Internal Audit Report 

Comprehensive Operational Audit 
Airport Transit Operations 
Rental Car Facility 

January 1, 2012 - March 31, 2013 



Issue Date: June 11, 2013 
Report No. 2013-09

Internal Audit Report 
Airport Transit Operations - Rental Car Facility 
For the period January 1, 2012 through March 31, 2013 
Table of Contents 


Transmittal Letter ................................................................................................................................................................... 3 
Executive Summary ............................................................................................................................................................... 4 
Background.............................................................................................................................................................................. 5 
Highlights and Accomplishments ...................................................................................................................................... 5 
Audit Scope and Methodology ............................................................................................................................................ 5 
Conclusion ............................................................................................................................................................................... 6 















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Internal Audit Report 
Airport Transit Operations - Rental Car Facility 
For the period January 1, 2012 through March 31, 2013 

Transmittal Letter 



Audit Committee 
Port of Seattle 
Seattle, Washington 

We have completed an audit of the Airport Transit Operations at the Rental Car Facility. 
We examined information for the period January 1, 2012, through March 31, 2013.
We conducted this performance audit in accordance with generally accepted government auditing
standards. Those standards require that we plan and perform the audit to obtain sufficient,
appropriate evidence to provide a reasonable basis for our findings and conclusions based on our
audit objectives. We believe that the evidence obtained provides a reasonable basis for our findings
and conclusions based on our audit objectives. 
We extend our appreciation to the Airport Operations Department's management and staff for their
assistance and cooperation during the audit.

Joyce Kirangi, CPA, CGMA 
Director, Internal Audit 






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Internal Audit Report 
Airport Transit Operations - Rental Car Facility 
For the period January 1, 2012 through March 31, 2013 

Executive Summary 

Audit Scope and Objectives  We examined the activity of the Airport Transit Operations (ATO)
shuttle services to the Rental Car Facility for the period from inception in January 2012, through
March 31, 2013. 
The purpose of the audit was to determine whether Port management is effectively and efficiently 
monitoring ATO related to payroll, expenses, and safety training. 

Background  The newly-constructed Rental Car Facility (RCF) opened in May 2012; however, ATO
initiated activation in January 2012. Rental car services were moved from the first floor of the garage
at Sea-Tac International Airport (STIA) to the new facility, which is approximately three miles from
STIA. The RCF houses 13 rental car companies. 
The ATO operates a shuttle service for arriving and departing passengers who plan to rent and drop 
off a vehicle. The shuttle service operates 24 hours a day, 365 days a year. The Port projects that the
shuttle service will transport 4.5 million passengers annually between the lower drive of the Sea-Tac
International Airport and the RCF. The program owns 29 Gillig buses and employs 72 staff, which
includes 1 manager, 8 supervisors, 3 lead bus drivers, 1 administrative support staff, and 59 bus
drivers (full-time, part-time, and relief). Additional bus drivers may supplement the summer operation
to ensure appropriate levels of service. 

Audit Result Summary  Port management is effectively monitoring Airport Transit Operations 
related to payroll, expenses, and safety training. 







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Internal Audit Report 
Airport Transit Operations - Rental Car Facility 
For the period January 1, 2012 through March 31, 2013 

Background 
The newly-constructed Rental Car Facility (RCF) opened in May 2012; however, Airport Transit
Operations (ATO) initiated activation in January 2012. Rental car services were moved from the first
floor of the garage at Sea-Tac International Airport (STIA) to the new facility, which is approximately
three miles from STIA. The RCF houses 13 rental car companies. 
The ATO operates a shuttle service for arriving and departing passengers who plan to rent and drop
off a vehicle. The shuttle service operates 24 hours a day, 365 days a year. The Port projects that
the shuttle service will transport 4.5 million passengers annually between the lower drive of the Sea-
Tac International Airport and the RCF. The program owns 29 Gillig buses and employs 72 staff, which
includes 1 manager, 8 supervisors, 3 lead bus drivers, 1 administrative support staff and 59 bus
drivers (full-time, part-time, and relief). Additional bus drivers may supplement the summer operation
to ensure appropriate levels of service.
The ATO does not generate revenue; however, expenses are supported by revenue from Customer 
Facility Charges. 
Financial Highlights 
Description                  2012 
Salaries, Wages, & Benefits        3,284,400 
Equipment Expenses             29,997 
Supplies/Stock                  71,216 
Outside Services                280,196 
Travel & Other Expenses           15,922 
Telecommunication               4,710 
General Expenses                6,213 
Grand Total                 3,692,654 
Highlights and Accomplishments 
During the course of the audit, we observed the following accomplishments of ATO: 
Developed safety training for bus drivers. 
Hired and trained approximately 59 bus drivers. 
Purchased 29 Gillig buses. 
Coordinated with the rental car companies to ensure a smooth transition for the companies
and airline passengers. 
Conducted regular meetings with rental car representatives, to improve shuttle services based
on customer feedback. 
Audit Scope and Methodology 
The scope of the audit covered the period from activation by ATO in January 2012, through March 31,
2013. W e utilized a risk-based audit approach in planning and testing.  We gathered information
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Internal Audit Report 
Airport Transit Operations - Rental Car Facility 
For the period January 1, 2012 through March 31, 2013 

through research, interviews, observations, analytical reviews, and obtained a complete
understanding of the Airport Transit Operations. We reviewed the governing policies for operating the
ATO and training bus drivers. We assessed significant risks and identified controls to mitigate those
risks. We evaluated and tested whether the controls were functioning as intended.
We applied additional detailed audit procedures to areas with the highest likelihood of significant
negative impact as follows: 
Payroll 
1.  We determined whether the manual payroll processing was cost effective and efficient, by: 
Analyzing the cost of employee effort to process payroll 
Evaluating employee scheduling and monitoring 
2.  We selected a risk-based sample of 11 of 72 employees (total transactions tested: 138) and
determined whether: 
Hours and shifts valid. 
Paid Time Off valid. 
Employees legitimate. 
Payroll properly approved and sufficiently documented. 
Expenses 
We tested a risk-based sample of 9 of 51 vendors (total transactions tested: 16) and determined
whether expenses were: 
For valid public purpose and of benefit to the ATO program. 
Properly approved. 
In compliance with relevant rules and regulations. 
Safety Training 
We tested a risk-based sample of 2 drivers from 2 separate training classes attended by 29
drivers and determined whether they: 
Attended the class. 
Had been certified as passed. 
Possessed a current Commercial Driver License (CDL). 
We also reviewed the incident log to determine the extent of reported incidents. 
Conclusion 
Port management is effectively monitoring Airport Transit Operations related to payroll, expenses, and
safety training. 
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