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GGD-77-71 1 (1977-08-05)

handle is hein.gao/gaobaacpk0001 and id is 1 raw text is: DOCUMENT 1VERE 03245 - [A22133131 ( Local Vehicle Leasing Options Have Not Been Adequately Considered. GGD-77-71; B-114874. August 5, 1977. 13 pp. + 2 appendices (3 pp,.). report to Rep. Charles F. Wilson, Chairman, House Committee on Post Office and Civil Service: Postal Personnel and Modernization Subc3mmittee; by Blmer B. Staats, Comptroller General. Tssue Area: Federal Procurement of Goods and Services (1900,. Contact: General Government Div. Budget Function: Comifcrce and Transportation: Postal Service (1402). Organization Conicerned: Postal Service. Congressional Relevance: House Comw'ttee on Post Office and civil Service: Postal Personnel and M,.)dernization Subcommit- e. Alt..ough Postal Service policy requires local vehicle manaqers to consider leasing for meeting vehicle needs, many managers are not doing so. indings/Conclusions: The Postal Service owns about 117,000 vehicles, which it supplements by leasing over 32,000 vehicles.. About 97% of these vehicles are used for collecting, transporting, and delivering mo'il. Vehicles range in size from 1/4-ton jeeps to tractor-trailers. To meet its needs, the Service generally purchases postal vehicles rather thai leasing them. Future requests will be primarily for replacement vehicles. Existing Postal Service policies reauire fleet managers to consider leasing vehicles and to mak' an economic analysis when replacement and/or new service vehicles are needed. However, these policies are not consistently followed. About 70% of the fleet managers contacted by GAO did not consider leasing at all and only 25% of those managers who said they considered leasing made economic analyses. Although the Service's cost data on leased and owned vehicles are adequate, there are differences in report formats which make valid cost comparisons difficult. In some cases leasing appeaLs to be more economical and in other cases purchase appears to be cost beneficial. Both leasing and purchasing should be considered locally if the Service is to insure that the most economical choice is made.. (Author/SC)

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