B-144429, JAN. 28, 1965

B-144429, JAN. 28, 1965

TO THE HONORABLE SECRETARY OF DEFENSE:

REFERENCE IS MADE TO YOUR LETTER OF SEPTEMBER 14, 1964, FROM THE ASSISTANT SECRETARY OF DEFENSE (COMPTROLLER), SUBMITTING A COPY OF MEMORANDUM DATED AUGUST 14, 1964, PREPARED BY THE DIRECTOR, DEFENSE SUPPLY AGENCY, AND TWO COPIES OF A BROCHURE TITLED "PROPOSES SIMPLIFIED DOCUMENTATION AND PROCEDURES FOR HANDLING CERTAIN SMALL SHIPMENTS FOR THE DEPARTMENT OF DEFENSE" WHICH SUMMARIZES THE RESULTS OF RESEARCH ACCOMPLISHED BY THE DEFENSE TRAFFIC MANAGEMENT SERVICE DURING THE PAST SEVERAL YEARS ON HANDLING OF SMALL SHIPMENTS. WE ARE REQUESTED TO CONSIDER MODIFICATION OF PRESCRIBED FORMS AND PROCEDURES RELATING TO TRANSPORTATION SERVICES FURNISHED FOR THE ACCOUNT OF THE UNITED STATES, AS PROPOSED IN THE BROCHURE PREPARED BY THE DEFENSE TRAFFIC MANAGEMENT SERVICE.

TAB A OF THE BROCHURE REFERS TO THE SIX-MONTH TEST CONDUCTED BY THE DEFENSE TRAFFIC MANAGEMENT SERVICE (DTMS) ON THE USE OF SIMPLIFIED DOCUMENTATION, HANDLING, AND PAYMENT PROCEDURES FOR SMALL SHIPMENTS BY REA EXPRESS--- WHICH WAS AUTHORIZED BY OUR LETTER OF DECEMBER 27, 1960, B- 144429--- AND DTMS EVALUATION REPORT THEREON ISSUED IN SEPTEMBER 1962. MEMORANDUM OF AUGUST 13, 1963 (TAB 8), THE ASSISTANT SECRETARY OF DEFENSE (COMPTROLLER) NOTIFIED THE DIRECTOR, DEFENSE SUPPLY AGENCY, OF OUR LETTER OF JULY 29, 1963, B-144429, GRANTING AUTHORITY TO EXPAND THE TEST PROCEDURES FOR GENERAL USE BY THE DEPARTMENT OF DEFENSE, SUBJECT TO CERTAIN CONDITIONS, AND DIRECTED THAT APPROPRIATE ACTION SHOULD BE TAKEN TO CONSIDER FULLY THE EXPANSION OF THE PROGRAM TO ADDITIONAL AREAS WHERE IT IS DETERMINED SIMPLIFICATION AND GREATER EFFICIENCY IN THE HANDLING OF SMALL SHIPMENTS WILL RESULT.

ACCORDINGLY, THE REA EXPRESS WAYBILL AND THE PROCEDURES COVERING ITS USE WERE MODIFIED AS RECOMMENDED IN OUR LETTER OF JULY 29, 1963, BUT DURING THE REVISION STAGES CONSIDERATION WAS GIVEN TO EXTENDING THE APPLICATION OF THE PROCEDURES TO OTHER CARRIERS SPECIALIZING IN THE HANDLING OF SMALL SHIPMENTS. TO THIS END, MEETINGS WERE HELD WITH NATIONAL BUS TRAFFIC ASSOCIATION, REA EXPRESS, AND UNITED PARCEL SERVICE REPRESENTATIVES WHO INDICATED AN INTEREST AND WILLINGNESS TO PARTICIPATE IN THE PROGRAM. DTMS THEN, IN COLLABORATION WITH THE TRANSPORTATION INDUSTRY, DEVELOPED SHIPPING DOCUMENTS AND PROCEDURES FOR BUS (TAB D), REA EXPRESS (TAB E), AND UNITED PARCEL SERVICE (TAB F).

AT THIS TIME, DTMS RECOGNIZED A NUMBER OF DISADVANTAGES ARISING FROM THE ATTEMPT TO PROVIDE FOR THE PECULIARITIES OF EACH OF THE TRANSPORTATION SYSTEMS IN UNIFORM DOCUMENTATION AND PROCEDURES. AMONG THESE DISADVANTAGES WERE THE PROBLEMS THAT WOULD ARISE IN THE MAINTENANCE AND PROVISION OF ADEQUATE SUPPLIES OF SHIPPING DOCUMENTS WHICH THE INDIVIDUAL CARRIERS HAD AGREED TO PREPRINT AND FURNISH TO ALL MILITARY SHIPPERS; THE LOSS OF ACCOUNTABILITY CONTROL PROVIDED BY THE GOVERNMENT BILL OF LADING NUMBER; AND THE NEED FOR ADDITIONAL SPACE ON THE DOCUMENTATION IMPOSED BY THE REQUIREMENTS OF THE MILITARY STANDARD REQUISITIONING AND ISSUE PROCEDURES AND THE MILITARY STANDARD TRANSPORTATION AND MOVEMENT PROCEDURES.

CONSEQUENTLY, DTMS MADE A RE-EVALUATION OF THE STANDARD U.S. GOVERNMENT BILL OF LADING AND DELETED ALL INFORMATION CONSIDERED NOT ESSENTIAL FOR SMALL SHIPMENTS AND ADDED CERTAIN DESIRABLE FEATURES WHICH WERE DEVELOPED THROUGH RESEARCH. FROM THIS PROCESS EVOLVED THE PROPOSED SHORT FORM--- U.S. GOVERNMENT BILL OF LADING (TAB G) WHICH IT IS CLAIMED WILL PROVIDE THE MEANS FOR ACHIEVING THE OBJECTIVES SOUGHT. AMONG THE ADVANTAGES CLAIMED FOR THE SHORT FORM BILL OF LADING IS THE RETENTION OF ACCOUNTABILITY, AND SIMPLICITY AND UNIFORMITY FOR GENERAL USE.

IN OUR LETTER OF JULY 29, 1963, B-144429, WE APPROVED THE ELIMINATION OF THE REQUIREMENT THAT REA EXPRESS PROVIDE SIGNATURE PROOF OF DELIVERY AS A CONDITION PRECEDENT TO PAYMENT, PROVIDED THE OTHER PROCEDURES APPROVED FOR THE TEST WERE CONTINUED. THESE PROCEDURES REQUIRED SIGNATURE PROOF OF DELIVERY ON THE NUMBER 2 (CARRIER-S) COPY AND DELIVERY ANNOTATIONS ON THE NUMBER 6 COPY (PROPERTY RECEIVED RECORD); AND ALSO PRESCRIBED METHODS FOR HANDLING EXCEPTIONS TO DELIVERY IN GOOD ORDER, NON-DELIVERY, OR REJECTION OF AN ENTIRE SHIPMENT.

SOMEWHAT SIMILAR PROCEDURES COVERING USE OF THE SHORT FORM BILL OF LADING ARE NOW PROPOSED FOR THE HANDLING OF SMALL SHIPMENTS BY BUS, REA EXPRESS, AND UNITED PARCEL SERVICE, INCLUDING ELIMINATION OF THE CONSIGNEE'S CERTIFICATE OF DELIVERY FROM THE SHORT FORM BILL OF LADING AND RETENTION OF THE REQUIREMENT THAT CARRIERS SHALL WAIT 30 DAYS AFTER RECEIPT OF THE SHIPMENT BEFORE PRESENTING THEIR BILLS FOR PAYMENT.

AS WE UNDERSTAND IT, THE SHORT FORM BILL OF LADING WILL BE ASSEMBLED INTO 6-PART, CARBON INTERLEAVED SNAP-OUT SETS. THESE SETS WILL, IN THE EXACT ORDER NAMED, CONSIST OF:

A. ORIGINAL--- THE ORIGINAL BILL OF LADING--- WHICH CONTAINS THE TERMS AND CONDITIONS OF THE CONTRACT OF CARRIAGE AND THE DESCRIPTION OF THE ARTICLES COMPRISING THE SHIPMENT--- FOR SUBMISSION TO THE RESPONSIBLE FINANCE OFFICE FOR PAYMENT OF CHARGES BY THE CARRIER AS SUPPORTING EVIDENCE FOR THE PUBLIC VOUCHER FOR TRANSPORTATION CHARGES, SF 1113.

B. COPY NO. 2--- THE SHIPPING ORDER--- TO BE RETAINED BY THE CARRIER FOR INTERNAL USE AND ACCOUNTING PROCEDURES.

C. COPY NO. 3--- THE CONSIGNEE COPY--- TO BE SENT TO THE CONSIGNEE AS A "NOTICE OF SHIPMENT" AND "PROPERTY RECEIVED COPY," AND CONTAINS ON THE REVERSE SIDE THEREOF PROVISION FOR ANNOTATION BY THE CONSIGNEE IN THE EVENT OF EXCEPTIONS TO DELIVERY IN GOOD ORDER.

D. COPY NO. 4--- A MEMORANDUM COPY--- FOR RETENTION BY THE ORIGIN TRANSPORTATION OFFICER AS THE "PROPERTY SHIPPED COPY.'

E. COPY NO. 5--- A MEMORANDUM COPY--- TO BE SENT TO THE APPROPRIATE DEFENSE TRAFFIC MANAGEMENT SERVICE REGIONAL OFFICE.

F. COPY NO. 6--- A MEMORANDUM COPY--- TO BE RETAINED AT THE SHIPPING INSTALLATION FOR OBLIGATION OF FUNDS.

WE HAVE BEEN INFORMED THAT "FREIGHT WAYBILL" COPIES HAVE BEEN PURPOSELY OMITTED FROM THE PROPOSED SET OF FORMS BECAUSE THESE COPIES ARE NOT REQUIRED FOR SHIPMENTS BY BUS, REA EXPRESS, OR UNITED PARCEL SERVICE.

THE ISSUING OFFICER AT THE ORIGIN INSTALLATION WILL PREPARE THE SHORT FORM BILL OF LADING AND DISTRIBUTE THE COPIES AS REQUIRED.

IF THE ORIGINAL SHORT FORM BILL OF LADING HAS BEEN LOST OR DESTROYED, THE CARRIER WILL SUBMIT A WRITTEN REQUEST TO THE ISSUING OFFICE REQUESTING THAT IT BE FURNISHED A CERTIFIED TRUE COPY OF THE LOST ORIGINAL. UPON RECEIPT OF THE WRITTEN REQUEST, THE ISSUING OFFICER WILL PREPARE A COPY IN DUPLICATE OF THE "PROPERTY SHIPPED COPY.' BOTH COPIES WILL BE ANNOTATED AND SIGNED BY THE ISSUING OFFICER AS FOLLOWS:

"THIS IS A CERTIFIED TRUE COPY, ISSUED IN LIEU OF LOST

ORIGINAL: ----------------------------------------- .'

THE ORIGINAL CERTIFIED COPY WILL BE GIVEN TO THE CARRIER NOT SOONER THAN 15 DAYS AFTER THE SHIPMENT DATE AND THE REMAINING COPY AND THE LETTER OF REQUEST WILL BE ATTACHED TO THE "PROPERTY SHIPPED" RECORDS.

IN CASE OF EXCEPTION TO DELIVERY IN GOOD ORDER, THE CONSIGNEE WILL ANNOTATE THE REVERSE SIDE OF THE "PROPERTY RECEIVED COPY" AND THE CARRIER'S DOCUMENTS. FURTHER, THE CARRIER WILL BE REQUESTED TO PREPARE A JOINT INSPECTION REPORT AND A COPY OF THIS REPORT WILL BE FORWARDED TO THE FINANCE OFFICE RESPONSIBLE FOR PAYMENT OF CHARGES WITHIN 20 DAYS OF RECEIPT OF THE SHIPMENT OR DISCOVERY OF DAMAGE. IN NON-DELIVERY OR REJECTION OF AN ENTIRE SHIPMENT, A WRITTEN REPORT PREPARED BY THE CONSIGNEE WILL BE FILED WITH THE RESPONSIBLE FINANCE OFFICE WITHIN 20 DAYS AFTER DATE OF SHIPMENT.

THE CARRIER WILL PREPARE PUBLIC VOUCHER FOR TRANSPORTATION CHARGES, SF 1113, AND ATTACH THE ORIGINAL SHORT FORM--- U.S. GOVERNMENT BILL OF LADING IN THE SAME MANNER AS THE STANDARD U.S. GOVERNMENT BILL OF LADING, SF 1103. HOWEVER, SHORT FORM BILLS OF LADING AND STANDARD BILLS OF LADING WILL NOT BE BILLED ON THE SAME VOUCHER. VOUCHERS SUPPORTED BY SHORT FORM BILLS OF LADING WILL BE PRESENTED TO THE RESPONSIBLE FINANCE OFFICE FOR PAYMENT NOT SOONER THAN 30 DAYS FROM THE DATE OF SHIPMENT.

TAB H OF THE BROCHURE SETS FORTH RECOMMENDATIONS FOR ELIMINATING CERTAIN RESTRICTIONS CONTAINED IN OUR LETTER OF JULY 29, 1963, SPECIFICALLY, THE RESTRICTIONS FOR SHIPMENTS (1) RATED HIGHER THAN THE "FIRST-CLASS" REA EXPRESS RATE, (2) EXCEEDING 100 POUNDS, AND (3) OF PERSONAL PROPERTY. IS AGREED IN TAB H, HOWEVER, THAT THE RESTRICTIONS IMPOSED AGAINST SHIPMENTS OF EXPLOSIVES, THOSE REQUIRING SPECIAL SERVICES, AND EXPORT SHIPMENTS (EXCEPT FOR THOSE MOVING WITHIN THE CONTINENTAL LIMITS OF THE UNITED STATES, CONSIGNED TO A PORT OF TRANS-SHIPMENT MARKED "FOR EXPORT"), SHOULD BE RETAINED.

IT IS STATED THESE RECOMMENDATIONS RESULT FROM THE DEVELOPMENT OF ADDITIONAL STATISTICAL DATA AND THE ANALYSIS THEREOF. UNDER TAB H IS INCLUDED A TABLE, WHICH EXCLUDES SHIPMENTS OF PERSONAL EFFECTS, ILLUSTRATING THE REASONING FOR ELIMINATING THE WEIGHT RESTRICTION OF 100 POUNDS. IN LIEU THEREOF, THE DEFENSE SUPPLY AGENCY RECOMMENDS THAT THE RESTRICTION CRITERIA BE BASED ON A COST FACTOR OF $50 IN TOTAL TRANSPORTATION CHARGES RATHER THAN A WEIGHT/COST FACTOR.

IN ADDITION, THERE IS A RECOMMENDATION THAT THE DEFENSE TRAFFIC MANAGEMENT SERVICE BE AUTHORIZED TO DEVELOP AND IMPLEMENT PROCEDURES SIMILAR TO THOSE INDICATED IN THE BROCHURE FOR USE BY ALL MODES OF TRANSPORTATION WITHIN THE LIMITATIONS AND PROVISIONS APPROVED BY THE COMPTROLLER GENERAL.

WE HAVE EXAMINED THE REQUEST AND ARE SATISFIED THAT THE GOVERNMENT'S INTERESTS WILL BE ADEQUATELY PROTECTED UNDER THE SIMPLIFIED DOCUMENTATION AND PROCEDURES PROPOSED FOR THE HANDLING OF CERTAIN SMALL SHIPMENTS BY BUS, REA EXPRESS, AND UNITED PARCEL SERVICE, FOR THE DEPARTMENT OF DEFENSE. ACCORDINGLY, THE PROPOSED USE OF THE SHORT FORM BILL OF LADING, IS APPROVED SUBJECT TO THE FOLLOWING CONDITIONS:

1. RESTRICTIONS

WE APPROVE THE REMOVAL OF THE RESTRICTIONS IMPOSED AGAINST SHIPMENTS (1) RATED HIGHER THAN THE ,FIRST-CLASS" REA EXPRESS RATE, (2) EXCEEDING 100 POUNDS, AND (3) PERSONAL PROPERTY, EXCEPT WHEN ACCESSORIAL SERVICES ARE PERFORMED WHICH REQUIRE ADDITIONAL DOCUMENTATION, SUCH AS DD FORM 619. ALSO AGREE THAT THE RESTRICTIONS IMPOSED AGAINST SHIPMENTS OF EXPLOSIVES, SHIPMENTS REQUIRING SPECIAL SERVICES, AND EXPORT SHIPMENTS (EXCEPT FOR THOSE MOVING WITHIN THE CONTINENTAL LIMITS OF THE UNITED STATES, CONSIGNED TO A PORT OF TRANS-SHIPMENT MARKED "FOR EXPORT") SHOULD BE RETAINED.

FURTHER, USE OF THE PROCEDURES AND THE SHORT FORM BILL OF LADING SHALL BE RESTRICTED TO SHIPMENTS INVOLVING TRANSPORTATION CHARGES OF LESS THAN $50 AND NOT REQUIRING CONTINUATION SHEETS.

ALTHOUGH NOT SPECIFICALLY STATED IN THE PROPOSAL, WE UNDERSTAND FROM CONFERENCES WITH DTMS REPRESENTATIVES THAT IT IS THE INTENTION OF THE DEFENSE SUPPLY AGENCY TO APPLY THE SIMPLIFIED PROCEDURES AND SHORT FORM BILL OF LADING TO TRAFFIC MOVING FROM CONTRACTOR OR SUPPLIER LOCATIONS AS WELL AS FROM MILITARY INSTALLATIONS. WE HAVE NO OBJECTION TO THE APPLICATION OF THE SIMPLIFIED PROCEDURES TO TRAFFIC MOVING FROM THESE LOCATIONS, BUT WE BELIEVE CONSIDERATION SHOULD BE GIVEN TO POSSIBLE DIFFERENCES IN PROCEDURES, CONTROLS, AND DOCUMENTATION REQUIREMENTS (INCLUDING PROVISION FOR THE SHOWING OF THE F.O.B. POINT AND THE CONTRACT NUMBER OR PURCHASE ORDER NUMBER ON THE SHORT FORM BILL OF LADING) WHICH MAY BE REQUIRED FOR THE TRAFFIC. THEREFORE, THE PROCEDURES, CONTROLS, AND DOCUMENTARY REQUIREMENTS YOU PROPOSE TO USE FOR SHORT FORM BILL OF LADING SHIPMENTS FROM CONTRACTORS OR SUPPLIERS SHOULD BE SUBMITTED TO THE DIRECTOR OF OUR TRANSPORTATION DIVISION FOR APPROVAL, BEFORE THEY ARE APPLIED.

2. ACCOUNTABILITY AND CONTROL

THE NUMBERING SYSTEM PRESCRIBED IN 5 GAO 3020.10 SHOULD BE MAINTAINED FOR PURPOSES OF ACCOUNTABILITY AND CONTROL. HOWEVER, WE UNDERSTAND THAT THE DEFENSE TRAFFIC MANAGEMENT SERVICE HAS ASKED IF IT IS POSSIBLE TO ASSIGN SEPARATE NUMERICAL SERIES FOR THE SHORT FORM BILL OF LADING TO PROVIDE THE DEPARTMENT OF DEFENSE WITH MORE POSITIVE CONTROL OF THE PROCEDURE. APPROVE, THEREFORE, THE ASSIGNMENT OF BLOCKS OF NUMBERS FROM THE PRESENT SYSTEM TO BE RESERVED AND TO BE USED FOR THE PRENUMBERING OF THESE BILLS OF LADING. ARRANGEMENTS SHOULD BE MADE WITH THE FEDERAL SUPPLY SERVICE, GENERAL SERVICES ADMINISTRATION, FOR THE RESERVATION OF THE SERIES OF NUMBERS FOR USE IN CONNECTION THEREWITH.

3. PROPOSED SHORT FORM--- U.S. GOVERNMENT BILL OF LADING

OUR ANALYSIS OF THE PROPOSED SHORT FORM--- U.S. GOVERNMENT BILL OF LADING SET INDICATES THE FOLLOWING REVISIONS TO THE FORMS WILL BE NECESSARY BEFORE THEY CAN BE APPROVED FOR USE:

(1) THE "CHARGES TO BE BILLED TO" SECTION SHOULD READ "CHARGES TO BE BILLED TO (DEPARTMENT OF ESTABLISHMENT, BUREAU OF SERVICE AND LOCATION).'

(2) THE "DESCRIPTION OF ARTICLES" SECTION SHOULD HAVE THE FOLLOWING ADDED THERETO,"USE CARRIERS' CLASSIFICATION OR TARIFF DESCRIPTION IF POSSIBLE, OTHERWISE A CLEAR NONTECHNICAL DESCRIPTION).' (3) THE "WEIGHT" SECTION SHOULD READ "WEIGHTS*" AND THE NOTATION "*SHOW ALSO CUBIC MEASUREMENTS FOR SHIPMENTS IN CASES WHERE REQUIRED" ADDED TO THE BOTTOM OF THE FORM.

(4) THE HEADING "RECORD OF LOSS OR DAMAGE" ON THE REVERSE SIDE OF THE CONSIGNEE'S COPY SHOULD BE CHANGED TO READ "RECORD OF LOSS, DAMAGE, OR SHRINKAGE.'

(5) THE STATEMENT AT THE TOP LEFT SIDE ON THE REVERSE OF THE ORIGINAL AND SHIPPING ORDER SHORT FORM BILL OF LADING IS SIMILAR TO THE STATEMENT ON THE FACE (TOP LEFT SIDE) OF THE SF 1103; HOWEVER, THE WORDING "ON THE REVERSE HEREOF" (FIRST LINE OF THE STATEMENT) SHOULD BE CHANGED TO ,ON THE FACE HEREOF" AND THE STATEMENT SHOULD BE ONE SENTENCE IN LENGTH, NOT TWO.

(6) THE WORD "PROPERLY" IN THE SECOND SENTENCE OF CONDITION 1 ON THE REVERSE OF THE ORIGINAL AND SHIPPING ORDER SHOULD BE DELETED.

(7) CONDITION 6 ON THE REVERSE OF SFS 1103 AND 1104 HAS BEEN OMITTED FROM THE REVERSE OF THE ORIGINAL AND SHIPPING ORDER. THIS CONDITION SHOULD BE RETAINED, BUT MODIFIED TO READ "SHIPMENT IS MADE SUBJECT TO REPORT OF LOSS, DAMAGE, OR SHRINKAGE NOTED ON CONSIGNEE COPY.'

(8) CONDITION 9 ON THE REVERSE OF SFS 1103 AND 1104 WAS REVISED IN LINE WITH THE COMPTROLLER GENERAL'S LETTER OF OCTOBER 4, 1963, B 109776, TO THE HEADS OF DEPARTMENTS, INDEPENDENT ESTABLISHMENTS, AND OTHERS. CONDITION 7 ON THE REVERSE OF THE ORIGINAL AND SHIPPING ORDER SHORT FORM BILL OF LADING SHOULD READ IN ACCORDANCE WITH THIS LATEST REVISION AS FOLLOWS:

"THE NON-DISCRIMINATION CLAUSES CONTAINED IN SECTION 301 OF EXECUTIVE ORDER 10925, AS AMENDED, RELATIVE TO EQUAL EMPLOYMENT OPPORTUNITY FOR ALL PERSONS WITHOUT REGARD TO RACE, CREED, COLOR, OR NATIONAL ORIGIN, AND THE IMPLEMENTING RULES AND REGULATIONS OF THE PRESIDENT'S COMMITTEE OR EQUAL EMPLOYMENT OPPORTUNITY ARE INCORPORATED HEREIN.'

(9) REFERENCE TO "5 GAO 3000" UNDER THE HEADING "INSTRUCTIONS" SHOULD BE DELETED.

(10) IN THE THIRD LINE OF INSTRUCTION 4 ON THE REVERSE OF THE ORIGINAL AND SHIPPING ORDER, THE WORD "ON" SHOULD BE INSERTED AFTER THE WORD "ALSO" AND THE WORDS "PROPERTY RECEIVED COPY" SHOULD BE CHANGED TO READ "CONSIGNEE'S COPY.'

(11) THE ZIP CODE 20401 USED IN INSTRUCTION 5 ON THE REVERSE OF THE ORIGINAL AND SHIPPING ORDER SHOULD BE CHANGED TO 20402, WHICH IS THE SUPERINTENDENT OF DOCUMENTS' ZIP CODE NUMBER.

4. FORM NUMBERS, COLORING, ETC.

THE SIZE OF THE APPROVED FORMS (EXCLUDING TEAR-OFF SPROCKET FEED STRIPS WHERE MECHANIZED PREPARATION IS DESIRED) WILL BE 8 1/2 BY 6 INCHES. THE ORIGINAL BILL OF LADING WILL BE PRINTED ON WHITE PAPER, THE SHIPPING ORDER ON PINK PAPER, AND THE CONSIGNEE COPY AND MEMORANDUM COPIES ON YELLOW PAPER.

THE PRINTED FORMS SHOULD BE IDENTIFIED BY A DEPARTMENT OF DEFENSE FORM NUMBER IN THE UPPER LEFT HAND CORNER AND SHOW BELOW OR ADJACENT TO THE FORM NUMBER "FORM APPROVED FOR USE IN LIEU OF SF 1103 ASSEMBLY BY COMPTROLLER GENERAL, U.S. (DATE OF THIS LETTER).'

A LETTER SIGNIFYING YOUR ACCEPTANCE OF THE CONDITION OF APPROVAL SHOULD BE SUBMITTED TO THE DIRECTOR OF OUR TRANSPORTATION DIVISION BEFORE THESE FORMS AND PROCEDURES ARE PLACED IN ACTUAL OPERATION. FOUR SETS OF THE NEW FORMS SHOULD ALSO BE SUBMITTED AS SOON AS POSSIBLE AFTER PRINTING.

ALTHOUGH THE APPROVED PROCEDURES WILL BE APPLIED INITIALLY ONLY TO SHIPMENTS BY BUS, REA EXPRESS, AND UNITED PARCEL SERVICE, IT IS THE STATED INTENTION OF THE DEFENSE TRAFFIC MANAGEMENT SERVICES TO DEVELOP AND IMPLEMENT SIMILAR PROCEDURES FOR USE BY ALL MODES OF TRANSPORTATION. AGREE THAT CONSIDERATION SHOULD BE GIVEN TO THE POTENTIAL EXPANSION OF THE PROCEDURES TO ALL MODES OF TRANSPORTATION AND WE WILL CONSIDER SIMILAR PROPOSALS ON THE SUBJECT.

REPRESENTATIVES OF THE TRANSPORTATION DIVISION WILL BE AVAILABLE, IF NECESSARY, FOR FURTHER DISCUSSION ON THE MATTERS COVERED HEREIN.