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How to Calculate the Government Constructive Cost

Published January 17, 2013 · Written for MovingGuru readers since 2013

GCC in plain English

The government constructive cost is what the government would have paid to move your authorized weight for your orders. It is the yardstick for a personally procured move: your reimbursement is calculated against that figure rather than against your own receipts alone.

What is government constructive cost?

For a PPM/DITY military move, the government constructive cost (GCC) is how much it would cost the government to move you. So, if it would cost the government $5,000 to move your two bedroom home from military base A to military base B, then the government constructive cost (GCC) is $5,000.

If you make a PPM move, you are entitled to 95% of the GCC. So, if you can move for super cheap, you can make yourself super rich, too!

So, how does the government calculate the government constructive cost?

Unfortunately, it’s a bit of a secret. There have been some online GCC calculators out there, but most, if not all, are defunct now. The government keeps a tight lid on this sort of stuff, you know? And perhaps for good reason. Word on the street is that they have a calculator called the Defense Personal Property System, which calculates the GCC from the depths of a bunker under an mile of bedrock in north-central Alaska.

We do know that the government considers three primary factors: (1) distance, (2) weight and (3) rank. Beyond that, it’s pure secret.

But one thing you can be sure of about the GCC — it’s going to be pretty cheap. The government has a lot of contracts out there and can usually get moving services for cheaper than you. If you want to move for cheaper than the GCC, you should be ready to move yourself.

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Military Moves

Off-Base Military Housing

What Is a DITY Move?

Military Move Checklist

DITY vs PPM

What GCC is used for

  • Setting the reimbursement ceiling for a PPM or partial PPM
  • Deciding whether a do it yourself move is worth the effort for your shipment
  • Supporting an advance operating allowance request

How GCC relates to PPM and DITY reimbursement

A PPM (the current name for a DITY move) pays a percentage of the GCC set in policy, limited to your authorized weight. Spend less than the entitlement and the difference works in your favour. Go over your weight allowance and the excess is on you.

A simplified example

Suppose the transportation office calculates that moving your authorized weight would cost the government a given amount. Your entitlement is a set share of that amount, and your certified weight tickets prove how much you actually moved. If the tickets show less than your allowance, the calculation uses the lower weight. The office applies the current percentage from policy, so ask for the figure in writing rather than working from an old article.

Documentation that supports the claim

  • Certified empty and loaded weight tickets for every vehicle and trip
  • Orders and counseling paperwork
  • Rental, fuel, toll and materials receipts

Related: what is a military DITY move, personally procured transportation moves and partial DITY moves.

Sources: Military OneSource, personally procured moves · Move.mil, Defense Personal Property Program · Joint Travel Regulations. Rules, programs and prices change, so check the source before you rely on it.

Frequently asked questions

What does GCC mean in a military move?
Government constructive cost: the amount it would have cost the government to move your authorized weight under your orders.
Who calculates the government constructive cost?
Your transportation office calculates it using current program rates and your orders. Ask for the figure in writing before you plan around it.

Filed under:Military Moves

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