system, in an effort to ensure enough companies participate in moving troops' household goods. And since the rates for reimbursing service members for moving themselves are tied to those GHC rates, Hegseth ordered the increase to 130% of the GHC rate for personally procured moves. Hegseth has directed U.S. Transportation Command to hold both the GHC and the legacy moving program 'accountable' and to provide weekly updates to the offices of the undersecretary of defense for personnel and readiness and undersecretary of defense for acquisition and sustainment. He's also ordered both of those offices to form a PCS task force to 'act decisively to improve, expand, terminate or transfer GHC or [legacy program] responsibilities as needed,' according to the memo. 'We're going to fix it holistically after peak moving season, and we're going to throw the kitchen sink at it to make sure your moves work this season as well,' Hegseth said. TRANSCOM, which had been gradually ramping up the volume of the moves with HomeSafe Alliance, since April 2024, had expected to move all domestic shipments under the new contract by this year's peak moving season, but they scrapped that plan earlier this year as problems began to mount with HomeSafe Alliance's ability to provide enough capacity to pack, load, truck and unload service members' belongs. Season of Uncertainty: Many questions remain as peak military moving time approaches In the meantime, officials are continuing to use both the new GHC system and the legacy system to move people, in an effort to ensure there are enough movers. Hegseth also said he fired Andy Dawson, the civilian head of the program, replacing him with a two-star general, Army Maj. Gen. Lance G. Curtis, commander of the Military Surface Deployment and Distribution Command, who will report directly to Hegseth. Defense officials have had multiple meetings about the problem over the past few weeks, Hegseth said. A number of moving companies have declined to participate in the new GHC system, citing lower rates than they've been traditionally paid. When GHC can't find a mover for a service member's belongings, it turns the shipment back to TRANSCOM, and the shipment goes to a mover in the legacy system. At least 5,700 shipments have had to be turned away from GHC, according to the most recent estimate. But movers have complained that legacy system rates released earlier this month are also lower than those of previous years, further contributing to a lack of capacity to move household goods. 'It's a season of instability' for moving companies, said Dan Bradley, vice president of government and military relations for the International Association of Movers. It's been difficult for moving companies to plan for the season and make important decisions such as buying more trucks and hiring personnel, especially since until recently they were under the impression that 100% of DOD moves would be made under GHC, he said. 'They want to support service members in those moves,' he said, but it's difficult to turn around at the drop of a hat. 'They're doing the best they can. They want to stay in the program.'
Yahoo
23-05-2025
- Business
- Yahoo
Problems with Privatized Household Goods Shipments Prompt Hegseth to Order Immediate Changes
Defense Secretary Pete Hegseth has ordered immediate changes to address a multitude of problems this year with domestic military permanent change of station moves under the Global Household Goods Contract, or GHC. In a memo Tuesday to senior leaders and combatant commanders, Hegseth announced that he has ordered U.S. Transportation Command to address what he called "recent deficiencies" in performance by HomeSafe Alliance, the company that manages the $7.2 billion contract to run the department's moving process. Military families with PCS orders this year have reported numerous issues with scheduling and executing moves, such as packers who don't show up, delayed pickups and deliveries, and cancellations. Read Next: GOP's 'Big Beautiful' Bill with $8.5 Billion for Military Quality-of-Life Boost Passes House Hegseth outlined six steps Transportation Command will take to better support military personnel and their families when they move. "Relocating our personnel is critical to the military mission, putting human resources and expertise where they are needed to defend the nation," Hegseth wrote. According to the memo, Transportation Command must immediately hold HomeSafe Alliance, as well as the legacy system, known as Tender of Service, accountable in meeting performance benchmarks, providing weekly updates to senior Pentagon acquisition and personnel leadership. The command also must make sure that the GHC is fully operational and, where it falls short, moves should be transferred to the legacy program. The contract, which has been in the works for years, was designed to privatize management of troops' household goods shipments during moves -- and solve widespread dissatisfaction among military families over the handling of the shipments by Transportation Command and the military. Transportation Command must review the rates it pays to HomeSafe under the contract, and "if appropriate, implement economic price adjustments" to raise the rates, which have been criticized by industry officials as not competitive with market rates. And, most important to military families who prefer to execute moves themselves, Hegseth increased the rate the Defense Department will pay service members to move themselves -- a "personally procured move" -- to up to 130% of what HomeSafe is currently supposed to receive if the company performed the move. "As I have determined that the current GHC rates fail to reflect market rates and are in excess of 130% of current GHC rates, implement adjustments to the government constructed costs for reimbursement of personally procured moves from May 15, 2025, through September 30, 2025," Hegseth wrote. HomeSafe Alliance won the household goods contract in 2021 following a series of protests over the award by other bidders. Under the contract, the entire moving process, from scheduling, packing, pickup and delivery, is supposed to be managed by the private company. HomeSafe Alliance conducted test moves last year, and this year was supposed to handle the majority of the domestic moves. According to the publication Federal News Network, however, just 25% of domestic moves had been assigned to GHC by April and, of those, 1,600 were turned back over to the legacy system because HomeSafe couldn't handle the capacity. The DoD oversees roughly 400,000 household goods shipments each year -- 15% of all moves in the U.S. In a statement to HomeSafe Alliance officials said they were grateful for the directive, adding that it will "greatly improve moving experiences for military service members and their families." "DoD raising our rates to account for significant inflation from the last four years would substantially benefit our ability to facilitate world-class moving services for our nation's heroes," the company said in a statement. But Dan Hilton, executive director of the American Trucking Associations' Moving and Storage Conference, expressed continued reservations over the contract, which replaced a program that "continues to work well with service members." "We remain concerned over the GHC contractor's unpreparedness, due to lack of industry engagement in its program, to handle any meaningful volume during this peak season. It's been the experience of our members that the traditional ToS capacity has been unable to adequately plan for peak season due to the GHC contractor's failed implementation," Hilton said in a statement Wednesday. Megan Harless, an Army veteran and military spouse who has become an advocate for military families undergoing PCS moves, called the memo and the increases for do-it-yourself moves "a step in the right direction." "It's what we've been asking for since January. This, accountability and transparency," Harless said in a statement on her LinkedIn page. As part of the order, Hegseth also created a PCS Task Force to review the process and make recommendations for improving, expanding, transferring or terminating the contract or responsibilities of HomeSafe or the legacy system. In their statement, HomeSafe officials said they "look forward to working" with the task force to show how their program modernizes the move process and "resolves decades-long issues with military relocations." As part of the ongoing concerns with the PCS process, Transportation Command also relieved Andy Dawson, director of the Defense Personal Property Management Office, this week. He has been temporarily replaced by Army Maj. Gen. Lance Curtis. Hegseth said that the measures will help ensure that "our warriors and their families receive the best PCS move available." "The department owes them nothing less, and getting this right is part of restoring their trust in our military," he wrote. Related: Army Pulls Back Household Goods Shipments as Privatized Moving Contract Leads to Widespread Issues
IOL News
15-05-2025
- Business
- IOL News
Residents demand action as Elsies River housing project remains abandoned
This property could potentially house more than 200 people. Image: Ayanda Ndamane A stalled housing development in Elsies River has become the subject of a legal dispute and growing frustration among residents, as court documents reveal a messy fallout between a Cape Town contractor and a developer over an incomplete R126 million project. According to the documents, Good Hope Plasterers CC, trading as Good Hope Construction (GHC), entered into an agreement with E-Junction Property Developers (EJPD) to construct the Stay Junction development—a 276-unit mixed-use residential project in Elsies River. But years later, the site remains abandoned and partially built, as the two parties battle over financial guarantees and allegations of fraud and non-performance. GHC approached the Western Cape High Court in an attempt to stop EJPD from calling up two guarantees, arguing that they were tied to a 2020 contract which EJPD now disavows. GHC claimed the guarantees were fraudulently triggered. EJPD has denied these claims, counter-alleging poor workmanship and delays by the contractor. In a rare twist, the insurer also sided with GHC, alleging the guarantees were issued based on misrepresentation. GHC later withdrew its court application, but EJPD's counterclaim remains before the court. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. 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Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ National Prosecuting Authority spokesperson Eric Ntabazalila confirmed the matter is a civil case. 'It doesn't look like a matter we would be involved in. It's a civil matter – two parties taking each other to court. No prosecution,' he said, adding that only the involved companies or their legal teams could comment further. The Cape Argus previously reported that the development was listed for auction, but no information has been made available as to whether it was sold. The auction advert described the four-storey building as consisting of 100 unsectionalised apartments and ground-floor retail space. It was offered with an opening bid of R45 million and a projected rental income of R850,000 per month. Elsies River ward councillor Christopher Jordaan said the situation is a major missed opportunity for the area. 'We have massive overcrowding and so many backyard dwellers. Why doesn't the City step in?' he asked. 'At the moment it's abandoned—some windows are broken—and there's growing concern it could become a crime hotspot.' The busy Halt Road in Elsies River. Residents believe the building can boost their local economy Image: Henk Kruger Jordaan said the project is a key part of the City's broader Voortrekker Road Corridor development plan. 'If the place was completed and fully let, it would be a major boost to the Elsies River CBD and local economy. Right now, it's an eyesore,' he said. He proposed that the City buy the property or hand it over to a social housing agency to manage or rent out. 'We've had several discussions in our caucus and sub-council about this. The plans were approved, typologies were presented, but there's been no movement,' Jordaan said. 'I want this property to benefit our community. It was supposed to be low-cost housing. It should not be allowed to go to waste.' Theodore Marais of the Riverton Residents Association echoed Jordaan's concerns. 'Although we initially opposed the development due to a lack of engagement, we afterward agreed. Now it's an abandoned structure that has the potential of servicing the community's needs. 'We want to know what type of oversight the City has over projects? Why can't they intervene? Buy the property and put it to use,' Marais said. When the City was approached with the community's concerns, they advised the media to contact the owners. 'The property is privately owned,' the City said. Weekend Argus tried to reach out to the numbers provided on Good Hope Properties website including the development phone numbers, which goes unanswered. The one number that was answered, the sales agent explained that their number was used on the website without consent and that they never worked with the company. An email was also sent through the 'contact us' request option but after four days no response was given. Weekend Argus
Yahoo
13-05-2025
- Business
- Yahoo
Military moving issues: Rates for service providers ‘not favorable' under new program
May is the start of the busy military moving season, and thousands of local service members could be caught in the fallout of a new program. Action News Jax has been investigating the military's rollout of the Global Household Goods Contract. Investigator Emily Turner talked to military members whose goods were late or lost. As a result of all the issues, the military dialed back the new program and its company, Homesafe Alliance. Now, she's talking to local business owners who are caught in the breakdown as well. Usually, this is the time of year when Stefan Cordeiro with Stewart Moving and Storage would be ramping up and running his crews hard. This year, he said, that's not quite the case. 'Last year in April, we hauled roughly about a million and a half, one million five hundred thousand pounds of furniture,' he said. 'This April, we hauled just a little over 500,000 pounds.' [DOWNLOAD: Free Action News Jax app for alerts as news breaks] That's a significant drop and a big difference to the bottom line. Military moves, the bulk of his business, are supposed to be sent to a new company, Homesafe Alliance. As Action News Jax has already reported, that decision launched a lawsuit, a petition, and a bevvy of complaints within the community the new program was supposed to help. [SIGN UP: Action News Jax Daily Headlines Newsletter] 'The stress does not end from start to finish,' Jacksonville Navy member Olivia said. As a result, the military scaled back the rollout of GHC, but the fallout continues. The problems have gotten so bad, Action News Jax has obtained a copy of a notice the Army issued, delaying new GHC moves with Homesafe. Cordeiro chose not to work through Homesafe because he said the rates it sets are unsustainable. 'You either take the work and what they're offering,' he said, 'and their contract is not favorable in any means to the actual service provider.' And even though he can still move military members outside of that program, it's still costing him money. He said rates he was able to charge the military just last year are now being rejected, slashing the number of moves he can make and the revenue he gets from them. Letter to Transcom 4 by ActionNewsJax on Scribd Letter to Transcom by ActionNewsJax on Scribd Letter to Transcom Round 2 by ActionNewsJax on Scribd Letter to Andy Dawson3 by ActionNewsJax on Scribd Cordeiro has written the head of the United States Transportation Command several times and met with them once, hoping to effect change before things get worse. He's had no luck, though, saying, 'Everybody has been spewing their concerns for at least the last two years now, and it's just falling on deaf ears.' We reached out to Transcomm almost a week ago for a comment and data on how the Homesafe rollout is going. We were told they're working on the data and that they are 'anticipating some new information soon.' We'll let you know what that is when they tell us. Click here to download the free Action News Jax news and weather apps, click here to download the Action News Jax Now app for your smart TV and click here to stream Action News Jax live.
Yahoo
11-05-2025
- Business
- Yahoo
Graham Holdings' (NYSE:GHC) Solid Profits Have Weak Fundamentals
Graham Holdings Company (NYSE:GHC) announced strong profits, but the stock was stagnant. We did some digging, and we found some concerning factors in the details. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. To properly understand Graham Holdings' profit results, we need to consider the US$76m gain attributed to unusual items. While it's always nice to have higher profit, a large contribution from unusual items sometimes dampens our enthusiasm. When we analysed the vast majority of listed companies worldwide, we found that significant unusual items are often not repeated. Which is hardly surprising, given the name. Assuming those unusual items don't show up again in the current year, we'd thus expect profit to be weaker next year (in the absence of business growth, that is). That might leave you wondering what analysts are forecasting in terms of future profitability. Luckily, you can click here to see an interactive graph depicting future profitability, based on their estimates. We'd posit that Graham Holdings' statutory earnings aren't a clean read on ongoing productivity, due to the large unusual item. Therefore, it seems possible to us that Graham Holdings' true underlying earnings power is actually less than its statutory profit. But the good news is that its EPS growth over the last three years has been very impressive. The goal of this article has been to assess how well we can rely on the statutory earnings to reflect the company's potential, but there is plenty more to consider. Obviously, we love to consider the historical data to inform our opinion of a company. But it can be really valuable to consider what other analysts are forecasting. So feel free to check out our free graph representing analyst forecasts. This note has only looked at a single factor that sheds light on the nature of Graham Holdings' profit. But there are plenty of other ways to inform your opinion of a company. Some people consider a high return on equity to be a good sign of a quality business. While it might take a little research on your behalf, you may find this free collection of companies boasting high return on equity, or this list of stocks with significant insider holdings to be useful. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
