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Advisory Memorandum A1-05: SBA’s Use of Government Cars and Hired Car Services

Date Issued: 
Thursday, September 27, 2001
Report Number: 

On September 27, 2001, the OIG issued Advisory Memorandum A1-05, SBA’s Use of Government Cars and Hired Car Services.  The Senate Small Business Committee requested that the OIG review the SBA’s use of hired car services and home-to-work/work-to-home transportation provided to senior SBA officials.  During the course of the review, which covered FY 1998 through January 19, 2001, the OIG identified areas where the Office of Administrative Services (OAS) could improve its management over hired car services and government vehicles.  The OAS lacked sufficient controls to ensure that the SBA was paying the appropriate amount for hired car services and that government vehicles were used only for official government business.  Further, the OIG found that non-government personnel were operating government vehicles, and the SBA did not enter into a contract for hired car services although the annual costs for such services exceeded the amount whereby contracts are required.