Office of Government-wide Policy GSAs Per Diem Rate Setting Methodology for the Continental United States Travel Management Policy Office of Transportation and Asset Management Todays Agenda 2 Quick overview of lodging per diem methodology and FY16 results Meals and Incidental Expense (M&IE) methodology changes for FY16 and beyond New FTR proposed rule comments until March 8 Lodging Per Diem Methodology Primary ZIP Codes Mid-Range Priced Properties FEMA Fire Safe Properties K properties used; average 30 each NSA 4 Lodging Per Diem Methodology Only data of hotels/motels; no condos, dorms, cabins No weekend travel rates Data used: April March 5 Lodging Per Diem Process Identify area and primary ZIP codes Use updated Fire-Safe hotel list Obtain hotel industry data: Average Daily Rate Analyze hotel industry data Seek/obtain GSA senior management concurrence Seek/obtain OMB senior management concurrence Notify Congress of FY rate change Publish FY per diem rates FY2016 Lodging Study Findings 6 What was reviewedOverall Results Non-standard area lodging rates305 increases average $7 14 remain the same 30 decreases average -$5 Standard lodging rateIncrease to $89 from $83 FY14 was the last time this rate changed. GTAC recommended reviewing annually; GSA agreed. 7 M&IE Methodology Whats Included 8 Average Rate for 3 meals - Two different meal types per meal, averaged Local taxes Gratuity 15 percent Add $5 for incidental expenses GTAC Suggestions March After learning about the M&IE methodology, the GTAC proposed GSA test the following options to potentially save money on M&IE spend: Add fast casual restaurants (e.g. Panera) Exclude AAA three-diamond restaurants Add fast casual and exclude three-diamond restaurants Adjusted Restaurant Types 10 Type of restaurantPercent in sample Family dining chains or chain-type restaurants 62.2% AAA 2-diamond restaurants17.7% Independent, full-service restaurants not otherwise included 9.6% Fast-casual restaurants7.9% AAA 1-diamond restaurants2.6% 11 Requests for Per Diem Reviews Federal Agency Travel Manager notifies GSA of their travelers difficulties in finding rooms at the current per diem rate. The letter should include: Number of trips annually in specific location Address, ZIPs & rates where they need to stay Frequency actual expense used 12 Requests for Per Diem Reviews Requests postmarked by 4/1 or 12/31 SeeFAQs #5 and 6www.gsa.gov/perdiem Rates can increase/decrease/remain unchanged 13 Proposed Rule ATM fees, etc Proposed change to Federal Travel Regulation announced Jan. 8, 2016 Public has 60 days to comment at regulations.gov ATM fees will be considered part of the M&IE amount Clarifies that laundry/pressing/cleaning MAY be paid by the agency (not MUST be) 14 Additional Resources Questions: Websites: gsa.gov/perdiem15 Point of Contact Jill Denning Per Diem Program Manager (202)