B-204043, AUG 7, 1981
Highlights
DIGEST: GAO HAS DETERMINED THAT PROVIDING STANDARD FORMS AND PROCEDURES PERTAINING TO PAYMENT FOR TRANSPORTATION SERVICES IS CLOSELY RELATED TO TRANSPORTATION AUDIT FUNCTION TRANSFERRED TO GSA IN 1975. WOULD HAVE AUTHORITY TO GRANT EXCEPTIONS TO PROCEDURE FOR REIMBURSEMENT TO VENDORS FOR PREPAID FREIGHT CHARGES WITHOUT DOCUMENTATION OF PAYMENT BY VENDOR. REQUESTING THAT THE GENERAL ACCOUNTING OFFICE MODIFY PRIOR DECISIONS OF THIS OFFICE WHICH AUTHORIZED GOVERNMENT AGENCIES DISCRETIONARY AUTHORITY TO REIMBURSE VENDORS FOR PREPAID FREIGHT CHARGES WITHOUT DEMANDING SUPPORTING DOCUMENTATION IF THE CHARGES ARE LESS THAN $25. YOU ASK THAT THE $25 LIMIT BE INCREASED TO $100 BECAUSE THE COSTS OF TRANSPORTATION AND ADMINISTRATIVE PROCESSING HAVE RISEN SIGNIFICANTLY SINCE 1954.
B-204043, AUG 7, 1981
DIGEST: GAO HAS DETERMINED THAT PROVIDING STANDARD FORMS AND PROCEDURES PERTAINING TO PAYMENT FOR TRANSPORTATION SERVICES IS CLOSELY RELATED TO TRANSPORTATION AUDIT FUNCTION TRANSFERRED TO GSA IN 1975. THUS, GSA, NOT GAO, WOULD HAVE AUTHORITY TO GRANT EXCEPTIONS TO PROCEDURE FOR REIMBURSEMENT TO VENDORS FOR PREPAID FREIGHT CHARGES WITHOUT DOCUMENTATION OF PAYMENT BY VENDOR.
MR. J. W. BODDIE DEPUTY FOR ACCOUNTING AND INTERNAL AUDIT:
WE REFER TO YOUR LETTER OF JUNE 15, 1981, REQUESTING THAT THE GENERAL ACCOUNTING OFFICE MODIFY PRIOR DECISIONS OF THIS OFFICE WHICH AUTHORIZED GOVERNMENT AGENCIES DISCRETIONARY AUTHORITY TO REIMBURSE VENDORS FOR PREPAID FREIGHT CHARGES WITHOUT DEMANDING SUPPORTING DOCUMENTATION IF THE CHARGES ARE LESS THAN $25. B-121220, AUGUST 2, 1957; 43 COMP.GEN. 557 (1964). YOU ASK THAT THE $25 LIMIT BE INCREASED TO $100 BECAUSE THE COSTS OF TRANSPORTATION AND ADMINISTRATIVE PROCESSING HAVE RISEN SIGNIFICANTLY SINCE 1954.
WHILE THE GAO PRESCRIBED THE AUDIT AND DOCUMENTATION REQUIREMENTS FOR REIMBURSEMENT OF THE SHIPPING CHARGES TO THE EXTENT DESCRIBED IN THE CASES YOU CITE, THE GENERAL ACCOUNTING OFFICE ACT OF 1974, PUB.L. 93-604, 88 STAT. 1959, APPROVED JANUARY 2, 1975, AUTHORIZED THE TRANSFER OF THE TRANSPORTATION AUDIT FUNCTION TO THE GENERAL SERVICES ADMINISTRATION (GSA). SEE, B-191783, JULY 28, 1978.
THEREFORE, SINCE 1975, WE HAVE TAKEN THE POSITION THAT PROVIDING STANDARD FORMS AND PROCEDURES PERTAINING TO PAYMENT FOR TRANSPORTATION SERVICES IS CLOSELY RELATED TO THE AUDIT AND THAT THOSE PROCEDURES MAY BE PRESCRIBED BY THE GSA ADMINISTRATOR IN CONSULTATION WITH THE INTERNAL ORGANIZATION OF THE GAO ASSIGNED OVERVIEW RESPONSIBILITY, 4 C.F.R. SEC. 51.2 (1981). THUS, WITH REGARD TO YOUR REQUEST, GSA WOULD HAVE THE AUTHORITY TO GRANT EXCEPTIONS TO THIS PROCEDURE.