Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Department of Defense DoD Travel Policy Transformation Applying the Standard CONUS Rate for Enroute Travel

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Approach  Reform travel allowances, consolidate travel reasons, and business rules  Reform administrative policies and procedures that burdens DoD travelers today  Reform policies and process that intersect with and impact on travelers 2 Background In 2010, the United States Congress commissioned a study to simplify DoD travel policy In 2012, OMB directed Federal Agencies to reduce travel spend by at least 30% and directed DoD and GSA to review the JFTR and FTR Policy Transformation Vision  Simplified travel rules for the traveler  Reduced outlays for the Department  Leveraged capabilities of travel industry  Increased mission flexibility for leaders Proposed Solution: Incremental Implementation

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) 3 Use of the (SCR) is a proposed allowance for meals and incidentals for authorized or directed transportation, CONUS and OCONUS, when en route travel exceeds one calendar day. The SCR is currently $83 for lodging and $46 for M&IE. The methodology presented provides equitable reimbursement to travelers for realistic, reasonable, and expected travel expenses Standard CONUS Rate for Enroute Travel (83/46)

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Background – Airport Delays 4 Source: Center for Air Transportation Systems Research, George Mason University 78.7 % of passengers are on-time

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Background – Recommended Minimum Airport Connection Times 5 With security screening and short connection times, there is not much dwell time at airports for meals. Source:

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Background – Cost of Food Options on CONUS Flights 6 DoD most frequently traveled airlines based on GTCC data Source: Price information compiled from airline websites. AirlineSnacks MealsSoft Drinks Delta/Northwest$ $8.99 $ $9.99 Complimentary United/Continental Airlines $ $8.99$ $9.99 Complimentary U.S. Airways$ $6.99$ $8.59Complimentary Alaska Airlines Inc.$6.00 $ $7.00 Complimentary AirTran Airways/Southwest No Meals Complimentary Frontier Airlines $ $6.99 Complimentary JetBlue Airways$ $6.00$ $12.00 Complimentary Drinks American Airlines $ $6.99 $ $9.99 Complimentary No Meals

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Example CONUS Itinerary #1 7 Ft. Irwin (99/56) Ft. Bragg (95/51) Standard CONUS Rate (SCR) (83/46) DateCurrent AllowanceProposed AllowanceSavings 6/175% x $56 = $42.00 Neutral 6/2 – 6/43 x $56 = $ Neutral 6/575% x $56 = $42.00 Neutral $252 $0 When the traveler arrives on the same calendar day, the locality rates apply and there is no impact on reimbursement.

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Example CONUS Itinerary #2 8 Ft. Irwin (99/56) Ft. Bragg (95/51) Standard CONUS Rate (SCR) (83/46) DateCurrent AllowanceProposed AllowanceSavings 6/175% x $56 = $ % x $46 = $34.50$7.50 6/2 – 6/43 x $56 = $ Neutral 6/575% x $56 = $ % x $46 = $34.50$7.50 $252.00$237.00$15.00 When the traveler’s en route travel exceeds one calendar day, the Standard CONUS Rate applies resulting in cost savings to the government.

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Hypothetical Trip Scenario for CONUS Itinerary #2 9 DateLocationTimeActivityM&IE Expense M&IE Balance 6/1PDS/Home Breakfast and Lunch$0$237 6/1En route from PDS/Home Travel to airport (RDU)$0$237 6/1Departure Airport (RDU) Check-in/Security / Snack Waiting to Board$6$231 6/1In-flight to ORD Complimentary drink/pretzels$0$231 6/1Connecting Airport (ORD) Dinner/Waiting next flight$36$195 6/1In-flight to LAS Complimentary drink/pretzels$0$195 6/1Arriving Airport (LAS) Arrival/Bags/Rental Car$0$195 6/1-6/2En route LAS to Ft. Irwin Rental Car to TDY$0$195 6/2 Ft. Irwin-TDY (3 full meals x 2 days)$102$93 6/4En route to LAS Drive-thru breakfast/coffee$7$86 6/4Departure Airport (LAS) Check-in/Security / Snack Waiting to Board$6$80 6/4In-flight to IAH In-flight meal$10$70 6/4Connecting Airport (IAH) Dinner/Waiting next flight$36$34 6/4In-flight to RDU In-flight meal$10$24 6/4Arriving Airport (RDU) Arrival/Bags$0$24 6/5En route Home Breakfast at Diner$8$16

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Example CONUS Itinerary #3 (POV, Rental Car) 10 Bronx Naval & MC Reserve Ctr, NY (267/71) NAB Little Creek, VA 166/56 DateCurrent AllowanceProposed AllowanceSavings 6/175% x $56 = $42.00 Neutral 6/2 – 6/43 x $56 = $ Neutral 6/575% x $56 = $42.00 Neutral $252 $0 When the traveler arrives on the same calendar day, the locality rates apply and there is no impact on reimbursement. SCR 83/46

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Example CONUS Itinerary #4 POV (if advantageous), Rental Car 11 DateCurrent AllowanceProposed AllowanceSavings 6/175% x $51 + $110 = $148.25(75% x $46) + $83 = $117.50$ /2 – 6/32 x $56 = $ Neutral 6/4$56 + $90 = $146.00$46 + $83 = $129.00$ /575% x $56= $ % x $46 = $34.50$7.50 $448.25$393.00$55.25 When the traveler’s en route travel exceeds one calendar day, the Standard CONUS Rate applies resulting in cost savings to the government. Bronx Naval & MC Reserve Ctr, NY (267/71) Marietta NAS, GA 133/56 Charlotte, NC 110/51 Greensboro, NC 90/56 SCR 83/46 Lodging Costs Incurred Enroute

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Hypothetical Trip Scenario for CONUS Itinerary #4 12 DateLocationTimeActivityLodging + M&IE xpense Lodging + M&IE Balance 6/1Bronx, NY0600Depart PDS in POC en route to TDY$0$393 6/1Philadelphia, PA Stop for Breakfast$10$383 6/1En route POC Travel$0$383 6/1Fredericksburg, VA Stop for Lunch$14$369 6/1En route POC Travel$0$369 6/1-6/2Charlotte, NC – Fairfield Inn Overnight Lodging + Dinner$99 + $20$250 6/2Charlotte, NC – Fairfield Inn Breakfast Included$0$239 6/2En route POC Travel$0$239 6/2Commerce, GA Stop for Lunch$12$238 6/2en TDY POC Travel$0$227 Marietta-TDY (3 meals)$56$182 6/4Marietta Stop for Breakfast$8$174 6/4En route POC Travel$0$174 6/4Concord, NC Stop for Lunch$12$162 6/4En route POC Travel$0$162 6/4-6/5Greensboro, NC – Fairfield Inn Overnight Lodging + Dinner$90 + $23$49 6/5Greensboro, NC – Fairfield Inn Breakfast Included$0$49 6/5En route POC Travel$0$49 6/5Woodbridge, VA Stop for Lunch$14$35 6/5En route POC Travel$0$35 6/5Trenton, NJ Stop for Dinner$25$10 6/5En route – Bronx, NY POC Travel – arrive home/PDS$0$10

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) International Date Line (IDL) and SCR (83/46) 13

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Example OCONUS IDL Itinerary #1 14 DateCurrent AllowanceProposed AllowanceSavings 6/175% x $123 = $ % x $46 = $34.50$ /2 (IDL-W)$0 Neutral 6/3 – 6/42 x $123 = $ Neutral 6/5 (IDL-E)$ Neutral 6/575% x $123 = $ % x $46 = $34.50$57.75 $553.50$438.00$ When the traveler’s en route travel exceeds one calendar day, the Standard CONUS Rate applies resulting in cost savings to the government. Standard CONUS Rate 83/46 Camp Foster Japan (292/123)

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Hypothetical Trip Scenario for OCONUS IDL Itinerary #1 15 DateLocationTimeActivityM&IE Expense M&IE Balance 6/1En route from PDS/Home POC Travel to Airport$0$438 6/1Departure Airport (OAJ) Check-in/Security / Coffee & Bagel Waiting to Board$7$431 6/1In-flight to CLT In-flight (Complimentary drinks)$0$431 6/1Connecting Airport (CLT) Breakfast sandwich/Waiting to board$8$423 6/1In-flight to ORD In-flight meal$10$413 6/1Connecting Airport (ORD) Lunch/Waiting to board$18$395 6/1-6/3In-flight to NRT In-flight IDL-E /Meals provided/Arrive next day$0$395 6/3Connecting Airport (NRT) Dinner/Waiting to board$49$346 6/3In-flight to OKA In-flight/Meal provided$0$346 6/3En TDY Taxi to Camp Foster$0$346 Camp Foster-TDY (3 full meals x 1 day)$150$196 6/5Camp Foster Breakfast$23$173 6/5En route to Airport (OKA) Taxi to Airport$0$173 6/5Departure Airport (OKA) Check-in/Security / Lunch Waiting to Board$37$136 6/5In-flight to NRT In-flight/Meal provided$0$136 6/5Connecting Airport (NRT) Dinner/Waiting to board$49$87 6/5In-flight to ORD In-flight IDL-E/ Meals provided/ Arrive before departure time$0$87 6/5Connecting Airport (ORD) Lunch/Waiting to board$18$69 6/5In-flight to CLT In-flight meal$10$59 6/5Connecting Airport (CLT) Short connection time/Bottle of water$3$56 6/5In-flight to OAJ In-flight (Complimentary drinks)$0$56 6/5En route Home/PDS POC Travel home – Breakfast$7$49

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Example OCONUS non-IDL Itinerary #2 16 DateCurrent AllowanceProposed AllowanceSavings 6/175% x $114 = $ % x $46 = $34.50$ /2$114.00$46.00$ /3$ Neutral 6/4$3.50 Neutral 6/575% x $114 = $85.50 Neutral $402.50$283.50$ When the traveler’s en route travel exceeds one calendar day, the Standard CONUS Rate applies resulting in cost savings to the government. Standard CONUS Rate 83/46 Al Udeid AB, Qatar (227/114)

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Key Points 17 No Lodging For commercial flight(s) over 1 day – M&IE for days in the air For a traveler who drives through without stopping - M&IE for days on the road For traveler who crosses the IDL - M&IE for extra days With Lodging For commercial flights with necessary layovers, traveler receives actual lodging incurred + M&IE, NTE stopover location rate (no change) For travel via gov’t transportation, traveler receives actual lodging incurred plus M&IE (no change) For distances over 400 miles, POC is advantageous/rental car – traveler chooses stopover location and the standard SCR applies The result: Travelers flying still receive per diem (but at a relatively lower rate) for periods when little or no costs for M&IE are incurred Travelers maintain choice in selecting stopover locations, knowing in advance the per diem they will receive AO can control costs and know in advance what the cost will be for per diem No harm is caused to the traveler For travel to and from a TDY location for more than one day, a traveler receives the following per diem for the extra travel day(s) based on the Standard CONUS Per Diem Rate

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Questions? 18

Defense Travel Management Office Office of the Under Secretary of Defense (Personnel and Readiness) Example OCONUS IDL Itinerary #2 19 DateCurrent AllowanceProposed AllowanceSavings 6/175% x $143 = $ % x $46 = $34.50$ /2 (IDL-W)$0 Neutral 6/3 – 6/42 x $143 = $ Neutral 6/5$ Neutral 6/5 (IDL-E)$143.00$46.00$ /675% x $143 = $ % x $46 = $34.50$72.75 $ $544.00$ When the traveler’s en route travel exceeds one calendar day, the Standard CONUS Rate applies resulting in cost savings to the government. Standard CONUS Rate 83/46 Sydney, Australia (200/143)