Overview
MVRTA did not properly document the use of its non-revenue-producing vehicles. Specifically, it did not properly document information, such as the name and driver’s license expiration date of the employee who used the vehicle, the trip’s intended destination and purpose, the date and time the vehicle was picked up, the date and time it was returned, its license plate number, its description, its beginning odometer reading, its condition before and after use, any damage, and any maintenance issues identified during use, for every trip for all of its non-revenue-producing vehicles. According to MVRTA records, its non-revenue-producing vehicles were driven a combined total of 137,872 and 128,483 miles during fiscal years 2016 and 2017, respectively. As a result of the lack of monitoring of use, there is a higher-than-acceptable risk that these vehicles may be used for non-business purposes without detection.
Authoritative Guidance
MVRTA’s oversight agency, the Massachusetts Department of Transportation (MassDOT), has a Motor Vehicles Policy, No. P-D0032-01, dated October 5, 2016, regarding the use of MassDOT’s non-revenue-producing vehicles by its staff. This policy requires MassDOT management to maintain a log that documents the name and driver’s license expiration date of the employee who used the vehicle, the trip’s intended destination and purpose, the date and time the vehicle was picked up, the date and time it was returned, its license plate number, its description, its beginning odometer reading, its condition before and after use, any damage, and any maintenance issues identified during use. Although MVRTA is not required to follow this policy, it represents a best practice in vehicle fleet management that MVRTA should follow because it will allow the agency to more effectively manage the maintenance and proper use of these vehicles.
Reasons for Noncompliance
During our audit period, MVRTA did not have policies and procedures in place for the use of its non-revenue-producing vehicles. MVRTA did provide documentation indicating that after our audit period, it implemented policies and procedures for the use of these vehicles. However, MVRTA had not established monitoring controls to ensure that these policies and procedures were properly adhered to.
Recommendation
MVRTA should establish monitoring controls to ensure that the policies and procedures it has established for the use of its non-revenue-producing vehicles are properly adhered to.
Auditee’s Response
The MVRTA policies and procedures will include appropriate monitoring controls. However, it is recognized that due to the dedicated function of vehicles assigned to the Maintenance Department (responding to road calls, snow plowing, etc.) alternative monitoring procedures will be used.
Auditor’s Reply
Based on its response, MVRTA is taking measures to address our concerns in this area.
| Date published: | July 31, 2018 |
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