320 - Central Freight Service

320.1 INTRODUCTION

In 1968, Treasury Board established (CFS) Central Freight Services within (PWGSC) to serve federal departments and agencies by soliciting bids to obtain rates from carriers/couriers. Since April 2005, the use of standing offers for freight and courier services is now mandatory for all departments and agencies. CFS is responsible for verifying and paying carriers' invoices on a consolidated basis. CFS acts as a third party payment and billing service.

Under this service, freight carriers and couriers are required to send invoices along with matching Government Bill of Lading (GBLs) so that they can receive payment. Invoices are audited to ensure the correct rates and charges have been applied and that they have not been previously paid. The weekly consolidated payments to the carriers are made using PWGSC's Revolving Fund and billed bi-weekly to the clients. CFS gathers traffic management statistics required for the control of distribution and transportation costs. CFS is charging a one percent service charge to clients and 0.5% to the carriers.

320.2 SERVICES PROVIDED BY THE CENTRAL FREIGHT SERVICE

1. The Central Freight Service provides the following services to departments and agencies:

1. A Commodity Team was established to evaluate and identify methods of supply;
2. Solicits from freight carriers and couriers best rates for federal government shippers' use;
3. Verifies the freight and courier invoices and allocates the charges to the proper cost centers and their clients;
4. Certifies as correct, the charges under Section 34 of the Financial Administration Act prior to weekly payments being issued to freight carriers and couriers through the PWGSC revolving fund;
5. Prepares consolidated client invoices, showing detailed transactions. The bi-weekly invoice summarizes all expenditures by responsibility centre. The interdepartmental settlement of the invoice is mainly used to reimburse PWGSC;
6. Provides statistical information and advisory services to improve distribution methods and reduce transportation costs;
7. Provides a Windows-based software, called FRISBEE a desktop application (Freight Rate Information Shipper's Base and E-form Entry) which assists federal government shippers in the selection of carriers by showing a comparison of costs and services in the database. In addition, there will be a web-enabled version called e-Frisbee which will be integrated in the GOCM in the near future. It also prints a bar coded Government Bill of Lading (GBL) and shipping labels. The software is free and available from the Central Freight Service (see Article 320.8). For a FRISBEE demonstration in Power Point 97 and PDF formats, or to download FRISBEE, please go to: CFS Web site (accessible to federal government employees only).
8. Central Freight Service has also developed a web-enabled version called e-FRISBEE introduced in 2006. This newer version is more powerful, contains more rates and is designed to serve a larger clientele basis including departmental mailrooms.
9. A Government employee wishing to access the Freight & Courier Services must register as an authorized user with e-Purchasing at:
   fax us @ (819) 956-8272
   phone us @ (819) 956-7592
   mail us @ Help Desk, Room 3C1, Place du Portage Phase III
   Gatineau, Québec K1A 0S5
   ncr.cbas_911@pwgsc.gc.ca

Registration forms can be found on the e-Purchasing website under "how to register".

320.3 DEPARTMENTAL PARTICIPATION

The verification and payment of all freight/courier invoices is available for the following departments and agencies as identified in the Financial Administration Act (FAA):

1. All departments listed in Schedule I;
2. All departmental corporations listed in Schedule II;
3. All parent Crown corporations listed in Schedule III; and,
4. All branches of the Government designated as departments for the purpose of the FAA.

320.4 CENTRAL FREIGHT SERVICE PROCEDURES

All GBLs are a "prepaid" document.

All prepaid shipments for departments under article 320.3 are made based on the Government Bill of Lading (GBL). The federal government shippers use mainly a form electronically generated by the FRISBEE software and e-Frisbee; they may also use the paper form PWGSC-TPSGC 151, stock number 7540-21-910-7556. Freight carriers and couriers send CFS their invoices along with the corresponding GBL. CFS in turn verifies the charges, processes the carrier's invoices for payment that are consolidated on a weekly basis and then charges the expenditure to the originator or consignee as designated by an accounting office code and financial code on the GBL which is consolidated on a bi-weekly basis.

320.5 GOVERNMENT BILL OF LADING (GBL)

1. The Government Bill of Lading (GBL) is a contract of carriage and contains all of the essentials comprising a receipt.
2. The fine print on the face of the GBL refers to the contractual provisions concerning the carriage of goods that are drawn from relevant federal and provincial acts. In addition, common law governs all aspects of the contract not specifically provided for by the terms and conditions on the GBL or by legislation.
3. Land, air and water carriers (inland waterways and coastal movements only) accept the GBL. However the GBL is not a substitute for an Ocean Bill of Lading used for international movements via ocean-going vessels, but can be used for portions between the point of origin and the port of export and/or port of import to the point of destination.
4. Features of the GBL include:
   1. A preprinted bar code and sequential numbering which helps to prevent duplicate payments;
   2. A field for financial code and consignee codes to allocate charges to the appropriate financial responsibility center and
   3. Two fields for Interdepartmental Settlement Reference Number (IS REF) and Interdepartmental Settlement Organization Code (IS ORG).

320.6 DISTRIBUTION OF PAPER FORM OF GOVERNMENT BILL OF LADING (GBL)

1. The pre-printed paper form version of Government Bill of Lading (GBL) is a three part carbon interleaved continuous form, to be distributed as follows:
   
   Copy 1. The original signed copy must accompany the freight carrier/courier's invoices sent to CFS;
   Copy 2. This copy is retained by the carriers for their use;
   Copy 3. This copy is retained by the shippers for their records or sent to their financial services.
2. Instructions for the completion of a GBL are detailed on the CFS Web site.
3. To buy copies of the form PWGSC-TPSGC 151 (12/2003) - NATO no. 7540-21-9107556 bundle of 100 - send your purchase order to:
   
   ePRINTit Retail Products
   1165 Kenaston Street
   P.O. Box 9809 Stn. T
   Ottawa, Ontario K1G 6S1
   Telephone: (613) 746-4005 and /or 1(888) 562-5561
   Facsimile: (613) 740-3114 and /or 1(866) 553-5528
   E-mail: dlsorderdesk@eprintit.com

320.7 BILLING AND PAYMENT

Refer to Chapter 410.

320.8 ENQUIRIES

Customer enquiries on services provided by the Central Freight Service can be addressed to:

Central Freight Service
Traffic Management Directorate
Public Works and Government Services Canada
Place du Portage, Phase III, 7B3
11 Laurier Street
Gatineau, Quebec
K1A 0S5

Telephone:(819) 956-3885 and (819-956-3915)
E-mail: cfs@pwgsc.gc.ca

Text last updated: 2006-03-13