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Home   About   Membership   Meetings   Government Affairs   Members Only Feb. 19, 2010
Executive Briefing
President's Message

Federated Credentials receive a Boost from the Fort Belvoir Test:
In a February 4 memo from Gary Motsek, Assistant Deputy Undersecretary of Defense (Program Management) to BG Rodney Johnson the Provost Marshall General of the Army The results of the Fort Belvoir test of federated credentials was released for review. The federated credentials (FiXs) were praised for their interoperability, validation, and compliance with Homeland Security Presidential Directive (HSPD 12) and Federal Information Processing Standards (FIPS 201). Further, this important capability resulted in shortened response time, saved resources, and places the requirement for management of the industry workforce back on the companies. Secretary Motsek goes on to say that based on the success of the program, he supports its expansion. We will post the letter and the report to our web site and we will keep you posted as this program expands.

Update on 3% withholding:
We continue to work with congress to push for repeal of the tax withholding issue facing military resale. In a letter to the leaders of congress from the coalition we have partnered with we are now able to offer some clear options to the members for supporting repeal of this troubling provision…here is a portion of the correspondence…

The Government Withholding Relief Coalition and its member organizations strongly urge you to repeal the 3% tax withholding law this year. This withholding law was enacted in Section 511 of the Tax Increase Prevention and Reconciliation Act of 2005 (P.L. 109-222) and mandated the sweeping new requirement that federal, state, and local governments withhold 3% from nearly all of their contract payments, Medicare payments, farm payments, and some grants. As Congress and the Administration work to improve taxpayer compliance, the Coalition stands ready to work with you to improve compliance for companies receiving federal dollars in order to repeal the onerous 3% withholding law.

The Administration has recently proposed two such methods which should negate any rationale for retaining the withholding mandate. On January 20, the Administration released a memo requiring the Internal Revenue Service to review the certifications of non-delinquency in taxes that is required on all federal contracts. In addition, the Office of Management and Budget working with other agencies is to develop recommendations to prevent companies with serious tax delinquencies from receiving contracts and to make contractor certifications available in a Government-wide database.

Also, included in the Department of the Treasury's Green Book (page 101) that was released with the Budget, was a proposal to allow information reporting on federal non-wage government payments. This proposal could increase transparency and therefore increase tax compliance.

These two proposals in concept are ideas that the Coalition is willing to support in exchange for repealing the 3% withholding law. The 3% law is already proving costly and will increase exponentially as the implementation deadline moves closer. While this requirement is not scheduled to go into effect until 2012, businesses and governmental entities are spending funds now trying to prepare for implementation due to the major system and regulatory changes that have to be made well in advance of 2012. If this provision is not repealed, it will cost companies and governments at all levels significant amounts of money. These exorbitant expenditures will be at the expense of hiring new employees, expanding businesses, and providing government services at a time that neither the public nor private sector can handle such unnecessary costs.

Patrick B. Nixon
President, ALA

2010 Exchange Roundtable

March 15-17
Norfolk Waterside Marriott
Norfolk, VA

Delivering the Benefit in 2010 and Beyond
Online Registration is now open!

The headquarters hotel is the Norfolk Waterside Marriott. You will find detailed hotel information, as well as a link to the hotel Web site (to make your reservations online) on our Web site.

A preliminary agenda is also posted to our Web site.

Highlights include:
  • Updates from the Chief Merchandisers of each of the services
  • Col. Matthew H. Molloy, USAF
  • Breakout sessions from each of the services focused on the following areas: Consumables, Hardlines, Marketing, PAR/Replenishment and/or Other Topics
CLICK HERE to register now!

ALA Events Open to Non-Members

Dear Prospective Member,

This year the ALA is offering a unique partnership opportunity to attract new members and demonstrate the benefits of the association. We are allowing non-member companies to attend one of our key business meetings held between now and the end of June with the payment of the registration fee and an additional premium(1) that will be applied to the 2010/2011 membership dues if the company applies for membership prior to July 1, 2010(2). The meetings include:

2010 Exchange Roundtable, March 15-17, in Norfolk, Va. This segment of the military market represents nearly $14 billion in sales from a mass merchandise type format to gas stations and Convenience stores. Meeting includes key updates and topic specific breakout sessions providing insight into this $14 billion business channel.

2010 DeCA/ALA Worldwide Partnership Summit and Training Event, June 7-11, Atlanta, Ga. This meeting will be attended by all DeCA store directors world wide along with all key decision makers in the agency. Business base is over $6 billion in a supermarket like assortment with the opportunity for world wide distribution and sales. Includes an opportunity to learn how to do business with the government and develop your business approach.

2010 ALA Congressional Caucus, June 15 in Washington, D.C. The ALA is the recognized advocate in the nation's capitol when addressing issues impacting the military resale channel. This Capitol Hill symposium is attended by all of the senior members of military resale and focuses on the key issues facing the military business channel. Topic specific presentations are made by subject matter experts along with timely presentations from key members of Congress and the Administration. This day long event includes a "power" reception in the evening with members of congress and their staffs.

This presents a great opportunity to learn about this great business opportunity, experience the partnership opportunities membership in the association provides and see the impact the association has on Capitol Hill. The ALA has been supporting world class quality of life for our troops and their families through strong resale benefits for over 90 years. The staff of the association consists of senior executives with demonstrated records of performance. This is your opportunity to join us. For additional information about the specific agendas and registration for these meetings or any other information you need about the association, please visit our Web site at  I look forward to seeing you at one of our events.


Patrick B. Nixon
President, ALA

Washington Update

Maryland, Virginia governors pitch their states as site for Northrop headquarters
The Washington Post    Share    Share on FacebookTwitterShare on LinkedinE-mail article
The governors of Maryland and Virginia held separate meetings with top executives of Northrop Grumman on Friday to encourage the defense contractor to move its headquarters to their states. More

Obama to propose deficit panel this week
Government Executive    Share    Share on FacebookTwitterShare on LinkedinE-mail article
White House is trying to reach out to Republicans on the issue, but they have been critical of the presidential panel. More

U.S. troops at lowest level in Iraq since 2003 invasion
USA Today    Share    Share on FacebookTwitterShare on LinkedinE-mail article
The number of American troops in Iraq has dropped below 100,000 for the first time since the 2003 U.S.-led invasion, the U.S. military said. More

The military's new surge in accountability
TIME    Share    Share on FacebookTwitterShare on LinkedinE-mail article
Test pilots call it "expanding the envelope," and it means flying a new aircraft at varying speeds and conditions to ensure it's safe to do so. That blazes a trail for other pilots to follow. In the same way, Defense Secretary Robert Gates is expanding the envelope for military accountability. More

Family and peers remember Murtha
The Washington Post    Share    Share on
FacebookTwitterShare on LinkedinE-mail article
Rep. John P. Murtha, D-Pa., was eulogized as a patriot, a fighter for his constituents and for veterans, a consummate politician and a family man able to separate work from his personal life. More

Commissary News

Commissary Web Posts

The following commissary items were posted to the ALA Web site as of 10:45 AM February 18:

  • DP #6, Promotion and Shipper Quantities
  • Spring Club Pack, Update #1 and April Quantities
  • DP #8, Far East Promotion and Shipper Quantities
  • DP #9, Every Day is Mom's Day Sale
  • DP #10, Remembering the Military Sale
  • DP #7, Promotion Quantities, April Club Pack Quantities and Hot Deals – Keesler Only
  • 10-42, Dog Food
  • 10-44, Opening of New Vendor Meeting Rooms
  • 10-45, Category Plans
  • 10-46, DeCA National Pet Theme
  • 10-47, Store Reset Date – Jacksonville NAS
  • 10-49, DeCA National Pet Theme (replaces 10-46
  • Guard & Reserve On-Site Sale Schedule updates
  • Adds/Changes/Deletes for Week 10-5, Corrected Copy 10-6 and 10-7
  • 13-10, Valentine's Day: Choose naturally sweet treats
  • 14-10, Be good to your heart: Eat less salt.
  • 15-10, DeCA works with DOD to promote financial fitness for nation’s military.
  • 16-10, DOD appoints new chairman of DeCA Board of Directors and picture of Chairman
  • 17-10, "Lets Move!" helps families tackle childhood obesity

Food companies put their supply chains on the menu: The state of green business 2010
GreenBiz    Share    Share on FacebookTwitterShare on LinkedinE-mail article
The sustainability of food hasn't traditionally been much of a mainstream consumer issue. Whatever concerns consumers had about the environmental impacts of bringing food to the table were eaten up by concerns over taste, price and nutrition, with some interest in pesticide residues and other safety-related matters. Overall, there hasn't been much of an appetite from mainstream consumers about food companies' sustainability practices. More

Food Lion announces lower prices strategy
Retailing Today    Share    Share on FacebookTwitterShare on LinkedinE-mail article
Food Lion rolled out a new initiative to help customers save on their favorite items throughout its stores. More

Big chains discover small is really big
CNBC    Share    Share on FacebookTwitterShare on LinkedinE-mail article
Small is beautiful. At least, many large retailers think it could be. For years, Trader Joe's has reaped in big profits from small, 10,000 square foot stores selling branded products at good prices. More

Packaging companies rethink the box: The state of green business 2010
GreenBiz    Share    Share on FacebookTwitterShare on LinkedinE-mail article
Packaging issues have been of concern ever since the advent of "green" as a business issue. Early efforts were to create packaging from recycled or recyclable materials, then to reduce or eliminate packaging altogether. A variety of newfangled materials have come to the fore, though few passed muster, in terms of meeting price and performance characteristics. In the end, most of these products were - well, sent packing. More

Safeway selects Hara for help reducing carbon footprint
Retailing Today    Share    Share on FacebookTwitterShare on LinkedinE-mail article
Safeway has selected Hara, a leading provider of environmental and energy management software, to help it identify and implement economic measures to reduce its energy usage and carbon footprint, Hara reported. More

Wal-Mart building 'sustainable' refrigerated distribution center
The Journal of Commerce    Share    Share on FacebookTwitterShare on LinkedinE-mail article
Wal-Mart will spend $115 million to build a refrigerated distribution center in Western Canada the retailer says will be outfitted with new energy-saving technology that will put it at the forefront of logistics environmental efforts. More

Exchange News

Family Dollar sees private label opportunity
Supermarket News    Share    Share on FacebookTwitterShare on LinkedinE-mail article
Family Dollar Stores here is looking to increase its private-label penetration, particularly around food and other consumables, officials said during an investor presentation. More

CAGNY: Consumer focus on value is not going away
Brand Week    Share    Share on FacebookTwitterShare on LinkedinE-mail article
Food companies spent the majority of last year feeding consumers value messages in a slumping economy. This year, things seem to be looking up. But if the latest round of presentations at the Consumer Analyst Group of New York conference are any indication, America's focus on value isn't going away anytime soon. More

Retail sales improved in January
The Journal of Commerce    Share    Share on FacebookTwitterShare on LinkedinE-mail article
U.S. retail and food services sales for January increased 0.5 percent from the previous month to $355.8 billion, according to the seasonally adjusted advance estimate released by the U.S. Census Bureau. Sales were 4.7 percent above January of 2009. More

Stores reach into bag of tactics as luxury-goods sales improve
The Wall Street Journal    Share    Share on FacebookTwitterShare on LinkedinE-mail article
Optimism is creeping back into style, following three seasons of budget slashing, according to luxury-retail executives who will attend New York Fashion Week. More

Geotectura's gasoline station offering solar powered EV charging
Business Week    Share    Share on FacebookTwitterShare on LinkedinE-mail article
With the rise in the number of electric and plug-in hybrid cars on the streets, it will be important for gasoline stations to adopt the new trend and equip their stations with EV charging stations. However, since most of the electricity generated in different parts of the world still comes from coal-fired power plants, greening the world will take much more than green cars. More

Bosch introduces appliance rebates to help shoppers in every state save money and protect the environment
The Gourmet Retailer    Share    Share on FacebookTwitterShare on LinkedinE-mail article
This year, from February through April, most of the U.S. states and territories will introduce customized rebate programs to encourage homeowners to replace their outdated, energy-wasting appliances in a fashion similar to the auto industry's successful "Cash for Clunkers" program. To help inspire as many people as possible to make a green change in their homes, Bosch home appliances introduces three additional rebate plans that can be used immediately, in conjunction with the SEEARP program, or with other rebates. More

Convenience retailers are 'missing a trick', says Shoppercentric
Retail Today    Share    Share on FacebookTwitterShare on LinkedinE-mail article
Retailers do not fully understand the needs of shoppers at convenience stores and are missing out on a huge untapped market potential, according to a new research report ‘Windows on Convenience Shopping' launched by Shoppercentric, an independent agency specialising in shopper behaviour research. More

Walgreen to acquire Duane Reade drugstores
Convenient Store News    Share    Share on FacebookTwitterShare on LinkedinE-mail article
Walgreen Co., the nation's largest drugstore chain in sales, reached a definitive agreement to acquire New York City-based Duane Reade from affiliates of Oak Hill Capital Partners for $1.075 billion cash, including the assumption of debt. More

Washington Update

Check out the Army Olympians and the savvy articles about fitness and wellness in February!
Operation: BeFit    Share    Share on FacebookTwitterShare on LinkedinE-mail article
There is an events page that anyone can submit wellness and fitness type events for posting. In the next months we plan to improve the calendar and add a photo gallery. There is always something new and improved on the site so surf it often. Additionally, if you are interested in a web banner on this site please write More

Army bases face funding gap this year
Government Executive    Share    Share on FacebookTwitterShare on LinkedinE-mail article
Army leaders are scrubbing the service's budget to figure out how to shift $500 million from other sources into base operating support accounts in 2010 to fill funding shortfalls, the Defense Department recently announced. More

First Lady announces family program budget boost
U.S. Department of Defense    Share    Share on FacebookTwitterShare on LinkedinE-mail article
President Barack Obama's fiscal 2011 budget request calls for a record $8.8 billion for military family support programs, First Lady Michelle Obama told military spouses at Bolling Air Force Base in Washington, D.C. More

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Executive Briefing
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