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B-103315 1 (1979-09-19)

handle is hein.gao/gaobadtkh0001 and id is 1 raw text is: COMPI RmC.ER GENERAL OF THE UNITED STATS La 4 WASMW.TO#L D.C S B-103315 pntember 19, 1979 The Honorable S. 1. Hayakawa United States Senate Dear Senator Hayakawa: On September 6, 1979, we received correspondence forwarded to us by W. M. Paz, Assistant Administrator for Human Resources and Organization, General Services Administration in which you request a response to the concerns expressed to you in a telegram from of Walnut Creek, California. states he is directly involved in the present system of providing travel services and expressed his concern that should the prohi- bition against the use of commercial travel agents by the Federal Government be removed, it could result in a loss of Job3 in his field and increased Government travel costs. Since the current prohibition against the use of commercial travel agents by the Federal Government is embodied in reglations of the General Accounting Office (GAO), your request for a response to concerns has been referred to our Office. Over the years GAO has periodically reviewed its prohibition and consistently determined thaL the prohibition should stay in effect. We studied the effects of our prohibition again in 1978 at the request of the 1cuse Committee on Small Business and on August 8, 1978, we issued the results of our study which showed inconclusive benefits from lifting the prohibition, We also testified on the results of that report on August 9, 1978, before the House Small Business Subcommittoe on Special Small Business Problems. The House Small Business Committee on July 16, 1979, issued House &eport No, 96-339 mnd recommended that GAO remove its longstanding prohibition. The Subcommittee Chairman also wrote to GAO on July 25, 1979, asking what action we planned to take on the Comittee's recornendat ion On further consideration of the issue, we have concluded that removal of the prohibition is inappropriate, but recognizing that economies might be possible through the use of travel agents and taking into account the subcommittee's study and recoy-endation, we bave issued a circular letter (copy enclosed) to the heads of all Government agencies and departments.

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