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Passenger Travel Updates
NDTA’s Passenger Travel Services Committee (PTSC) provides the opportunity for open communication between government and travel industry decision makers to improve programs, trends, policies, and other issues that impact the government traveler and the travel industry. Primary objectives are to facilitate dialogue, bridge any information gaps, and promote education of the travel industry.
Oil and food prices are up, stock market and home prices are down, and the cost of travel continues to rise! We all wonder how long this economic Roller Coaster ride will last.
By Dr. G.R. “Rocky” Mobaraki, MBA, PhD Passenger Travel Services Committee (PTSC) Chair Director, Government Sales, The Hertz Corporation
Airlines are scrambling to adjust to jet fuel prices that have jumped 86% by grounding fuel inefficient planes and instituting additional fees. But it may be too little too late to show any profitability for 2008. In the past five months, 7 airlines have either ceased operations or filed for bankruptcy, and a major merger between two legacy carriers (Northwest and Delta) is awaiting approval by the Department of Justice. The meteoric rise in fuel costs is driving this wild ride. Not that long ago, during the 1990s, a barrel of oil cost around $20; as of this writing, the cost is way up at $143 plus. Airlines pay about $30 more than market price for refined aviation fuel, and most companies hedge fuel costs by buying it on the futures market at cheaper levels and locking prices in for months at a time. Unfortunately, due to rapid cost increase and the expiration of futures contracts, airlines are eventually exposed to higher fuel costs over time
Increased airfares partially offset fuel costs, and fare increases have been implemented at least a dozen times since the beginning of the year. Fuel surcharges, now authorized by the GSA city pair contract as add-ons to the awarded government fare, often are a part of the total fare charged, both for domestic US and international itineraries.
All passenger travel providers are affected. To survive, some have reacted by charging for items that previously were complimentary. In other words, my friends—the free lunch is over.
The US lodging industry is expanding around the globe, and for the first time overseas development by major chains either equals or exceeds domestic expansion. In many cases these property openings are filling the “gap” between the smaller, local, privately owned hotels with limited services and the upscale, luxury hotels. This means that more options are available to the government traveler and that they can enjoy services abroad that they have come to expect in the US
Fuel costs are pushing up the cost of everything that hotels need to operate— especially heating oil and energy—making last year’s CONUS per diem increase (from $60 to $70) even more welcome throughout the hotel community. But there is a downside. The US General Services Administration (GSA) reviews the CONUS rate only once at 3-year intervals, a schedule that could close hotel doors to government travelers if per diem rates can’t keep up with costs that most likely will rise before the next review in 2010. With the new methodology now employed by GSA to determine per diem, a more frequent update is both possible and practical. NDTA’s Hotel SubCommittee is developing recommendations on this issue to present to GSA.
The spike in fuel prices has had a tremendous impact on car rental companies. Profit margins are slim, if they exist at all, and as a result rental fleets have become much tighter as companies try to maximize fleet utilization.
In spite of numerous transitions and obstacles in the car rental industry this past year, one thing remains constant in today’s economy: Federal Government travelers continue to receive comprehensive benefits and the lowest rates in the industry. This is because of the way the Federal Government Car Rental Agreement is structured, which allows for competition. Today’s average cost per day for Government rentals are nearly the same as charged in the 1990s; or, in some market places, similar to rates in the 1980s. These rates have remained in place despite the tremendous cost increases incurred by the car rental companies for fleet, fuel, and overhead.
A significant development in early 2008 has been the transition of the management of the Federal Government Car Rental Program (previously managed by SDDC) to Defense Transportation Management Office (DTMO). The transition has been smooth, a great accomplishment considering all of the various program components—managing ceiling rates, ensuring that claims are handled and processed according to the Agreement guidelines, resolving customer service issues, and ensuring that all aspects of the Agreement are properly implemented. The program is international, so these issues are even greater in scope given its global nature. What’s more, the Federal Government rents millions of cars annually.
Higher ticket prices, weather delays, and dropped flights, among other hurdles, have complicated travel planning. Thanks to the assistance of professional travel companies and available ondemand technologies, government travelers are utilizing online booking tools, web reporting packages, and online travel authorization and voucher services (offered through DTS and ETS).
Mobile devices that are “Web friendly” have impacted the travel process, prompting some to suggest that we are entering a world where people book online, checkin online, receive confirmation through a mobile device, and are automatically re-booked in the event of a cancellation. Travel agencies must be prepared to meet the “new traveler,” whose expectations and behaviors are changing and whose familiarity with mobile device interface is greater. Consequently, fierce competition within the travel agency industry is keeping transaction prices low despite an economy where operating costs are increasing. To survive and prosper, travel agencies must be highly flexible, responsive to changes and willing to adjust their strategies. Technology enhancements allow travel agencies to focus on customer needs and they S u r v i v i n g t h e e c o n o m i c r o l l e r c o a s t e r h a s b e c o m e o u r m a n t r a .
>> WHAT IS THE DTMO? The Defense Travel Management Office (DTMO) serves the Department of Defense (DOD) by consolidating, streamlining, and centrally managing commercial travel, providing a single focal point to the Department and industry. This “single face” ensures consistency in the Department’s focus, policy, and execution, marking a new era in government travel. In 2006, under the leadership of Under Secretary of Defense for Personnel and Readiness Dr. David S. C. Chu and DTMO Director Sheila M. Earle, DTMO assumed responsibility for supplying a simple, responsive process for travelers, efficient assistance for customers and travel system users, and the best value for both the traveler and the Government. Today, DTMO provides oversight for Commercial Travel Management, Travel Policy and Implementation, Travel Card Program Management, Truck and Car Rental programs, Military Bus Program, the Recruit Travel Assistance Program (formally known as the Passenger Standing Route Order - PSRO), the Military Recruit Assistance Programs, training, functional oversight of the Defense Travel System (DTS), and customer support as well as the DOD Customer Interface for the GSA City Pair Program. As the DOD centralized travel management office, the DTMO interfaces with the travel industry regarding policies and programs.
also make it easier to assess what options are best overall. In some cases, compliance yields greater savings than finding the lowest fare. As travel continues to change, so will the role of the travel agency.
Surviving the economic roller coaster has become our mantra. We will survive through change, through competitive strategies, and through creative restructuring.
We must not forget, however, that even though new technologies offer advantages (video conferencing can offset travel costs, for example), success in our business with the government market is based on relationship building in addition to providing best value, competitive prices, and optimum performance.
Positives do exist in the midst of this wild ride. The Federal Government has travel programs in place that allow for the continuance of deep discounts and outstanding benefits. And, we in the passenger travel industry remain committed to enhancing the travel experience. DTJ
The NDTA Passenger Travel Services Committee is composed of 9 subcommittees, led by experts from various industry segments. And, as with all things in government and military travel services, it requires TEAMWORK. I would like to thank the PTSC sub-committee chairs—Kelly Kuhn (Travel Agency), Denny Clifford (Airline), Mike Washkevich (Car Rental), and Scott Lamb (Lodging) and their members for their valuable input to this report.
AIRLINES Mr. Denny Clifford, Director Military & Government, Northwest Airlines & NDTA PTSC Airline Sub-committee Chair
The Airline City Pair Program originally covered only 11 markets, but over the last 27 years, has expanded to more than 5000 city pairs. Airfares offered under this program are discounted considerably off comparable commercial fares— saving the federal government billions of dollars annually. In addition to the tremendous price savings, the Airline City Pair Program has many features that allow government travelers all the flexibility possible in planning official travel:
• Fares priced on one-way routes permitting agencies to plan multiple destinations • No advance purchase required • No minimum/maximum stay required • Tickets fully refundable • Last seat availability • No blackout periods • Stable prices enabling travel budgeting • Dual fares availability The Open Skies agreement recently passed by the EU allows more access for US carriers to Europe, and also more access for European carriers to US destinations. Part of this agreement modified usage of the Fly America Act. For city pairs not awarded a government contract fare, civilian employees of the federal government are able to fly on non-US flag/foreign carriers across the Atlantic. Civilian employees must still follow the original Fly America Act provisions when the city pair is a GSA contract market. DOD employees must still follow the original Fly America Act rules at all times and travel on US flag carriers (which includes foreign flag airlines that have a codeshare relationship with a US flag carrier) across the Atlantic, regardless whether the city pair is a contract market or not.
The Airline industry has been in discussions with GSA for the past year regarding implementation of commercial practices, including ticket time limits when booking travel and the imposition of penalties for changes to itineraries. More continued discussions are needed in these and other areas. The government should recognize that the dynamics of the industry are dramatically changing. The financial pressures on airlines, further consolidation in the industry, Open Skies, and
AIRLINES American Airlines George Coyle CSI Aviation Services Ralph Paker Donna Heinz Delta Air Lines Brian Munson Lee Grigsby FlightWorks, Inc. Cynthia Karnik Kalitta Charters, LLC Steve Green Luxury Air Jets Rodney Kadymir North American Airways Lois Wilson Northwest Airlines Denny Clifford* Omni Air International Trisha M. Frank Southwest Airlines Merrill Taylor United Airlines Tom Billone World Airways Lois Wilson
BUS Trailways Transportation System Diane Walden*
CAR RENTAL Advantage Rent-A-Car Clay Cribbs Alamo/National Rent A Car [Vanguard] Jeff Coggin Avis/Budget Rent A Car Mike Washkevitz * Robert Krapf
Dollar – Thrifty Automotive Group Randy Tietsort Mark Cronin Enterprise Rent-A-Car Lisa Burgess Bryan Scott Xavier Trimiew Europcar Frank Langbein Tony Dolt Olivier Jacquet Fox Rent A Car Jose Giraldo The Hertz Corporation Rocky Mobaraki Lori Leffler Payless Car Rental Kathy Johnson
CRUISE LINES Norwegian Cruise Lines (NCL) Susan Robinson Bettina Osterwind
EXTENDED STAY LODGING Korman Communities Scott Foster Extended Stay America, Inc. Toni Kleinops* Oakwood Worldwide Debbie Lynch Daphne Medillo Mary Jacenich Virginian Suites Greg Burnes Beth Sebek
HOTELS Best Western International Mari Ann Gray Dave Brogden Carlson Hotels Worldwide Linda Colovos Choice Hotels International Mary Sarkis Lisa Kenner Hawthorn Suites-Alexandria Stacie Liverpool Hilton Hotels Corporation Scott Lamb* Hyatt Hotels & Resorts Ron Keith Anna Marie DiBattista InterContinental Hotels Group Jim Reiter Judy Silcox La Quinta Jake Paine Lynn Shatterly LTD Hotel Management Co. Georgeann Sharp Oakwood Worldwide Kathy Lane Radisson – Waikiki Newton Wong
changes in usage of the Fly America Act are issues that may significantly impact future GSA city pair contracts. A win/win relationship between GSA and industry can only be attained if these changes are taken into account and addressed directly with industry moving forward.
LODGING Mr. Scott Lamb, Director Government Sales, The Hilton Corporation & NDTA PTSC Lodging Sub-committee Chair,
The Government has various hotel programs available to government travelers such as Fed Rooms, Emergency Lodging Services, Travel Agency Programs, and Army Lodging Success. While all of these programs have their merits, multiple programs dilute the success of all programs. Government Travelers are required to utilize lodging facilities that are FEMA compliant and within per diem.
As the government rolls out online booking tools for both DOD and civilian agencies, the lodging industry has struggled with supporting government travel because their ability to market to the government traveler has been limited. In order to obtain hotel rates discounted to per diem levels, the government must partner with the lodging industry to help provide them with better information about their travel patterns. The Hotel Sub-committee, along with hotel industry representatives and the DTMO, have planned to meet over the summer to discuss this and other lodging issues that affect the DOD.
On the lodging side, government travelers need to make sure they book rates intended to be used by government. Sometimes the lowest rate is not the best rate—because it carries a cancellation penalty or no-refund policy. Regardless of how travel is booked, it pays to make sure a government rate is booked for government travel.
CAR RENTAL Mr. Mike Washkevich, Government Sales Director, Avis Budget Group & NDTA PTSC Car Rental Sub-committee Chair
Advances in technology have allowed car rental companies to offer various products to enhance the customer’s travel experience and save time. Many car rental companies offer EZ Pass for tolls, GPS navigation systems, and expedited pick up and return services. Satellite radio is also available in many rental vehicles. Overall, the car rental experience is much easier and faster and offers more services than ever before.
Even in these uncertain economic times, the benefits that the Federal Government travelers continue to receive from the car rental companies include:
• Discounted rates • Free collision insurance (LDW) • Liability coverage • No surcharges for younger drivers In today’s automated world, government travelers need to ensure that they are utilizing government car rental rates and not those available to the general public in order to receive the benefits of the government car rental program. Failure to utilize appropriate rates nullifies benefits.
TRAVEL AGENCIES Ms. Kelly Kuhn, President Carlson Wagonlit Travel/SatoTravel Military & NDTA PTSC Travel Agency Sub-committee Chair
The DTMO provides centralized management and acquisition of Commercial Travel Offices serving the official travel requirements of DOD activities worldwide while GSA manages the travel agency programs for the civilian government agencies.
Currently, a number of large and mid-size travel agencies have and/or are bidding on the world-wide DOD travel task orders covering all branches of military service. Two awards have already been announced (Defense Travel Area [DTA] 6 task order for all of the USMC and several DOD agencies and DTA 1 for army locations in the states of AZ, CA, CO, ID, MT, NM, NV, OK, UT, WA, and WY). Both were awarded to CWTSatoTravel.
A comprehensive travel management survey was conducted recently by CWT; the findings were applied industry wide and are outlined below:
• Content fractionalization will continue to be a challenge across the globe—in
Starwood Hotels Ted Miller Wyndham Hotel Group Denise Benyak
PASSENGER RAIL Amtrak Clifford Black*
TRAVEL AGENCIES Omega World Travel Karen Bacordo Diana McHugh Carlson Wagonlit Travel / SatoTravel Kelly Kuhn* Sally Bickner Monnie Riggin Scott Guerrero Marc Stec Craig Thompson
TRAVEL PUBLICATIONS & SERVICES OAG Worldwide Brent Albrecht
TRAVEL TECHNOLOGY INNOVATA Paul Chrestensen Cathi Massi Judy Smith Northrop Grumman Lisa Godfrey * Sabre Travel Network Jeffrey Goodell
GOVERNMENT Defense Travel Management Office (DTMO) Paul Joyce Andrea Carlock George Greiling Harold Hicks Bill Shirey Program Management Office – Defense Travel System (PMO - DTS) Col Lynne Hamilton-Jones, USAF PTSC COMMITTEES AND CHAIRS PTSC Committee Chair Dr. G.R. “Rocky” Mobaraki, MBA, PhD The Hertz Corporation Director, Government Sales PTSC Vice Chair and Airline Committee Sub-committee Chair Mr. Denny Clifford Director, Military and Government Sales Northwest Airlines Car Rental Sub-committee Chair Mr. Mike Washkevich Director, Government Sales Avis & Budget Rent A Car Hotels Sub-committee Chair Mr. Scott Lamb Director, Government Sales Hilton Hotels Corporation Travel Agencies Sub-committee Chair Ms. Kelly Kuhn President, Carlson Wagonlit Travel | SatoTravel Travel Technology Sub-committee Chair Lisa Godfrey DTS Program Manager Northrop Grumman Bus Sub-committee Chair Ms. Diane Walden VP, Sales, Trailways Extended Stay Lodging Sub-committee Chair Toni Kleinops Extended Stay America Passenger Rail Sub-committee Chair Mr. Clifford Black Chief Corporate Communications (Acting), Amtrack Travel Publications & Services Sub-committee Chair Brent Albrecht Advertising & Marketing Director, OAG EX-OFFICIO Ken Wykle, President, NDTA Denny Edwards, VP, NDTA
(Subcommittee Chairman*)
response, travel agencies will continue to invest in GDS-independent booking solutions. • Traveler expectations and behavior are changing with the advancement of mobile technologies—Web 2.0 is a reality. Travelers not only use the Internet to access information, but to share it. In response, travel agencies will continue to invest in mobile services and “intelligent” itineraries, delivering customized itinerary content and destination information to the traveler on a mobile device and getting instant feedback about service while the traveler is en-route. • Industry suppliers will continue to consolidate and competition will decrease—in response, travel agencies will continue deploying a holistic approach to Program Optimization. Rather than focusing only on supplier discounts, travel agencies will help clients maximize savings by analyzing and influencing traveler behavior, enforcing policy, and managing demand. • Corporate Social Responsibility will impact and guide business decisions— driven by customer demand, clients are increasingly aware of the impact that their business practices have on society and the environment. Travel agencies will continue to be a responsible supplier and will support our clients’ initiatives through improved safety and security programs and environmental impact monitoring. DTJ
The MILITARY GOVERNMENT MARKET and the TRAVEL INDUSTRY By Denny Edwards, NDTA Headquarters
As a major customer of the US travel industry, the military/government traveler is unique in the services he or she requires. NDTA asked long-time passenger travel executive, Craig Thompson, VP Military & Government CWT SatoTravel, to give his views on some of the current issues affecting the Industry.
NDTA: How does the current economic situation impact the industry/government relationship?
THOMPSON: The original business model may no longer suit requirements today. For example, there is widespread sentiment in the airline industry that in these crucial times, the traditional favorable terms offered to the government in terms of air fares may have to be modified. Guaranteed last seat availability and the continued imposition of fuel surcharges are two issues up for discussion. In the future, airlines may be forced to model their government programs to more closely fit the template of their larger corporate customers. It is no secret that the government gets a great value in terms of pricing from the airlines and the rest of the travel industry. But that may have to change as the market adjusts to today’s economic conditions. I believe we will continue to see the availability of government rates decrease, or the cost of that availability increase for the government market.
>> GOVERNMENT CHARGE CARD
The GSA SmartPay ® program provides charge cards to agencies/ departments throughout the US government, as well as tribal governments, through master contracts that are negotiated with major national banks. There are currently more than 350 agencies/organizations participating in the GSA SmartPay ® program, spending more than $26 billion annually through more than 98 million transactions on nearly three million cards. The GSA SmartPay ® program office currently manages five master contracts providing agencies a number of different types of charge card products and services.
• Purchase Cards: For purchasing general supplies and services • Travel Cards: For travel expenses related to official government travel (airline, hotel, meals, incidentals) • Fleet Cards: For fuel and supplies for government vehicles • Integrated Cards: Two or more business lines (card types) whose processes are integrated into one card
The current GSA SmartPay ® contract was awarded in 1998. The current contract is set to expire on November 29, 2008, and GSA has awarded contracts to the banks that will provide charge card services to the government going forward. This future program is referred to as GSA SmartPay ® 2. The banks that have been awarded contracts under GSA SmartPay ® 2 are Citibank, GE Capital Financial, JP Morgan/Chase, and US Bank. Based on customer feedback, the GSA SmartPay ® Program Office is focusing on improvements to the following areas for SP2:
• New products and services • Security of systems and data • Enhanced data capture • Improved ability to analyze data and produce information • Tax reclamation
All current charge cards will expire on November 29, 2008, at 11:59pm Eastern Standard Time (EST). Cardholders should receive a new card during summer 2008, which will be shipped in a deactivated state. Cardholders will be required to verify receipt of the new travel cards and begin using on November 30, 2008, at 12:00am EST.
For further information visit: www.defensetravel.dod.mil or www.gsa.gov/smartpay.
NDTA: How has the combined Carlson WagonLit Travel/SatoTravel organization changed since becoming one company?
THOMPSON: As a significant player in the market, our first objective was “to do no harm” and have a seamless transition. It has been successful in terms of our clients and in terms of our own people. Our customers tell us that we have succeeded. Although we issue approximately 15,000 tickets per day to our government and military travelers worldwide, customers say we have retained the same high quality services that both
companies were known for. To that strong service ethic we have been able to add the advantage of size. Folks don’t buy from you because you are big, per se, but being big helps you provide new and more efficient services. The enhanced Aqua software program we use helps maintain high quality controls from an administrative standpoint on all our reservations and ticketing. When the name is the same “over the door” worldwide, it allows us to provide quality and efficient service throughout the 150+ countries where we operate. It’s tough to go to any country in the world and not see our name in Embassies or on military installations. That widespread coverage helps us take care of our government travelers.
NDTA: With the travel industry facing multiple serious issues today, what changes do you see on the horizon that will affect the military/government market?
THOMPSON: Actually, government and military business stays fairly steady in both good times and bad. At least this has been the traditional assessment. The missions of the various US Government agencies do no necessarily change with the economy. But with airlines making drastic cuts in capacity, the travel industry is changing. Less capacity means higher load factors, and that in turn means increased fares for all. In the short run, I think we should rely on the Boy Scout motto—Be Prepared, Plan Ahead. But in the long term, I think that it is inevitable that the government is going to have to live with higher prices. No doubt, as the industry’s costs rise, those costs are going to be passed on to all customers— including the government. That is the free marketplace we live in and defend.
NDTA: How well are DOD’s DTS and the government’s e-Gov travel programs operating based on your experience?
THOMPSON: I think pretty well. Early growing pains, but I think we are there. Both systems provide efficient tools for the official traveler. I don’t believe anybody in the industry realized the degree of “customization” that would be necessary to meet the government’s requirements. We were trying to synthesize the government programs with ones similar to what we use for our corporate travelers. In one exceptional case, we found that making an of
With plans to re-invigorate their participation with NDTA, Marriott International and OAG offer programs that will provide benefits to NDTA members in the long run.
Marriott International has recently launched an industry-first sales training program that will translate into greater efficiency and customer service for the company’s government customers known as “Sales Force One.” The online, self-guided program is designed to give Marriott sales associates a more comprehensive view of government travelers’ needs; a team of 18 Government Area Account Executives in the Washington, DC, area were a key component in developing the government segment strategy. The new program covers topics ranging from group contracting and individual travel to extended-stay needs. Marriott is the first major hotel chain to introduce a detailed government per diem rate qualification guide, which include details about compliance with GSA per diem rates and specifically who qualifies for Marriott’s Federal, State, and Local Government rates. NDTA and Marriott are considering ways to provide personal copies of the Per Diem Guide to association members, according to Paul Somogyi, Director of Sales, Government & Affinity Segments.
Another NDTA member benefit under consideration is complimentary distribution of OAG Worldwide’s Official Traveler—DOD and Government Resource Guide (retail: $17.95). This indispensable reference, published once a year in November right after the Per Diem rates come out in October, is a compendium of useful information specifically targeting military and government traveler needs. Topics include the latest GSA city pair awards, CONUS and selected OCONUS Per Diem rates, DTMO Car Rental Ceiling Rates, and listings of Military Installations and USO locations. Critical updates on the Defense Travel System (DTS) and E-Gov Travel Service (ETS) also appear, addressing such topics as flight cancellation policies and what to do with unused tickets. Hotel and rental car discount and upgrade coupons are a popular and practical feature. Although this product is not designed specifically for government contractors, OAG Marketing Director, Brent Albrecht explains that the wealth of current travel information would be equally useful to them as they serve their government customers. DTJ
ficial government trip required 9 levels of approval! Nothing like that exists in any of our other programs.
NDTA: How is CWT SatoTravel preparing for the DOD Smart Card 2 transition?
THOMPSON: We realize that when the current Bank of America contract expires in November and Citi takes over that there will be some challenges. There always are when change is involved. But we feel our size and more than 50 years of experience in the market will smooth out any bumps in the road. Again, being prepared is our best plan and the government’s best plan. We have been through every credit card change since the original was first used . . . “way back when.” DTJ
Holding on to a totally or partially used airline ticket costs your agency money. Unused tickets have monetary value; therefore, any adjustments in connection with official passenger transportation that results in an unused segment must be promptly processed to prevent monetary losses to the government. UNUSED TICKETS DEFINED • Tickets purchased for Government travel, but never used • Travel is terminated short of the authorized destination • Return portion of a round-trip ticket is not used • Services actually furnished are different or of a lesser value than those authorized RESPONSIBILITY – AS A GOVERNMENT TRAVELER Government travelers having downgraded, exchanged, unused, or partially unused tickets that were purchased with their individually billed account (IBA) should exchange those coupons for a Credit Card Refund Notice (CCRN) receipt from the Transportation Service Provider (TSP)/ Travel Management Center (TMC)/ Commercial Travel Office (CTO). The traveler should retain this CCRN receipt as evidence that a credit is due and confirm that the credit was received on his/ her IBA statement. (NOTE: The TSP is the airline used. TMC is the federal civilian travel agency. CTO is the Department of Defense’s travel agency.) Most of the time, airline tickets are purchased by the TMC/CTO using the agency’s centrally billed account (CBA), so the amount will never appear on the traveler’s IBA. When tickets are purchased via a CBA, the traveler should immediately: • Notify TMC/CTO when trip or portion of trip will not be/was not made. Make written documentation that TMC/CTO was notified and notify appropriate office/agency of unused portion(s) in accordance with your agency’s internal travel policies RESPONSIBILITY –AS AN AGENCY Each agency’s policy office should establish administrative procedures to promptly identify unused tickets, coupons, or other evidence of refunds due the Government. The travel office that handles travel vouchers should be able to identify any unused tickets attached to travel vouchers. The travel office should also be able to determine any possible unused portions when examining travel vouchers (eg, if a traveler used another mode of travel [car] in lieu of return portion of ticket).
The agency’s finance office receives centrally billed account (CBA) statements and should be aware of unused tickets to ensure that credits are received.
To ensure that unused tickets are tracked and refunded, an agency should: • Ask for a management information report from its TMC/CTO broken down by CBA/IBA and/or US Government Transportation Requests (GTR, SF 1169) to keep a better track of unused portions • Ask its TMC/CTO to add a statement on itineraries that provide instructions regarding unused tickets or ticket segments • Add a line for status of unused tickets if the agency has a travel worksheet/ checklist EXPIRED TICKETS An expired ticket is one that is more than a year old from date of purchase. Only GSA’s Transportation Audits Division can recover refunds for expired tickets, and any expired tickets must be submitted to GSA’s Transportation Audits Division for processing. GSA’s Transportation Audits Division may recover refunds for up to 10 years after date of purchase. Expired tickets must be sent to the following address: General Services Administration Transportation Audits Division 2200 Crystal Drive, Suite 300 Arlington, VA 22202 For more information regarding unused tickets, please contact your GSA representative, Annie Scott, at 703-605-9425, 703-605-9903 (fax), or annie.scott@gsa.gov. The Best Laid Plans What to Do with UNUSED AIRLINE TICKETS from GSA
Federal and Military Travelers Have the Right to a BETTER HOTEL RATE with FEDROOMS
FedRooms is the official governmentwide, government-sponsored hotel program, with more than 6500 hotels in more than 1700 cities worldwide. FedRooms Rates are negotiated on behalf of the federal government, guaranteeing travelers:
• Rates that are at or below per diem • A cancellation policy of 4pm on the day of arrival • No hidden costs or penalties • No charge for early check-out • Hotels with a two-star (or higher) rating • Hotels that are FEMA-certified
Other so-called government or military rates may not provide these guarantees. Moreover, in a recent sampling of key federal travel cities, non-FedRooms rates for government travelers were listed higher than per diem in 15% of hotels tested.
WHY SHOULD FEDERAL TRAVELERS FOCUS ON BOOKING THE FEDROOMS RATE? Travelers no longer need to search and compare hotels to ensure that they are compliant with federal regulations: With more than 6500 FedRooms hotels worldwide, and with new hotels added daily, FedRooms provides choice while leveraging the federal government’s overall buying power—ensuring guaranteed rates and rate protection now and in the future.
HOW CAN FEDERAL AND MILITARY TRAVELERS BOOK THE FEDROOMS RATE? Because the program was designed for federal travelers, FedRooms Rates are
• Directly through the FedRooms website, www.fedrooms.com. • Through federal agencies’ designated E-Gov Travel Service (ETS) booking tools following a simple two step process*: –Select a designated FedRooms property from the search results. –Choose the FedRooms Rate from the list of available rates. • Through direct calls to participating hotel reservation centers. Be sure to insist on the FedRooms Rate by name. Remember, the “government,” “federal government,” and “military” rates are not the same. • Call the government or military agency’s designated travel agency and ask for the FedRooms Rate.
LEISURE TRAVEL, ANYONE? Because federal travelers requested it, FedRooms has made it easier than ever to access FedRooms rates for leisure travel on fedrooms.com**. Clicking on “leisure” in the “filter search results” section allows federal travelers to refine search results to show only hotels that extend the FedRooms rate to federal travelers on leisure travel. Nearly 60% of participating properties currently extend this rate, and we expect this number to continue to grow as utilization increases.
FEDROOMS FOR CONTRACTORS Government contractors are also eligible to use the FedRooms Rate at more than 60% of the 6500 participating properties. Click on “contractors” in the “filter search results” section to refine search results to only those properties extending the rate for contractors. Contractors can also contact Kindall Farwell (kindall@fedrooms.com) for more information about booking through FedRooms.com or our enhanced program for contractors, CRC FedRates. DTJ
The FedRooms Rate. Ask for it by name. Accept no substitutes.
*The technology for military travelers to book through the DTS is currently in development. In the meantime, travelers can book through FedRooms.com when policy allows. **FedRooms Rates for leisure travel must be booked via fedrooms.com.
NATIONAL TRAVEL FORUM Tackles Government/Industry Travel Issues By Denny Edwards, NDTA
More than 200 government and military travel managers and travel industry professionals met in Atlanta recently for the 2008 National Travel Forum, which was hosted this year for the first time by the National Business Travel Association’s Government Travel Group (GTF).
Educational sessions on the Federal Travel Regulation and the Joint Travel Regulation (JTR) were most popular. The JTR is a comprehensive and sometimes very complex regulation, but it is the industry “Bible,” and, as such, travel managers on both sides of the partnership need to understand its provisions and apply them correctly. Recognition of its importance, said GTG officials, always makes the JTR and FTR discussions some of the most valuable of the Forum.
The increased importance of Relocation drew considerable interest. Several new comers to the industry participated and exhibited this year, and the consensus of GTF delegates was that the field will continue to grow as military and government organizations put more emphasis on consolidating functions to facilitate “one stop shopping,” thus easing the burdens of transfers and relocations on employees.
>> GOVERNMENT TRAVEL FORUM The Government Travel Forum was historically organized by the General Services Administration (GSA). At the conclusion of NTF 2006, GSA entrusted future event management to the National Business Travel Association’s Government Travel Group (NBTA GTG). The GTG was created by NBTA to serve the growing needs of government travel professionals within GSA, DOD, and the states and to provide government travel managers with access to the member benefits that have long set NBTA apart as the leading association for corporate travel professionals. Currently the National Travel Forum is held every two years.
The Car Rental seminar was well attended due to the recent transfer of the Federal Rental Car Program from the Strategic Deployment and Distribution Command (SDDC) to the Defense Travel Management Office (DTMO). Nearly every member company of NDTA’s Car Rental Sub-committee was represented. The DTMO advanced the idea of more widespread educational outreach to customers in the form of individual agency conferences to help military and government travelers understand their options and responsibilities. Session attendees were overwhelmingly in favor of such a program.
The current Airline industry environment was another serious topic of discussion. Facing an uncertain future, travel managers must be prepared for change. Special surcharges and fees were discussed as well as ways to minimize the impact for government travelers. Although many fees are beyond the traveler’s control—airport fees and fuel surcharges, for example—travel managers must continue to educate and update their customers as often as possible.
Two exhibit periods were held during the four day event. “We had good traffic and lots of interest by delegates,” said George Greiling, Senior Travel Analyst at the DTMO. Paul Somogyi, Director of Sales, Government and Affinity for the Marriott Corporation, added, “The Forum gave us a good opportunity to tell customers about Marriott’s new direction and emphasis in the government market. We are more focused now on the importance of this segment”, he said. DTJ
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