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GSA: New airfares will save agencies billions

Aug. 11, 2014 - 06:00AM   |  
By ANDY MEDICI   |   Comments
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Agencies will receive airfare at 23 percent below average corporate rates under GSA's City Pair program. (Getty Images)

Agencies should save $2.3 billion in 2015 as part of the General Services Administration’s airfare program, according to an Aug. 7 announcement.

Under GSA’s City Pair program, airfare rates for federal employees are pre-negotiated — which means a 23 percent discount below average corporate rates, according to GSA. There are also no cancellation or change fees for agencies, according to GSA.

“GSA’s mission is to help federal agencies save money, and that includes getting the best price for government travelers,” said Tom Sharpe, GSA’s Federal Acquisition Service commissioner. “By leveraging the government’s buying power, we are able to help federal agencies reduce travel costs and save billions of taxpayer dollars.”

GSA said prices under the City Pair program are 1 percent lower than 2013, even though average rates have risen 6 percent. The total number of markets with City Pair rates available has also climbed — from 5,084 in fiscal 2013 to 7,894 in fiscal 2014.

The new 2015 rates become effective Oct. 1, 2014.

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