The U.S. General Services Administration has released the fiscal year 2024 per-diem rates for government travel in the continental United States, with the standard reimbursable lodging rate rising from $98 to $107 for FY ’24, which begins on October 1. However, the rates for non-standard areas—which include most major metropolitan areas around the country—are significantly higher than the standard rate, and these will rise as well.
For example, government-employee lodging rates in Chicago for FY ’23 ranged from $134 per night in winter to $218 in spring and fall. In Denver, rates ranged from $162 in winter to $199 in other seasons. And in Boston, FY ’23 rates ranged from $189 in winter to $309 in fall. Nine-percent increases in those cities would result in daily lodging rates rising by anywhere between $12 and $27. It Is not yet clear, however, whether the same nine-percent increase for lodging will be applied to each major metropolitan area.
Typically, GSA calculates per diems based on the average daily rate from the trailing 12-month period, less five percent. But with average daily hotel rates having risen considerably over the past 12 months, the lodging rates for government employees traveling to mid-sized and large cities will likely see a sizable bump, even if it is not a full nine percent.
Interestingly, the food and beverage allowance across the country will not change; the standard rate is $59. In Chicago, Denver, Boston, and many other big cities, it is $79.
GSA's new per-diem rates "come after months of hard work AHLA put in to lobby the administration on behalf of hoteliers nationwide,” said AHLA President & CEO Chip Rogers in a statement. “These rates include large increases in many non-standard areas. This is a positive step for hoteliers across the country, as government travel supports billions in travel spending and many private-sector organizations also base travel reimbursements from federal per-diem rates.”
One other statement from Rogers that meeting planners should take note of: “We will continue to work with GSA and advocate for lodging- and meal-rate increases that reflect market conditions.”