IBM wins $903M GSA contract to modernize federal travel and expense management
The General Services Administration announced Wednesday that it has awarded IBM a 15-year, $903.5 million contract to provide a next-generation travel and expense management service for the federal government.
A modernized version of the E-Gov Travel Service (ETS) called ETSNext, the system will provide a “more intuitive experience for booking federal travel” and improved access to commercially available features such as a mobile interface and charge card integration, according to the release. All chief financial officers across federal agencies (except for the Department of Defense) will be required to use the new system.
GSA plans to complete the full migration of ETSNext at the end of its contract with Concur Technology for ETS2 in June 2027. ETSNext, unlike ETS2, will have one contract award for this service and will be managed by GSA as a centralized configuration to meet travel and expense standards with unique agency needs so that agencies can select and award contracts for travel management company services.
Tim Burke, the GSA executive director for the Office of Travel, Employee Relocation and Transportation and the governmentwide travel category executive, said in the release: “This is the first time Travel and Expense will be delivered as a shared service to civilian federal agencies, making it easier to provide a modern, compliant, and secure experience for federal employees traveling on official business.”
He continued: “ETSNext will further category management objectives by consolidating more than 30 data models used across the ETS2 systems into one centralized model.”
The technology and expense management service offers audit and reporting functionalities to ensure that travel is compliant with regulations. It will also include the ability to plan, authorize, book and voucher travel expenses.
The agency anticipates that the service, provided in partnership with IBM, will serve more than 124 civilian agencies, over 1 million federal travelers and more than 2.6 million transactions a year. ETSNext aims to provide a consolidated approach that supports government efficiency through standardization across agencies.
GSA Administrator Robin Carnahan said: “When federal employees travel on government business, we want to make sure we’re being good stewards of taxpayer dollars while ensuring a good customer experience for these dedicated public servants.”
