Disbursements & Travel Services Office Travel Updates February 26, 2013
Travel Agency and Car Rental Agency Background • 82nd Legislature, Senate Bill 5 • SB 5 lifted the requirement that institutions of higher education are required to participate in the state travel program. • UT System and UT Systemwide Travel Council issued request for proposal (RFP) for Systemwide Travel Management Services • The goal is to minimize cost, while improving overall service • Transition to a management fee from a per transaction cost • Billed monthly to each institution
Travel Agency and Car Rental Agency • UTSA represents approximately • 2.42% of all UT Systemwide travel or $896,000 • 1600 domestic transactions and 200 international transactions • Data is based on FY 2011 travel purchases made thru the UTSA contracted travel agencies
UTSA Travel Agencies • Corporate Travel Planners • Most UTSA travel reservations in 2012 were completed with Corporate Travel Planners • UTSA travel agency since January 2009 • Alamo Travel • Not frequently used • UTSA travel agency since January 2009 • Anthony Travel • UTSA travel agency since January 2009; although not utilized • Initial focus was Athletics and has since begun to transition to business travel
Travel Agency Benefits • Streamlined contract management • Uniform service standard requirements • Travel Agency – Management Fee provides a lower overall cost systemwide • Enhanced Service Requirements • Experienced agents/Designated account managers • Minimal hold time • Familiar with institution’s travel policy • Agents have the ability to view all airlines schedules and fares • Agencies have airline executive desk status for assistance with waivers and fare matching
Travel Agency Benefits • Auto enrollment in ISOS • All reservations including domestic can be tracked during emergency situations. • Complies with UT System requirements • Innovative use of technology • Ability to access the Southwest Airlines SWABIZ tool for web fares • Concur on-line travel tool
Travel Agency Benefits • Improved Management Reporting • Improved reporting on travel cost • Lost savings and realized savings • Automated notification to travel for unused ticket
Car Rental Agencies • Authorized car rental agencies are: • Avis/Budget • Enterprise National Holdings • Hertz • UTSA travelers are required to use one of the approved car rental agencies listed.
Car Rental Agency Benefits • Multiple options on rental company, car type and rental locations • Each agency has express service option • Frequent rental rewards • Discounts on international rentals • Free car upgrades and choose your own car options • Additional services • Box trucks • Car Share Programs
UT System Airline Contracts • American Airlines • 2% to 40% discount based on the fare paid and destination • Applicable to partner airlines: Japan, British Airways, Iberia and Alaska Airlines • City Pair state rates are scheduled to expire March 31, 2013; renewal is handled by the State Comptroller’s Office • United Airlines • 2% discount on any fare/destination
UT System Airline Contracts • Southwest Airlines • 2% to 5% discount applied to all tickets purchased within 7 days • Jet Blue • 1% to 10% discount on all non-stop JetBlue flights based on fare paid and destination • City Pair state rates are scheduled to expire March 31, 2013; renewal is handled by the State Comptroller’s Office Note: In order to receive the contracted rates a CLIBA card must be used to purchase airfare.
Hotel Reservations • Travelers may continue to refer to the State Comptroller contract hotels listed on the state website • Travelers may choose to make hotel reservations using the travel agencies or other methods • GSA lodging rates still applicable
Transition to Management Fee • Current travel agency fee is per transaction • Charged at the time airfare is purchased • Management Fee • UTSA will be invoiced monthly by travel agency • Departmental accounts will be charged back for management fee cost for respective travelers • Management fee structure is expected to be 15% less than the current per transaction fee • Cost for the on-line transactions will be significantly lower than the cost associated with full service
Travel Agency and Car Rental Agency • Who is affected? • All employees of UT System and The University of Texas Investment Management Company to include: • Students • Guests • Consultants traveling on behalf of UT System • Patient Travel when in the care of a UT Medical Institution • Everyone systemwide is required to use contracts • Excludes: • Athletic Travel • Group (students) Travel
Implementation Timeline • Travel Agency Contracts • Signed contracts were received February 11, 2013 • Transition will be completed within 90 days • Institutional Participation Agreements and Local Scope of Work – in progress • On-line reservation tool will be available
Implementation Timeline • Travel Agency Meetings • Will meet with Travel Agency representatives within the next two weeks • Car Rental Contracts • Signed contracts were received February 15, 2013. • Meetings will be scheduled with the car rental agency representatives • Transition will be completed within 90 days
Effective Date • May 13, 2013 • All UT Systemwide travel must be purchased thru • Corporate Travel Planners or • Anthony Travel • All UT Systemwide car rentals must be purchased thru • Avis/Budget • Enterprise/National • Hertz
Information & Training Sessions • FAR Meeting Presentations • December 13, 2012 • February 19, 2013 • April 24, 2013 • Information Sessions • March - Information Sessions • HR Training and Development identifying space
Information & Training Sessions • Other Presentations • Dean’s Council • Chair’s Council • Research Advisory Board • Training Sessions • April - June
UT System Approved Exceptions • Travel cost are paid by an outside entity • Emergency situations (flood, hurricane, etc)
UT System Approved Exceptions • UT Agency is unable to provide an airfare within $100 lower fare from an alternate travel provider • Requirements • Travel arranger must gain advance approval from Assistant Controller • Travel arranger must provide approver (in advance of purchase) written documented proof of lower fare. At a minimum, information should include same flights, on the same day with the same restrictions/booking class
Impact for Non-Compliance • Approved by President and CMO at today’s meeting • 1stviolation • For employees who do not use the approved travel and car rental agencies: various levels of management to include the appropriate Vice President will be notified and the traveler (and travel arranger – as relevant) will receive a reminder along with the new policy. • Attendance at a travel information training session will be encouraged.
Impact for Non-Compliance • 2ndviolation • Management including Vice President will be notified; traveler (and travel arranger – as relevant) will receive another reminder & policy • Prior to future travel both traveler and travel arranger will be required to attend travel training class (or attend again, as may be the case) and again, before traveler is allowed to resume travel, traveler will be required to submit a memo to their Vice President explaining why approved agencies were not used.
Impact for Non-Compliance • Further Violations • Management including Vice President will be notified; traveler will not be reimbursed for his policy-related trip expenses; traveler will be suspendedfrom future travel until allowed by the Vice President; and multiple infractions (3 or more) of this policy should be handled by the appropriate Vice President consistent with a progressive disciplinary process.
Disbursements & Travel Services Office We thank you for your support and cooperation. Questions?