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B-197423 1 (1980-03-20)

handle is hein.gao/gaobabjse0001 and id is 1 raw text is: 



    -         ~~COMPTROLLER GENERAL OF THE UNITED STATES  /~2  -
                      WASHINGTON, D.C. 20548



 B-197423                   March 20, 1980






 The Honorable William L. Armstrong

 United States Senate

 Dear Senator Armstrong:e

      We have received correspondence forwarded to us by
 Allan W. Beres, Commissioner of Transportation and Public
 Utilities Service, General Services Administration, which
 contains a copy of a letter sent to you from D. B. James,
 Sr., President of James Travel Center, a travel agency,
 1760 14th Street, P.O. Box 2160, Boulder, Colorado 80302.
 Mr. James asks why travel agents are prohibited from pro-
 viding travel services for official Government travel un-
 der section 52.3 of Title 4 of the Code of Federal Regu-
 lations (CFR) and also asserts that this regulation
 discriminates against small businessmen like himself.
 He states that he can provide the required services to
 the Government and cannot understand why he is prohibited
 from doing so.

      Also, specifically of concern to you, is the General
 Services Administration's (-GSA) decision to use 1a Scheduled,
 Airline Ticket Office (SATO) in Boulder, Colorado, instead
 of one of the local travel agencies such as James Travel
 Center capable of servicing the Federal Government's travel
 needs.

      Since the current prohibition against the use of
 commercial travel agents by the Federal Government is con-
 tained in regulations of the General Accounting Office
 (GAO), your request for information concerning Mr. James'
 inquiry was referred to our Office.

      The prohibition against the use of travel agents for
procuring official Government travel has been in effect
for many years. There are a variety of reasons for this.
One reason is our concern that if travel agents handled
Government travel, it would cost more than dealing di-
rectly with the carrier. We also are concerned that the

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