TRANSPORTATION SERVICES AT THE NATIONAL INSTITUTES OF HEALTH: A REVIEW OF INTERNAL CONTROLS AND CONTRACTING ALTERNATIVES

The National Institutes of Health (NIH) operates a transportation system that provides motor pool, shuttle bus, delivery, moving, and vehicle maintenance services to the NIH community. Included in its fleet of 235 vehicles are those dedicated to police, fire safety, maintenance, housekeeping, and other support functions. The transportation system costs NIH $4.2 million a year. The NIH wants to ensure that it has the appropriate internal controls in place for the transportation system and it wants to understand what parts of that program can be administered cost effectively using contract labor and equipment. The current internal controls were evaluated and no substantial abuses or material evidence of waste, loss, unauthorized use or misappropriation was found. To improve the control of its transportation services it was recommended that NIH establish oversight responsibility with the Transportation Branch and appoint local fleet managers within the major groups of vehicle users. Also recommended were measures to ensure adequate justification, security, and proper use of vehicles and services. Various mixes of Government and contract labor, vehicles, facilities, and maintenance for the transportation services were investigated, and it was concluded that cost effective contracting alternatives are available within some parts of the Transportation Branch at NIH.