DOT Posts RFP For Planned Internet-Based Booking System

<B> DOT Posts RFP For Planned Internet-Based Booking System</B>

By Barbara Cook

The U.S. Department of Transportation on Sept. 9 issued a request for proposals for its planned Internet-based self-booking system. The RFP is available on the Internet on the government's Electronic Posting System (eps.govP) under the DOT listing.

David Kleinberg, deputy chief financial officer at DOT, told delegates at the Society of Travel Agents in Government conference that the corporate travel sector already has institutionalized self-booking, proving it to be "one of the smartest investments you can make." The DOT solicitation builds on the department's current fee-based travel contract, Kleinberg said. An award for the booking engine supplier portion of the contract is expected to be made by the end of 1999.

"We want to exploit Internet technology for the benefit of our travelers," Kleinberg said. While initially DOT expects that fewer than 5 percent of travelers will use the self-booking option, this number will increase over time, he predicted.

The self-booking system is to be based on transaction fees, a departure from the traditional rebate pricing model the federal government has been slow to give up (see story above). Kleinberg said the rebate method "subordinated quality," and told travel agency delegates at STAG, "We want you to propose fees that cover your costs and give you a profit."

According to the RFP, DOT is seeking to create a vehicle that, over time, provides electronic booking and fulfillment of travel, travel agency services and expense reporting. DOT will be the first department to test and use the Web site. After a test period is completed with DOT travelers, other government agencies will be invited to use the site, the RFP indicates.

In a look to the future , Kleinberg said department officials already are thinking about such advances as net fares and additional technologies. He predicted that in five years most government travel will be self-booked and the government will follow more and more the practices of the private sector, including direct channels with suppliers.