Port Authority of New York and New Jersey
Vehicle and Heavy Equipment Purchase Program
The Port Authority of New York and New Jersey (Port Authority) operates a fleet of vehicles and heavy equipment (e.g., cars, forklifts). To purchase new vehicles and heavy equipment, Port Authority employees are required to follow certain procedures and document purchases on an annual Automotive Equipment Purchase Program (Purchase Program). For the three years ending December 31, 2009, the Port Authority authorized the purchase of 616 vehicles and/or pieces of heavy equipment totaling $48.2 million. We examined whether the Port Authority ensures that the acquisition and disposition of vehicles and heavy equipment is justified. We found that the Port Authority generally did not follow required procedures to ensure that the acquisition and disposition of vehicles and heavy equipment was justified. In a random sample of 75 items that were purchased for $8.2 million, the Port Authority only provided documentation to justify the purchase of two items for $192,279. In addition, we found that the Port Authority set aside funds in the Purchase Program for vehicle and equipment rentals, as wells as car services. However, not all the funds set aside for these items were used and the approximately $5 million in surplus funds for these items we identified during the three year period could not be allocated for other spending needs. We recommended certain improvements to strengthen the planning and oversight of vehicle and equipment purchases.
For a complete copy of Report 2009-S-32 click here.