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GSA Federal Supply Service AIRLINE CITY PAIR PROGRAM FY2006 SUMMARY Jerry W. Ellis
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2 FY06 Highlights Industry Changes –Fare Structures/Pricing –Government Representative Fuel Surcharges Bankruptcies and mergers of Airline Carriers Continental’s Non Participation Domestic Code Shares Groups GTRs Unused Tickets
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3 Continental Airlines Continental elected not to participate in the FY06 cycle. Awarded 129 markets in FY05 –53 of the 129 awarded in FY06 Continental’s main hubs are: –Newark, NJ (EWR), –Houston, TX (HOU), –Cleveland, OH (CLE), –Guam (GUM)
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4 Domestic Code Shares Code share partners are also competitors within this program. Business agreement does not support obligating partner’s seat inventory. We get all of contract carrier’s own service. We do get offered code-share service (domestic and international)
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5 Groups Moved to commercial practice Groups of 10 or more are non-mandatory May still use contract fares if offered by carrier. May negotiate with any carrier for best rates and/or service. Group reservations must be made through that carrier’s group (or government) desk. Group bookings are subject to carrier’s group policies.
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6 GTRs All carriers are moving to automated processes. GTR’s involve a manual process. –Costly to both the government and industry. For domestic air travel GTRs may be used only under special circumstances and for travel related expenses. We encourage all, wherever possible, to obtain a SmartPay charge card one for their employees and a separate one for contractors
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7 FY 2006 STATISTICS 13 Carriers 6,066 Markets solicited/4,720 Markets awarded Average YCA/_CA differential - $100 (up from $87 last year) 95% Nonstop service awarded where offered; 67% Average discount off the walk-up fare $2.8 Billion in savings
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8 Outstanding Bargains... City Pair Government Commercial YCA/_CA HNL/SAN (N) $240/ $195$857 (Honolulu/San Diego) ORD/SEA (N) $174/ $149 $1,293 (Chicago/Seattle) IAD/LAX (N) $177/ $147 $1,335 (Washington/Los Angeles) ATL/FRA (N) $365/ __ $2,422 (Atlanta/Frankfurt) WAS/LON (N) $372/ $290$1,678 (Washington/London) NYC/PAR (N) $299/ $148$1,751 (New York/Paris)
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9 What should I do with unused tickets? QTurn in as soon as possible QCost savings to the Government QCost savings to the taxpayer When to refund a ticket: Ticket purchased never used or only partially used Traveler MUST initiate the refund process
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10 Outlook for FY07 GSA Multiple Award Schedule –Travel Services Solutions (TSS) »FEDFARES pilot program »Air Charter Services
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11 The City Pair Program-The Best Value in the Air GSA leverages Govt.’s market share for negotiated discounts Fully refundable No purchase or stay restrictions No airline change/cancel penalties Dual Fares (YCA, _ CA) Plan ahead & save $$
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12 For more information... www.gsa.gov/citypairs/ Linda L. Smith Contracting Officer 703.605-2915 lindal.smith@gsa.gov Eddie Murphy Contracting Officer, Acting Branch Chief 703.605.2919 Eddie.murphy@gsa.gov Jerry W. EllisErgene Lee Contract SpecialistContracting Officer 703.605-2928 703.605-2917 jerry.ellis@gsa.gov Gene.lee@gsa.gov
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13 Questions?
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