Group saves Army millions every month

Photo By Sgt. Marshall Thompson | Maj. Scott Shore, 840th Distribution Deployment Support Battalion executive officer, examines a cargo container on Logistical Support Area Anaconda on Jan. 11. The 840th DDSB saved the Army about $10 million in January by hunting down carrier-owned cargo containers and replacing them with government-owned containers.  

01.19.2006

Courtesy Story

207th Public Affairs Detachment

A small group of Soldiers at Logistical Support Area Anaconda has saved the Army about $10 million this month and hopes to increase that figure in the future.

The 840th Deployment Distribution Support Battalion, stationed out of Kuwait, has been in Iraq for a year tracking down borrowed containers that were costing the Army millions of dollars in detention charges, or late fees.

The Army didn't own enough containers to deploy all the equipment for Operation Iraqi Freedom I, so commercial cargo carriers loaned out their own containers. After a grace period, the carriers started charging monthly detention fees.

"The problem is, when OIF started, there were literally thousands of carrier-owned containers coming into the country," said Ltc. Patrick Lyons, 840th commander.

When the 840th arrived at Camp Anaconda last year, the detention charges were over $10 million a month.

"Our most current detention, as of Jan. 10, was $377,880. And keep in mind this is for all of Iraq," said Capt. John Lenart, 840th Operations OIC.

The 184th Transportation Company from the Mississippi National Guard augmented the 840th to provide inventorying teams that hunted down the troublesome containers.

Using a web-based program called Container Management Software Tool, or CMST, the teams were able to find many of the carrier-owned containers. Lyons said that units, not knowing the containers were costing money, had been using them for different uses-- from storage rooms to makeshift swimming pools.

When the inventory teams or the units themselves identified the carrier-owned containers, the 840th either switched it out with a government-owned container or bought it from the carrier company.

"Thanks to the cooperation of the units here, we've been able to bring down the detention charges in Iraq to about $377,000 a month," Lyons said. "The goal is zero, but we're making significant progress."

As Lyons is preparing to leave Iraq, the unit is focusing on leaving a sustainable system to manage the containers. Battalions should have designated container managers who can update the movement of their specific unit's containers on CMST.

"Now we're trying to transition from where we do it to an enduring process where the units manage their own containers," said Maj. Scott Shore, 840th executive officer.

Lyons underlined the importance of units managing their own containers.

"Because of the detention costs, a unit's primary goal is to turn in all of their carrier containers " empty them, and turn them in," Lyons said. "If every unit did that, it would drive down the amount of money the government spends on detention costs."

The Soldiers of the 840th said they felt good to be able to save the Army so much money.

"It's good for the Army in the sense that more money is being spent on operational and contingency missions rather than spending money on bills. More money can be directed toward the warfighter," Lenart said. "That's our job. It's not glorious, but it's important.

• Date Taken: 01.19.2006
• Date Posted: 01.19.2006 10:30
• Story ID: 5148