FY23 City Pair Contracts Awarded for Official Government Travel
Estimated savings of $1.2 billion negotiated through the program
WASHINGTON, D.C. — Today, GSA announced new Fiscal Year (FY) 2023 awards for scheduled airline passenger transportation services contracts offered through the GSA City Pair Program. The program negotiates set airfare rates for official government travel, and is estimated to save taxpayers more than $1.28 billion in the upcoming fiscal year. The new fares go into effect on October 1, 2022.
“The GSA City Pair Program is a great example of the federal government working together for the common mission, and creating value and cost savings for the taxpayers,” said GSA’s Federal Acquisition Service (FAS) Commissioner Sonny Hashmi. “It’s a Best-In-Class solution that makes it easy to meet the needs of our workforce by providing much-needed flexibility for government air travel.”
Under the Program, airfare rates for official government travel are firm-fixed-price and offer an estimated 45% discount on comparable commercial fares. GSA City Pair fares have no cancellation or change fees along with other benefits such as being fully refundable, having last seat availability, and no blackout dates.
GSA’s City Pair Program awarded contracts to eight U.S. air carriers for FY 2023:
- Alaska Airlines
- American Airlines
- Delta Airlines
- Hawaiian Airlines
- JetBlue Airways
- Silver Airways
- Southwest Airlines
- United Airlines
This program is the single largest strategically sourced procurement for negotiated airfares throughout the world. The GSA City Pair Program began in 1980 with 11 markets; 12,139 line item markets will be served in FY 2023.
The markets are chosen using data provided from previous years’ travel bookings, keeping in mind cost savings and program performance. GSA considers certain criteria including availability of service, total number of flights, flight availability, average elapsed flight time, and price of service.
About GSA: GSA provides centralized procurement and shared services for the federal government, managing a nationwide real estate portfolio of nearly 370 million rentable square feet, overseeing approximately $75 billion in annual contracts, and delivering technology services that serve millions of people across dozens of federal agencies. GSA’s mission is to deliver the best customer experience and value in real estate, acquisition, and technology services to the government and the American people. For more information, visit GSA.gov and follow us at @USGSA.