YELLOW SHEET Office of the State Auditor of Missouri Claire McCaskill

September 25, 2001

Report No. 2001-95

About $3 million could be saved with changes in state business air travel and meal reimbursements

This audit examined how well state travel regulations control employee meal and airfare costs and found changes could reap substantial savings.  Auditors determined the following results after reviewing travel and expense data for 16 executive branch departments.  

Contracts with airlines are key to cutting costs in half

Missouri employees pay more than triple what Georgia employees pay for the same flight between Atlanta to St. Louis.  This cost gap exists because Georgia officials negotiated an airfare contract with Trans World Airlines  (headquartered in St. Louis).  Missouri could cut airfare expenses in half, saving about $1.5 million, by negotiating discounted airfare contracts as other states and federal entities have done for years.  In addition, contracts could eliminate the need for non-refundable tickets and travel on Saturdays for cheaper fares.  (See page 2)

State loses when employees keep frequent flier mile for personal use

State employees can redeem for personal use the frequent flier miles earned while traveling for state purposes.  Three of the eight  states contiguous to Missouri and the federal government declare frequent flier miles earned on business as government property.  If Missouri followed suit, state officials could use these miles to reduce future travel costs.  (See page 5)

Some employees can claim up to $72 a day for food

Each department and some divisions within departments can set their own price limits to reimburse employees for food expenses.  As a result, several regulations exist with some departments limiting employees to $14 a day for meals, while others can claim up to $72 a day.  In addition, auditors found that five departments pay for the same expensive meal guide subscription (up to $950 annually) to help set price limits for particular cities. (See pages 7 and 9)

Lunches reimbursed without requiring overnight travel

State officials could save an estimated $1.8 million by eliminating reimbursement for noontime meals when employees are not traveling overnight.  This practice is not common in seven of the eight states surrounding Missouri or federal agencies.  But auditors found every department reimbursed for lunches even if an employee completed travel within a work day.  Two of these departments allow lunch reimbursement even if employees are out of their office only two hours.  (See page 13)

Complete Audit Report