Evaluation Report 17-01: Review of SBA’s Executive Transportation Service Contract Expenditures

We reviewed SBA’s transportation service contract to drive SBA’s Administrator and Deputy Administrator in the Washington DC Metropolitan area.  We performed this review to determine whether SBA effectively monitored the transportation service contract expenditures.

OIG identified weaknesses in SBA’s controls over executive car travel that ultimately resulted in unsupported and duplicate payments.  Our review found that the Agency did not demonstrate that it appropriately considered the most advantageous method of transportation when deciding to use the contracted car service.  Additionally, sixteen of the 18 trips that the Administrator took to or from the airport using the car service were charged at a rate that was prohibited by the contract, resulting in higher costs than necessary.  These issues might have been identified had the appropriate officials reviewed and approved ground travel transportation expenses in connection with the Administrator’s official travel. 

OIG made four recommendations to strengthen SBA’s oversight of executive ground transportation and determine whether questioned costs identified in this report are recoverable, and improve the efficiency of the executive fleet.