Internal Audit Report 


Limited Operational Audit 
Port of Seattle Fleet Maintenance -- Aviation and Marine 
January 1, 2008 to December 31, 2010 





Issue Date: September 7, 2011 
Report No. 2011-16

Internal Audit Report 
Limited Operational Audit--Fleet Maintenance 
January 1, 2008  December 31, 2010 

Table of Contents 
Transmittal Letter ......................................................................................................... 3 
Executive Summary ..................................................................................................... 4 
Background .................................................................................................................. 5 
Audit Objectives ........................................................................................................... 7 
Highlights and Accomplishments ................................................................................. 7 
Audit Scope and Methodology ..................................................................................... 8 
Conclusion ................................................................................................................... 9 
Schedule of Findings and Recommendations ............................................................ 10 
1.    Maximo Software (IBM) for Fleet Maintenance Is Not Used At Optimal Capacity ................................ 10 
2.    Certain Requirements of the Fleet Management Policy (EX-17) Are Not Being Met ............................ 15 











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Transmittal Letter 

We have completed an audit of Port Fleet Maintenance  Aviation and Marine. The purpose of
the audit was to determine whether internal controls are adequate to ensure that operations are
efficient and effective. 
We reviewed information relating to fleet maintenance operations from January 1, 2008  
December 31, 2010, and through the end of fieldwork in July 2011. 
Management has primary responsibility to establish and implement effective controls. Our role
was to assess and test those controls in order to establish whether the controls were adequate
to ensure effective operations and compliance. 
We conducted the audit using due professional care. The audit was planned and performed to
obtain reasonable assurance that controls are adequate and operating effectively as intended in
the aforementioned areas. 
The fleet maintenance activities are managed by experienced staff. We , however, have
identified opportunities to improve controls related to management monitoring activities. 
We extend our appreciation to the Fleet Maintenance staff for their assistance and cooperation
during the audit. 


Joyce Kirangi, CPA 
Internal Audit Director 







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Executive Summary 
Audit  Scope  and  Objective The purpose of the audit was to determine whether
management has implemented adequate controls to ensure: 
1.  Compliance with internal policies and procedures Executive Policy 17 (EX-17); 
Assigned take-home vehicles justified and authorized 
Utilization requirements for assigned and pooled vehicles are met 
2.  Corrective maintenance occurs as needed and appears reasonable 
3.  Performance measures are available, utilized, and assisting management in achieving
its goals (e.g., preventive maintenance time allocation estimates are monitored against 
actual) 
4.  Benchmarks are available and can be used to help improve Port fleet operations 
We reviewed information for the period of January 1, 2008, through December 31, 2010,
including activity through the end of fieldwork in July 2011. 
Background The Port of Seattle maintains a large and diverse fleet of 1,335 items. 
Total Annual Expenses for Fleet Maintenance for 2008  2010 
Year    Aviation Maintenance   Marine Maintenance      Total 
2008       $3,099,762        $1,259,184      $4,358,947 
2009       $2,961,162        $1,117,294      $4,078,456 
2010       $2,910,563         $972,782       $3,883,346 
Data Source: PeopleSoft Financial Reporting 
Audit Result Summary The fleet maintenance shops have adequate controls to ensure 
maintenance operations are efficient, effective, and in compliance with internal policies and
procedures. However, we identified two significant issues related to the monitoring and
oversight of fleet management activities. 






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Background 
The Port of Seattle maintains a diverse fleet of 1,335 items as of August 2011: 
Port of Seattle Fleet Assets by Category
As of August 2011
0       50      100      150      200      250
Aerial Lift
Air compressors
Boats
Buses
Cars
Construction and Maintenance Equipment
Forklifts
Generators
Heavy Trucks
Hoists
Mowers
Non-self-propelled Equipment
Pickup Trucks
Rollup Doors
Scooters
Snow Removers
SUVs
Sweepers
Trailers
Utility Trucks
Vans
The Port currently has three categories of vehicle assignments: 
'Take-home' 38 vehicles assigned to specific employees and authorized to "take home": 
Department/Division                    # Take-Home 
Police Department                                    29 
(1)
Fire Department                                      4 
Aviation                                               4 
Corporate                                           1 
(1) Not included in this audit: the Fire Department tracks and maintains its own vehicles. 
Data Source: Management Reports 
'Assigned' 71 vehicles assigned to specific staff during business hours only: 
Location 
#                 Watertower/    Other
Department/Division            AOB     P69 
Assigned                Westside    Project Sites 
Engineering            58        2       5        32          19 
PCS 
Police                 5         5 
Aviation                2         2 
Seaport              4               2                   2 
Corporate 
Real Estate             2                                    2 
Data Source: Management Reports 

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'Pool' 118 vehicles assigned to divisions and shared by all Port staff: 
Location 
# in                       Watertower/
Department/Division            AOB      P69               Other 
Pool                     Westside 
Engineering             26                         26 
PCS              7                             7 
Police                  41        41 
Aviation                 10        10 
Seaport                6        2                           4 
Corporate              16                16 
Real Estate             12                                    12 
Data Source: Management Reports 
Port fleet is managed by two fleet managers, one for aviation and one for marine. Aviation and 
Marine (fleet) maintenance shops coordinate vehicle purchases, all service and maintenance
activities, and the outsourcing of any specialty work or repairs (e.g., front-end alignments, body
work, and engine rebuilds). Both shops use IBM Maximo as their primary software application
and Microsoft Excel as a secondary program for managing the Port's fleets. 
In 2007, the Port established a Fleet Management Oversight Team (FMOT), which meets
quarterly, and is composed of the following individuals (with executive sponsorship by the Chief
Financial and Administrative Officer): 
Director, Risk Management 
Senior Program Manager, Aviation Environmental Programs 
Buyer, Central Purchasing Office 
Fleet Manager, Aviation Maintenance 
Compliance and Fleet Manager, Marine Maintenance 
The FMOT developed a comprehensive fleet policy that went into effect on February 29, 2008 
(Executive Policy 17, or EX-17). The policy's goals are to manage fleet use, ensure purchases
are justified, incorporate environmental considerations into the program, promote efficient fleet
utilization, monitor assignment of take home vehicles, and coordinate with Risk Management. 
Aviation and Marine maintenance operations are discussed separately, as each is unique. It is
important to note that the fleet inventory does not include Fire Department vehicles. Neither
Aviation nor Marine tracks or maintains Fire Department equipment. 
Aviation Maintenance 
The Aviation maintenance shops are located at 2307 S. 161st Street. The assets maintained by
Aviation range from jetways to snow equipment to forklifts to landscaping equipment to pick-up
trucks to sedans. To the extent practical, the fleet is maintained at the shop. The area is
secured, and unmarked vehicles are not allowed to pass through the security gates. Video
cameras record movements and access to the facility is logged via INTELLIKEY. The shop is
staffed by 16 FTEs, including the foreman and the mechanics. Aviation's geographic coverage
is limited to SeaTac International Airport and its facilities. 

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Marine Maintenance 
The Marine maintenance shops are located at 25 S. Horton Street. The exterior areas where
vehicles and other equipment are parked are secured with locked gates, pressure sensitive
fences, barbed wire, and motion detectors. Staff gains access with security cards. Video
cameras record activity. The shop is staffed by seven FTEs, including the foreman and
mechanics. In addition to the S. Horton Street facility, Marine maintenance covers the following
locations: 
Cruise Terminals                    Terminal 34 
Shilshole Bay Marina                  Terminal 102 
Fisherman's Terminal                 Pier 66 
Pier 69                         Container Terminals and Container
Multiple parks                        Support Properties 

Audit Objectives 
The purpose of the audit was to determine whether management has implemented adequate
controls to ensure: 
1.  Compliance with internal policies and procedures (EX-17) 
Assigned take-home vehicles justified and authorized 
Utilization requirements for assigned and pooled vehicles are met 
2.  Corrective maintenance occurs as needed and appears reasonable 
3.  Performance measures are available, being utilized and assisting management in
achieving its goals (e.g., preventive maintenance time allocation estimates are
compared to actual) 
4.  Benchmarks are available and can be used to help improve Port fleet operations 
Highlights and Accomplishments 
PORT WIDE: 
EX-17 was implemented for fleet management beginning February 29, 2008 
Ranked as the Number 20 top 100 Government Green Fleets in 2010, with recognition
for environmentally-conscious efforts such as: 
o  Participating in the Washington State (Local) Clean Diesel Grant Program 
o  Increasing the percentage (37% total) of the fleet running on alternative fuels,
such as electric, clean natural gas, B-20 bio-fuel, hybrids, and propane 
Proactive fleet right-sizing and fleet utilization, including moving departments away from
assigned vehicles to pool, and reducing take-home vehicles by 71% 
MARINE MAINTENANCE 
Converted eight managers from assigned vehicles to pool vehicles 
Implemented more than 30 'green' initiatives for facilities improvements and purchasing 

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Regularly participates in the Seattle Youth Employment Program, which offers low-
income kids from Seattle job training and skills development 
Building relationship & partnerships 
o  Marine maintenance was appointed to Board of Trustees of the Vehicle
Maintenance Management Conference, sponsored by the University of
Washington 
o  An active member of the Public Fleet Managers Association, National
Association of Fleet Administrators, Plug-in Hybrid Electric Vehicle Committee,
Puget Sound Clean Cities Coalition organizations, including presentations made
before these groups 
Developed a 10-year fleet replacement plan for Real Estate, Seaport, Capital
Development Division, and the Corporate Division 
AVIATION MAINTENANCE 
Continued to pursue fleet right-sizing and fleet utilization by encouraging the use of pool
vehicles over assigned, reducing the total fleet size 10% by 2010 
Reduced on-site parts inventory by 65%-70% 
Since 2008, reduced Police new vehicle set-up time from three to six months to less
than 30 days from receipt of vehicle 
Implemented more than 30 'green' initiatives for facilities improvements and purchasing 
Active member of the National Association of Fleet Administrators and the American
Public Works Association 

Audit Scope and Methodology 
We reviewed information for the period January 1, 2008, through December 31, 2010, including
activity through the end of fieldwork in July 2011. We utilized a risk-based audit approach from
planning to test sampling. We performed a multitude of information gathering methods including 
research, interviews, observations, and analytical reviews  in order to obtain a complete
understanding of the fleet maintenance  operations  and management. We conducted a n 
assessment of significant risks and identified controls to mitigate those risks. We evaluated
whether the implemented controls were functioning as intended.
We applied additional detailed audit procedures to areas with the highest likelihood of significant
negative impact as follows: 
1.  Compliance with internal policies and procedures (EX-17) 
Assigned take-home vehicles justified and authorized 
Utilization requirements for assigned and pooled vehicles are met 
We identified the assigned take-home vehicles and determined whether they were in
compliance with the policy. We reviewed the documentation maintained by Risk
Management supporting the justification for the take-home assignment and the
authorization by division directors. We also identified the assigned and pool vehicle

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populations and conducted the appropriate tests to determine compliance with the policy 
that sets minimum utilization requirements. 
2.  We reviewed corrective maintenance to determine whether any items had undergone
excessive repairs. We established a threshold of six or more corrective maintenance
events within a year and reviewed those items that exceeded this threshold to determine
whether the corrective maintenance was valid and whether the corrective maintenance
was being monitored by management. 
3.  We determined whether management had established performance measures to assist
in achieving its goals. We found both shops used several performance measures,
focusing on one to two key performance indicators, which we tested to evaluate the
quality of the data and the measures' usefulness in planning and management of the two
fleet maintenance shops. The measures we reviewed included the following: 
Aviation Maintenance: 
Percentage of labor hours worked per [weekly] plan 
Percentage of preventive maintenance work orders completed at or below
the budget hours 
Marine Maintenance 
Percentage of preventive maintenance work orders completed 
early or on-time 
Percentage of preventive maintenance work orders completed 
at or below the budget hours 
4.  We obtained benchmarking data from other port districts and governmental
organizations with fleet maintenance operations. We developed relevant ratios and
information for comparison to the Port fleet maintenance operations. 

Conclusion 
The fleet maintenance shops have adequate controls to ensure maintenance operations are 
efficient, effective, and in compliance with internal policies and procedures. However, we
identified two significant issues related to the monitoring and oversight of fleet management
activities. 





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Schedule of Findings and Recommendations 
1.  Maximo Software (IBM) for Fleet Maintenance Is Not Used At Optimal Capacity 
The Port upgraded to IBM Maximo 7.1 in fall 2010. Aviation and Marine Maintenance have
been using various versions of Maximo since 1995 and 2004, respectively. This asset
management database is the repository of Aviation and Marine fleet assets, along with other
Aviation and Marine capital assets.
Maximo 7.1 is a central database that can provide a wealth of information, including the
following: 
Asset number                  Lifecycle of asset 
Asset description                  Asset disposition 
Scheduled preventive maintenance      Asset usage 
Dates of corrective maintenance        Location of item 
Costs associated with maintenance       Assigned user 
Rather than a standardized process based on commonly shared data definitions/dictionary,
Aviation and Marine have established different rules for data entry. Maximo users receive
different training for Aviation and Marine. Due to the current configuration of Maximo, an asset
must be duplicated when Aviation performs maintenance on a Marine Asset and vice versa.
Maximo can generate asset numbers, accept detailed data entry for assets and work orders and
produce an array of management reports. However, the fleet managers and administrators
continue to maintain detail external to Maximo in Excel spreadsheets or manual logs.
Some examples: 
a.  Asset Numbering 
Aviation and Marine maintain and share a central Excel spreadsheet to track and assign
four-digit sequential asset numbers. One of the features of Maximo is its automatic
generation of a six-digit asset number.
The fleet managers (or their designates) override the field of the automaticallygenerated
, six-digit Maximo asset number and enter the four-digit number from the Excel
spreadsheet.
b.  Master List of Fleet Assets 
The fleet manager for Marine maintains a master Excel spreadsheet that lists all fleet assets
for Aviation and Marine. The spreadsheet contains information that may not reside in
Maximo (e.g., fleet administrator, usage, preventive maintenance location, assignment). The
fleet managers rely on the Excel spreadsheet for some of their decision-making, easy

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access to extract information, and for developing certain reports for senior management and
other stakeholders.
c.   Pool Vehicle Usage Logs and Trip Forms 
Each fleet administrator maintains a log of the pool vehicles for which he or she is
responsible. They rely on these records to ensure staff accountability for vehicles, to
monitor usage, and to record any issues related to the vehicles.
Maximo was designed primarily for building maintenance. Thus, the types of reports needed for
fleet management are not included in the default reports. More useful management reports can
be created, but they do not exist at this time. Additionally, some but not all of the information
that would be useful to extract from Maximo for decision-making purposes or performance
monitoring is not entered into Maximo. Further complicating data extraction is the lack of
consistency (i.e., a defined taxonomy) in data entry by Aviation and Marine. When the Port
upgraded to Maximo 7.1, it did not establish uniform taxonomies for defining the data elements
to be captured in each field. Aviation and Marine continued many of the conventions established
in prior versions of Maximo, many of which flowed from manual processes that predated
automation.
As of 2010, the Port invested $2.4 million for the upgrade to Maximo 7.1 for its maintenance and
IT departments (including aviation and marine (fleet) maintenance). Since 2005, the Port has
expended $3.4 million in other asset/fleet management related software (for a total of $5.9
million). Although fleet is a minor asset category in Maximo, these assets are a major resource
for Port business and have a significant replacement cost, outsized to their share of the Maximo
costs. Therefore, fleet management needs to utilize Maximo's full capabilities to realize the
software and fleets serviceable potential.
The Maximo site administrators respond to requests for information from fleet managers and
others by developing ad hoc queries, which may not reach the requesting parties timely. Some
of the information can only be extracted from the Excel spreadsheets, which are error prone.
Multiple data sets with different protocols for data entry result in inconsistent values across
assets. Were data entry to be consistent between Aviation and Marine, these divisions would
have the ability to leverage the resources and information on common assets more effectively.
For example, Aviation and Marine maintenance share identical makes and models, but may not
learn of issues through work order data capture in Maximo. Instead, they must rely on emails,
phone calls and in-person meetings to exchange information.
The universe of assigned and pool vehicles cannot be extracted from Maximo (because the
necessary information is not entered into Maximo). This information is only available through
inquiry of the fleet managers and/or fleet administrators. Some of the information is captured in
separate Excel spreadsheets and some of the information is institutional knowledge. 
Data capture by Maximo and usage of the information remains less than optimal. A
complementary Business Intelligencei integration of Microsoft SQL Server or other technologies
could significantly automate processes. A few examples: 

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1.  Exception reports could (automatically) identify assets missing key data elements. Staff
need only run the exception report and act to address the exceptions, not spend time or
effort to discover where exceptions exist. 
2.  Management can make timely and more effective decisions with data presented in more
effective (graphical) ways. In fact, a number of routine decisions could be addressed
through business rules that are applied as part of the BI processing of data thereby freeing
management's time for more complex or significant decisions. 
3.  Control reports could mitigate some of the internal control weaknesses identified during this
audit by comparing disparate data sources and presenting staff with consolidated
information. For example, the following information could not be extracted from Maximo: 
Assigned vehicle users 
Location of assets 
Universe of assets by category 
Fleet administrators and assigned pool 
Mileage 
Distinction of fleet assets versus other assets 
Recommendations 
1.  Use Maximo's automatically assigned six-digit asset number. Discontinue assigning the
four-digit manual numbers from the Excel spreadsheet. (Note: Any assets bearing a fourdigit
number will retain that number throughout their useful lives.) 
2.  Ensure that Maximo captures a single data set that can be easily tapped for reporting to
internal and external entities. (Note: Data clean up will be required to identify and resolve
duplicate asset records and to ensure the same data elements are captured in the same
fields. Additional fields will have to be created (or designated) to capture items currently
tracked on Excel spreadsheets. Existing asset application screens will need to be cloned
and modified to accommodate new fields.) 
3.  Consider developing on-demand result sets to be made available on a "Fleet" SharePoint 
site for internal department requests (e.g., pool vehicles, mileage, fuel costs, trips), using
Maximo's key performance indicator tools. A dashboard can be set up on a "Fleet"
SharePoint site that will answer most management questions at a glance (e.g., fleet
composition, average mileage, fleet replacement statistics). 
4.  Discontinue maintaining separate Excel spreadsheets to track assets that are in Maximo. 
5.  Consider performing a Business Intelligence (BI) assessment, to include a broad spectrum
of stakeholders in collaboration with ICT.
Typically, following the BI assessment, some key areas for BI projects will emerge.
Prioritize these projects in terms of costs, ROI, team size, technology infrastructure utilized,
complexity, staff readiness (training) requirements, process improvements and taxonomies.
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The goal is to create a roadmap of specific BI efforts to be integrated into the Port of
Seattle's larger IT and strategic planning efforts. 

Management Response 
1.  Use Maximo's automatically assigned six-digit asset number. 
The Port will discontinue the use of a vehicle numbering system that requires the
maintenance of a separate document register/excel spreadsheet to associate
vehicle identification information with a vehicle number beginning January 1, 2012.
Vehicles and equipment purchased in the new calendar/budget year will be assigned
numbers by utilizing the automatic feature that currently resides in Maximo. This will
assist in our efforts to eliminate or minimize the use of separate spreadsheets. 
Manually assigned numbers is a practice that has been used for many years, well
before automation. There has been some logic to the use of certain series of
numbers and there is a cultural attachment with the current practice that will have to
be overcome. 
2.  Ensure that Maximo captures a single data set that can be easily tapped for
reporting to internal and external entities. 
This recommendation is linked to the previous recommendation and implementation
is critical to the success of moving away from maintaining separate spreadsheets
that are time consuming and subject to error. 
The prospect of maintaining fleet assets in the same data base was examined
during the planning phase of Maximo 7.1 upgrade. There were pros and cons to
moving in this direction. Clearly the advantage to maintaining the same assets in
one data base makes for better asset management and accountability. However, 
the implementation would create a set of new challenges. Aviation and Marine
Maintenance have two separate payrolls, material inventory and job planning that
merge with the asset module. 
Aviation and Marine Maintenance will work together to develop common fleet asset
data points and classifications that allow for standardization of fleet data and the
development of common fleet management reports. This will enable the reporting of 
fleet data to internal and external entities and to provide fleet managers and
administrators the tools needed to manage and control fleet resources. This work
will begin in the 4th quarter of 2011 and implemented by the end of calendar year
2012. 

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3.  Consider developing on-demand result sets to be made available on "Fleet"
SharePoint site for internal department requests (e.g., pool vehicles, mileage, fuel
costs, trips) using Maximo's key performance indicator tools. 
This is an excellent recommendation that can be adopted in a form that is accessible
either through Maximo and/or SharePoint. These tools will assist Fleet Managers
and Fleet Administrators in being compliant with Fleet Management Policy EX-17. 
Implementation will require priority and resourcing to support report writing, fuel
interface and linking source information from Maximo to SharePoint. 
4.  Discontinue maintaining separate Excel spreadsheets to track assets that are in
Maximo. 
Discontinuing the use of spreadsheets outside of the Maximo data base is and has
been a shared goal. The challenge that remains is the quick and easy extraction of
information from Maximo to produce meaningful reports without reliance on
technicians or administrative staff. Until we have successfully demonstrated this
report proficiency we will continue to be reliant upon the information maintained in
Excel spreadsheets.
5.  Consider performing a Business Intelligence assessment, to include a broad
spectrum of stakeholders in collaboration with ICT 
We agree with the auditor's recommendations for a BI assessment. This
assessment is essential to successfully supporting these recommendations. A
common thread in a number of the recommendations is to improve our ability to
mine data, report it timely and efficiently, and then make sound fleet management
decisions or recommendations. The BI assessment will help us capture the fleet
information requirements, identify weaknesses or potential roadblocks, as well
providing us with a roadmap on reporting and analysis. It can also help us identify
what we can do in Maximo now between the two business units (Aviation and
Marine) in response to the audit and possibly provide insight on emerging technical
solutions to some of our challenges. 





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2.  Certain Requirements of the Fleet Management Policy (EX-17) Are Not Being Met 
The Port adopted the Fleet Management Policy in early 2008. The Fleet Management Oversight
Team (FMOT) crafted the policy. The FMOT, which meets quarterly, is composed of the
following (with executive sponsorship by the Chief Financial and Administrative Officer): 
Director, Risk Management 
Senior Program Manager, Aviation Environmental Programs 
Buyer, Central Purchasing Office 
Fleet Manager, Aviation Maintenance 
Compliance and Fleet Manager, Marine Maintenance 
At inception, the FMOT provided training in Executive Policy 17. At the current time, it appears
that certain requirements are not being met. The audit identified the following areas of
noncompliance: 
4.1 -- Fleet Managers(s) 
4.1.1 -- Shall oversee implementation and ensure that the established Fleet Management
Policy is followed. 
5.5.1  Fleet administrators shall submit a monthly off-site fuel report to the Fleet Managers 
5.5.2  Fleet administrators shall validate with the Fleet Managers, no less than quarterly,
the location of each department's vehicles and equipment as well as any changes in
ownership or assignment of vehicles and equipment. 
5.5.5  Fleet administrators shall notify the Fleet managers prior to transferring Fleet
vehicles or equipment between departments or pools. 
6.13.1  No vehicle or equipment will be transferred to another department without the prior
approval of the Fleet Manager. Proper accounting documentation shall accompany the
transfer request to ensure that vehicle and equipment ownership costs transfer to the new
department
6.1  Vehicle Utilization 
6.1.1  Pool vehicles shall meet one or more of the following criteria: 
6.1.1.1 Accumulate a minimum of 10 Port business trips per month 
6.1.1.2 Are available to multiple Port Drivers who utilize vehicles for the purposes of
conducting Port Business. 
6.1.2 Assigned Vehicles shall meet one or more of the following criteria: 
6.1.2.1 Accumulate a minimum of 15 Port business trips each month. 
6.1.2.2 Are necessary to assigned driver's duties for emergencies or to maintain and
support critical Port operations 
6.1.2.3 Contain specialized equipment, such as radio and light systems and/or official
markings and signage, required for use by the assigned 
6.3.6 Minimize driving alone on Port business by use of alternatives (e.g.,
ridesharing) 
The fleet managers, who are charged with ensuring compliance, appear to have been unable to
enforce certain requirements. 


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It became apparent that many of the fleet administrators had assumed their duties within the
last year and that they had not been provided training by their predecessors. However, they
were maintaining logs that clearly showed vehicle usage.
Some of the requirements appear to have not been met from inception of the policy, due to
challenges in capturing and compiling the necessary information.
Although the FMOT members appear to represent the significant stakeholders, it became
apparent that certain departments may have unique usage issues. For example: 
Pool Vehicles 
For some of the pool vehicles tested, although the trips mandated per month may not have
been met each month, annual averages were reasonable. In all instances there were multiple
drivers of the pool vehicles. For example, 11 of the 15 P69 pool vehicles average 10 or more
trips per month over the course of one year, but they do not always have 10 exact trips per
month. Another example, for engineering, usage is inconsistent. The pool usage fluctuates
with the level of project activity.
It appeared that pool vehicles were used by only one person at a time. However, there may
have been multiple users, but the trip request did not reflect this information.
Assigned Vehicles 
We tested the engineering department's assigned vehicles. Although the trip requirements may
not have been met for all assigned vehicles, the duties of the engineers supported their vehicle
assignments and allowed for the efficient execution of tasks that would otherwise be extended
or delayed if individuals had to consistently seek out available vehicles. 
When staff does not follow a policy's requirements, in whole or in part, the significance of the
policy may be questioned. When staff is attempting to comply, but has not received adequate
training, they may feel that their efforts are diminished. Further areas of the policy that are being
followed may drift into noncompliance due to a perception that the overall policy is not being
enforced. 
If the unique dynamics of the Port's departments are not factored into policy requirements and,
instead, a one-size-fits-all policy is put forward, staff may feel disenfranchised. If certain
requirements appear too onerous, individual users may just disregard the policy.
Recommendations 
1.  Revisit the requirements of EX-17 and determine whether they are appropriate and/or
reasonable. Reexamine the length of this policy. 
a.  Consider whether the risk management and environmental aspects of the policy
belong within EX-17 or within separate policies. 
b.  Ensure that compliance requirements are monitored and met and that staff can be
held accountable. 
2.  Institute a Port-wide cycle of training in the requirements of EX-17.

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3.  Develop a common tracking system for vehicle usage that all fleet administrators can access
and utilize, in order to: 
a.  Monitor usage 
b.  Ensure that usage complies with policy 
c.  Provide usage reports to appropriate senior managers 
4.  Consider expanding the FMOT to include representatives from departments with larger
fleets and unique needs (e.g., Engineering Department and P69) and/or a rotating member
from one of the other departments. 
5.  Encourage more ridesharing and ensure that the trip request reflects/tracks multiple
users/destinations, as appropriate. Consider using existing Port resources to share
information about scheduling/destination of pool vehicles, to improve overall pool fuel
efficiency. 
Management Response 

1.  Revisit the requirements of Ex-17 and determine whether they are appropriate
and/or reasonable. Reexamine the length of this policy. 
The FMOT has been reviewing the Fleet Policy and plans to make necessary
changes. We will review the recommendations of the internal audit and discuss with
senior management and the executive sponsor for guidance. 
The FMOT will also meet with the departments and fleet administrators to get their
input for changes. To make sure that recommendations and changes to EX-17 are
well thought out and coordinated, we do not anticipate having the revisions finalized
until end of 2nd quarter 2012.
2.  Institute a Port-wide cycle of training in the requirements of EX-17.
The FMOT will initiate the institution of annual employee training designed for users,
fleet administrators and department managers to better understand the requirements
of EX-17. This will encompass revisions to EX-17. Success will require participation
and support from Executive and Division Department Heads 
3.  Develop a common tracking system for vehicle usage that all fleet administrators
can access and utilize to monitor usage, usage compliance to policy and provide
usage reports to appropriate senior managers. 
This recommendation is closely associated with recommendation #3 of Audit Finding
#1. Fleet managers and administrators require these basic management tools at

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January 1, 2008  December 31, 2010 
their fingertips. Implementation supports policy requirements and will be useful to
administrators and provide information to vehicle users and managers. We will
include this item in the scope of work in our request for a business intelligence
assessment. There are numerous ways this can be accomplished, from the use of
SharePoint to an automated pool car program. 
4.  Consider expanding the FMOT to include representatives from departments with
larger fleets and unique needs and/or a rotating member from one of the other
departments. 
Rather than expand the FMOT, we propose that the most effective way to actively
integrate fleet users in process and information flow is to establish quarterly Fleet
Administrative Coordination meetings at both Aviation and Marine divisions attended
by the respective Fleet Manager. These meetings would provide a forum to identify
issues, review fleet utilization, address support concerns, review vehicle purchasing
procedures, and provide policy clarification. They will also serve as a conduit to the
FMOT. 
5.  Encourage more ridesharing and ensure that the trip request reflects/tracks multiple
users/destinations, as appropriate. Consider using existing Port resources to share
information about scheduling/destination of pool vehicles, to improve overall pool
fuel efficiency. 
There are currently various methods for ridesharing coordination; Port-wide and
internally within departments. We will include ridesharing resources in the annual
training to better educate Fleet Administrators and employees with the utilization of
these methods. 

i Business Intelligence (BI) is the articulation of data that allows organizations to measure performance, to operate more
efficiently and to make better decisions. A fully-flowered IT environment supports BI efforts, which place critical data at the
fingertips of end users, significantly automates processes and supports strong analytic reviews. In today's technology
environment, cross-platform integration is far better than just three years ago, and tools to help with automation and integration
are available from all major platforms (Oracle, Microsoft SQL Server, SAP, IBM, etc).
The ability to merge disparate sources of data and apply processes (business rules) to produce BI solutions help organizations
run more efficiently and improve performance. Typically, a BI environment will integrate disparate sources of data via an ETL
(Extract, Transform and Load) process into a DW (Data Warehouse) environment. This transformation of data commonly
applies established business (data processing) rules to make the data more meaningful and establish a continuity of
taxonomies (data definitions). In turn, this facilitates decision making and collaboration among different users. From the DW,
reporting is often made more consistent, and strong analytic support is possible. For many organizations, having the data is
not their biggest issue  they are drowning in their own data -- but not having data articulated in a BI solution is where the pain
exists so many organizations turn to updated BI environments to address this pain. 



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