07/07/2026 | Press release | Distributed by Public on 07/07/2026 15:40
Contract award brings sustained cost savings
WASHINGTON - Today, the U.S. General Services Administration (GSA) announced the Fiscal Year 2027 (FY27) City Pair Program (CPP) contract awards to 8 U.S. flag air carriers - delivering an expected $2.02 billion in annual taxpayer savings on official government travel.
"GSA is delivering on President Trump's agenda to make federal agencies more effective and efficient by cutting costs and providing vital services to our partners with this year's City Pair awards," said GSA Administrator Edward C. Forst. "We are the machine driving the mission of government, and the City Pair awards are just the latest example of GSA leveraging federal buying power to deliver the best possible value for our stakeholders and American taxpayers alike."
The awards were made to Alaska Airlines, American Airlines, Breeze Airways, Delta Air Lines, JetBlue Airways, Southwest Airlines, United Airlines, and first-time awardee small business, Key Lime Air (doing business as Denver Air Connection). The new fares will be listed on GSA's City Pair Program webpage beginning July 8, 2026, and available for booking in GO.gov beginning in August for travel starting October 1, 2026.
The contract fares provide an average discount of 48 percent compared to commercial fares. The program includes 17,735 city pairs with more than 15,800 deeply discounted, capacity-controlled fares designed to maximize value and reduce travel costs across the government. In addition, 98 percent of the top nonstop federal travel markets were awarded, allowing agencies and Congress to move quickly and efficiently to advance national priorities, emergency response efforts, oversight responsibilities, and critical public services.
"The City Pair Program reflects GSA's focus on delivery, acceleration, and innovation," said Federal Acquisition Service Acting Commissioner Laura Stanton. "We are reducing complexity, improving the travel experience for federal employees, and using data-driven acquisition strategies to deliver greater value for agencies and taxpayers."
City Pair routes are strategically selected for solicitation using governmentwide travel data and passenger demand. Offers are evaluated according to factors such as service distribution, average elapsed flight time, number/type of flights and price.
Building on its long-standing history since 1980, the City Pair Program has consistently delivered year-over-year savings for the federal government while maintaining a proven track record of reliability, efficiency, and value. Its sustained success reflects decades of strong performance and continuous refinement, and it continues to provide substantial traveler benefits, including no cancellation or change fees, no blackout dates, full refundability, last-seat availability, and no minimum or maximum stay requirements, giving agencies maximum flexibility for their mission needs.
As an Office of Management and Budget-designated Best-in-Class solution, the City Pair Program advances GSA's efforts of delivering the American people smarter acquisition, operational efficiency, and innovation.
GSA remains committed to improving the federal travel experience and delivering acquisition solutions that enable agencies to operate faster, more effectively, and with greater accountability to taxpayers.
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About GSA: GSA provides centralized procurement and shared services for the federal government, managing approximately 360 million rentable square feet, overseeing over $126 billion in products and services via federal contracts, and delivering technology services to millions of people across dozens of federal agencies. GSA's mission is to deliver exceptional customer experience and value in real estate, acquisition, and technology. To address nearly $50 billion in deferred maintenance, GSA is leading a coalition of every cabinet agency and many federal leaders urgently advocating for full Federal Buildings Fund access and raising the prospectus threshold from $3.96 million to $75 million. For more information, visit GSA.gov and follow @USGSA.