Pursuant to a congressional request, GAO provided information on: (1) whether the Federal Aviation Administration's (FAA) systems can accurately account for and control inventory quantities; and (2) how FAA identifies and manages excess inventory quantities.

GAO noted that: (1) based on GAO's analysis of the FAA Logistics Center inventory test counts of a statistical sample of inventory, GAO concluded that the Logistics Center's recorded inventory quantities were generally reasonable as of September 30, 1998; (2) in addition, based on GAO's review of Logistics Center inventory system controls, GAO concluded that the inventory system provides a reasonable basis for tracking and controlling inventory; (3) GAO concluded from analyzing the Department of Transportation Office of the Inspector General's (OIG) field spares inventory workpapers that the accuracy of field spares inventory quantities, and the ability of the system to track and control field spares, is uncertain; (4) the OIG found numerous errors in inventory recordkeeping, and procedures and controls were not fully implemented; (5) FAA is implementing new procedures for managing field spares inventory; (6) FAA is also planning a complete field spares inventory count for fiscal year 1999; (7) FAA has established processes for identifying and managing excess inventory; and (8) the Logistics Center processes are in place; however, processes in the field were not fully implemented as of September 30, 1998.

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