United States Department of Agriculture
Research, Education and Economics

ARS * CSREES * ERS * NASS

Bulletin

On March 28, 2000, Secretary Glickman sent a memorandum to Subcabinet Officers and Agency Heads expressing his concern about administrative spending levels. He also advised that the Fiscal Year 2000 budget reduction included a departmentwide reduction in administrative expenses. One administrative expense targeted is travel costs.

The departments' Office of the Chief Financial Officer (OCFO) has published further guidance to help minimize travel costs and clarifies information published in Secretary Glickman's memorandum.

Use of Alternate Airports:

In areas where multiple airports serve the same market, you must consider using all local airports, not just the one that may be closest to the traveler's home or office. In a highly competitive market, certain airlines may have a high presence at one local airport and offer low fares from that airport but not others in the same locality. When determining whether to use an alternate airport, you need to consider factors other than the fare itself; e.g., the additional cost of ground transportation from home or office to a less-conveniently located airport. When these factors indicate a savings to the agency, and there are no extenuating circumstances, the airport with the lowest overall costs should be the one used. To cover those times when cost savings are not significant, you should establish a threshold and require that price take precedence over convenience only when the savings meet or exceed the threshold.

NOTE: In the Washington, D.C. area, American Express Travel will contact the agency travel coordinator's office when the cost of departure from one airport is $100 or more than the cost of a ticket leaving from an alternate airport. The travel coordinator will contact the fundholder, supervisor, or travel approving official to obtain approval for that employee to depart using an airport which costs exceeds departure from another airport.

Advance Purchase and Penalty Fare:

The Federal Travel Regulations (FTRs) require that government travelers always use a contract city-pair fare if available. Besides the four non-use codes established in Chapter 301-10.107 and 301-70.100-101 of the FTR, you may take advantage of lower cost fares when:

• The cost is lower overall (based on a cost comparison to include the combined cost of transportation, lodging, meals, and related expenses) and it is highly unlikely that the traveler will incur a monetary penalty; e.g., due to the trip being canceled. Travel approving officials may approve purchase of non-Government fares on a case-by-case basis. Travelers are not authorized to procure such fares without approval. Penalties incurred for an official trip that is canceled will be considered a cost to the government.
  
  
• Despite time requirements; e.g., a Saturday night stay, it is still advantageous to the government to purchase the ticket at the lower fare.
  
  
• Consideration is given to the fact that the purchase of these fares may require an employee to make immediate payment well in advance of the trip. This could mean that the employee will receive their Bank of America bill before the trip is taken. Since employees may not file a voucher for the ticket until the trip is taken, a centrally-billed account (GVTS), or a Government Transportation Request should be used to pay for the ticket.

Meeting and Conference Attendance

Reduce the frequency of travel wherever possible. Only authorize attendance at meetings, conferences, and retreats when absolutely necessary and when that attendance will provide substantial, tangible benefits for agency programs. Use alternatives to attendance at such events, such as video or teleconferencing, wherever possible.

If you have questions or concerns pertaining to the information in this bulletin, you may contact Linda E. Mahoney, Chief, Travel and Relocation Services Branch, Financial Management Division, on 301-504-1307.

/s/
S. M. HELMRICH
Director
Financial Management Division