YELLOW SHEET Office of the State Auditor of Missouri Claire McCaskill

October 22, 2003

Report No. 2003-107

Vehicle maintenance facility is cost-effective and efficient, while fleet fuel card program needs evaluation 

This audit reviewed the management of the state’s vehicle maintenance facility and the quality of the state’s fleet fuel card contract, both administered by the Office of Administration. The vehicle maintenance facility provides automotive repairs and body shop services for state vehicles primarily stationed in the Jefferson City area.  The fleet fuel card contract is currently a 3-year contract with services provided by the vendor free of charge.  The state purchased nearly 1.7 million gallons of fuel on the fuel cards during the year ended December 2002.  The following highlights the findings: 

Vehicle maintenance facility saves state money 

The Jefferson City vehicle maintenance facility is managed well and provides a valuable service to state customers.  Auditors found most customers are satisfied with the repair costs and the facility is run efficiently.  According to the fleet manager’s analysis for the year ended June 30, 2002, the facility saved the state approximately $434,000.  (See page 2) 

Current fleet fuel card program may not be cost-effective and efficient 

The current fleet fuel card program may not give the state the most value for its money.  Other states have negotiated better deals and obtained per gallon discounts or rebates with different vendors, which could have saved the state up to $51,000.  The current 3-year contract expires June 30, 2005 and should be re-bid to maximize savings.  (See page 4) 

State agencies need consistent guidelines for fuel card use  

A fleet card vendor report showed the state spent an additional $11,892 to buy higher octane fuels during the year ended December 31, 2002, but documentation is not required to show the need for such purchases.  State entities indicated the purchases occurred due to a lack of monitoring and lack of knowledge of acceptable purchases. The Office of Administration could provide additional guidance in an information booklet including when to allow exceptions to regular-grade fuel purchases.  (See page 4)

Complete Audit Report