United States Government Publishing Office publisher pbl distributor dst United States Government Accountability Office author aut Government Organization text government publication eng GAOREPORTS Legislative Agency Publications gao legislative 2010-08-12 U.S. Government Printing Office 2002-05-30 monographic deposited born digital GA 1.13:GAO-02-606 https://www.govinfo.gov/app/details/GAOREPORTS-GAO-02-606 P0b002ee180381917 f:d02606 DGPO 2010-08-12 2011-03-24 GAOREPORTS-GAO-02-606 machine generated eng fdlp REPORT GAOREPORTS-GAO-02-606 GAO-02-606 Accountability Credit sales Federal agency accounting systems Internal controls Procurement practices Questionable procurement charges Alaskan Region Logistics Division Purchase Card Program Other Written Product A03446

GAO reviewed purchasing controls and activities within the Airway Facilities Division of the Federal Aviation Administration (FAA) in Alaska. This unit, referred to as AFA, is responsible for maintaining airway navigation and communication equipment throughout the state. AFA implemented a pilot program in March 1997 called the Corporate Maintenance Philosophy (CMP) that reduced periodic maintenance and certification requirements for equipment, thus allowing AFA to work with fewer staff. Under this program, AFA's funds originally intended for payroll compensation and benefits were freed for use on capital improvements and an employee recognition system. However, AFA did not have good internal controls. GAO reviewed 150 purchases made in fiscal years 1999 through 2001. Of these, 118 did not comply with one or more FAA purchasing requirements. AFA's highly decentralized operating environment made it susceptible to internal controls weaknesses and improper or wasteful purchases. FAA headquarters in Washington, DC, provides little oversight of spending practices, and regional officials in Alaska have no oversight authority over AFA's practices. AFA personnel work in various locations, with more than half having agency credit cards. GAO found that most cardholders received no training on the use of these cards. Although CMP ended in 2001, AFA remains vulnerable to the problems GAO identified because the specific control weaknesses continue to exist. Management's commitment to addressing and correcting them is necessary to reduce AFA's vulnerability to improper and wasteful expenditures. https://www.govinfo.gov/content/pkg/GAOREPORTS-GAO-02-606/html/GAOREPORTS-GAO-02-606.htm GAO-02-606 https://www.govinfo.gov/app/details/GAOREPORTS-GAO-02-606 Other Written Product GAO-02-606; FAA Alaska: Weak Controls Resulted in Improper and Wasteful Purchases; Accountability Credit sales Federal agency accounting systems Internal controls Procurement practices Questionable procurement charges Alaskan Region Logistics Division Purchase Card Program Title 31 Section 3512 31 U.S.C. 3512