The General Services Administration (GSA) announced Friday that it will freeze the FY26 per diem rates for federal government travel in the continental United States at the FY25 levels. The standard FY2026 per diem rate is $178 ($110 lodging, $68 meals and incidental expenses), with 296 non-standard areas (NSAs) that have per diem rates higher than the national standard. More detailed information is available here.
SCRLA and the American Hotel & Lodging Association (AHLA) argued that rising costs justify an increase but also stressed the need to preserve government per diem rates at least at current levels. The GSA made its decision to keep per diem rates flat in the context of a sharp reduction in government travel amidst broader cost-cutting efforts.
Government travel has traditionally been an economic driver not only for the hotel industry, but for the overall travel economy. It’s important that government per diem rates keep pace with rising costs, especially since corporate America often looks to the federal per diem rates when setting their own travel reimbursement policies.
A strong economy requires a thriving hospitality sector. SCRLA and our partner national associations will continue to advocate with the GSA and members of Congress for per diem rates that reflect hotels’ real costs of doing business.