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089364 1 (1976-02-10)

handle is hein.gao/gaobacvii0001 and id is 1 raw text is: -8 UNITED STATES GENERAL AccoUNTING OFFICE WASHINGTON, D.C. 20548 GENERAL GOVERNMENT DIVISION FE 11976 10 q 3f4 Mr. Douglas N. Schneider, Jr. Director Department of Transportation qg, District of Columbia Government Dear Mr. Schneider: The General Accounting Office (GAO) has been studying the District's supply management operations to determine (1) if benefits would accrue from a more centrally managed supply system and (2) how effectively and economically materials are provided to City departments. We selected four major departments for review, including the former Department of Highways and Traffic (DH&T)--now merged into the new Department of Transportation (DOT). We reviewed the policies, procedures, records, and management controls used by DH&T in its supply operations. This report discusses the problems we observed during our study and suggests corrective actions which have been generally concurred in by your staff. Comments of your staff also have been considered in the preparation of this report. CENTRALIZING CITY-WIDE SUPPLY MANAGEMENT GAO and other groups since 1912 have recommended that the District establish city-wide inventory control and centralize its supply manage- ment. The Nelsen Commission-1 in 1972 was the most recent group to make such recommendations. The Commission estimated that consolidation and centralization of the District procurement and supply management system could save over $23 million, with annual recurring savings of over $12 million. 1/ - Report on Procurement and Supply System for the Government of the District of Columbia, issued August 1972.

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