Audit of the Pioneer Valley Transit Authority
January 30, 2019 · Pioneer Valley Transit Authority · Read the full official report on mass.gov ↗ · official site ↗
Published January 30, 2019 Audit covers July 1, 2015 – June 30, 2017 Under Suzanne M. Bump · 2011–2023
source
“PVTA’s administration of its inventory of vehicle parts was deficient.”
Read the plain-English breakdown
This is a Massachusetts State Auditor performance audit of the Pioneer Valley Transit Authority covering July 1, 2015 through June 30, 2017.
“This report details the audit objectives, scope, methodology, findings, and recommendations for the audit period, July 1, 2015 through June 30, 2017.”
Auditors reviewed PVTA’s vehicle maintenance, use of vehicles that do not carry passengers for fares, and whether PVTA sent required financial records for public disclosure.
“We also examined PVTA’s use of its non-revenue-producing vehicles, as well as its compliance with the General Laws regarding providing its financial records to the Secretary of Administration and Finance for public disclosure.”
The issues matter because weak records can reduce public transparency and make it harder to catch misuse of vehicles or waste in parts purchasing.
“Therefore, PVTA did not allow the Commonwealth to give the public a sufficient level of transparency regarding PVTA’s operations, including its overall financial health and the nature and extent of its expenses.”
If you live in or pay taxes toward PVTA service, better controls can help show how money is spent and whether public vehicles and parts are being used properly.
“PVTA operates local fixed-route and demand-response services within the 600-square-mile Springfield area, serving a population of more than 582,000.”
PVTA passed the audit question on required preventive maintenance logs, but failed on required public financial reporting and management of non-passenger vehicles; auditors also found parts-inventory problems.
“Did PVTA maintain a cost maintenance log for each vehicle to ensure that preventive maintenance for vehicles and equipment for transporting passengers with disabilities under the requirements of the Americans with Disabilities Act of 1990 was up to date per Federal Transit Administration (FTA) guidelines?”
The Auditor recommended formal policies, monitoring controls, better vehicle-use logs, and stronger parts-inventory oversight; PVTA said it was taking steps to respond.
“Based on its response, PVTA is taking measures to address our concerns in this area.”
PVTA is a major regional transit system, so gaps in transparency and controls affect a publicly supported service used across many communities.
“The advisory board is responsible for hiring an administrator, setting fares, establishing service levels, and authorizing real-estate purchases.”
“Non-revenue-producing vehicles” means PVTA vehicles used for agency business rather than carrying paying riders, such as light-duty staff vehicles.
“Non-revenue-producing vehicles are light-duty vehicles for temporary use by PVTA employees for agency-related business.”
1 figure(s) pending source verification - not shown
What the Auditor checked
- Complied Did PVTA maintain a cost maintenance log for each vehicle to ensure that preventive maintenance for vehicles and equipment for transporting passengers with disabilities under the requirements of the Americans with Disabilities Act of 1990 was up to date per Federal Transit Administration (FTA) guidelines?
- Did not comply Did PVTA submit all required financial records to the Commonwealth for inclusion on the Commonwealth’s searchable website as required by Section 14C of Chapter 7 of the General Laws?
- Did not comply Did PVTA properly manage the use of its non-revenue-producing vehicles?
What the Auditor found
Why it matters: The public lacked sufficient transparency into PVTA’s operations, financial health, and expenses.
Standard: Section 14C of Chapter 7 of the Massachusetts General Laws ( Section 14C of Chapter 7 of the Massachusetts General Laws; Section 14C(e) of Chapter 7 of the Massachusetts General Laws )
2 recommendations
- PVTA should develop formal policies and procedures for submitting this required information to EOAF.agency: agreed
- PVTA should establish monitoring controls to ensure that the staff members assigned to this task adhere to these policies and procedures.agency: agreed
Agency response & Auditor reply
Agency: "PVTA will develop its policy and monitoring controls once the time lines and final delivery criteria have been agreed to with the State Comptroller’s Office."
Auditor: "Based on its response, PVTA is taking measures to ensure that it reports this required information to EOAF."
Why it matters: There was a higher-than-acceptable risk that vehicles could be used for non-business purposes without detection.
Standard: Massachusetts Department of Transportation Motor Vehicles Policy No. P-D0032-01, dated October 5, 2016
2 recommendations
- PVTA should establish policies and procedures, consistent with those established by MassDOT, for its non-revenue-producing vehicles that require a log documenting driver, trip, vehicle, odometer, condition, damage, and maintenance information.agency: agreed
- PVTA should ensure that these policies and procedures include monitoring controls to ensure that they are adhered to.agency: agreed
Agency response & Auditor reply
Agency: "The PVTA policy and procedure will include monitoring controls to ensure compliance."
Auditor: "Based on its response, PVTA is taking measures to address our concerns in this area."
Why it matters: PVTA faced a higher-than-acceptable risk of unnecessary costs from obsolete inventory and loss of parts through theft.
Standard: Section XXXIII(K) of Exhibit A of PVTA’s contract with First Transit Inc.; Commonwealth Operational Services Division surplus property process; Federal Transit Administration Circular 5010.E ( Section XXXIII(K) of Exhibit A of PVTA’s contract with First Transit Inc.; OSD 25: Declaration of Surplus State Personal Property; Section 7(b)(1) of Chapter III of Federal Transit Administration Circular 5010.E )
2 recommendations
- PVTA should establish policies and procedures regarding the administration of its vehicle parts inventory and require First Transit Inc. to adhere to them.agency: already implemented
- PVTA should establish monitoring controls to ensure that First Transit Inc. complies with all contract terms and PVTA policies and procedures for administering vehicle parts.
Agency response & Auditor reply
Agency: "PVTA has formalized its policy with respect to the disposition of inventory."
Auditor: "Based on its response, PVTA is taking measures to address our concerns in this area, but we again urge PVTA to fully implement our recommendations."
Verified dollar findings
Identified dollar findings that do not fall in a named band.
More audits of this entity
Other Office of the State Auditor reports on Pioneer Valley Transit Authority .
- Audit of the Pioneer Valley Transit Authority (March 17, 2023)Transit Authority · March 17, 2023