Port Authority of New York and New Jersey

Administration of Airport and Bus Terminal Concession Contracts (Follow-Up Review)

The Port Authority of New York and New Jersey operates a bus terminal, three major airports, and other facilities in the metropolitan New York City area. In our prior audit report 95-S-98, we examined the Port Authority's administration of concession contracts at the bus terminal and airports. We found that concession revenue could be increased if contracts were awarded through a competitive process, the performance of contractors was monitored more closely, and vacant concession space in the bus terminal was filled. In our follow-up review, we found that the contractors are monitored more closely and much vacant space has been filled in the bus terminal. However, Port Authority officials continue to rely on direct negotiations, rather than competitive bidding, when awarding concession contracts.

For a complete copy of Report 98-F-38 click here.
For a copy of the 90-day response click here.