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Poor Management of GSA's (General Services Administration's) Self-Service Stores Leads to Needless Duplication and Potential for Fraud

NCJ Number
73838
Date Published
1980
Length
61 pages
Annotation
The General Services Administration's (GSA's) Self-Service Store program (SSS) fails to fulfill the intent of the Federal Property and Administrative Services Act.
Abstract
The review was performed at the Federal Supply Service (FSS) central office and its regional offices. It analyzed information relating to self-service store openings, operations, and sales. Purchases, sales, and other operational procedures were examined. The program failed to provide executive agencies with an efficient and economical supply system and failed to consolidate unnecessary agency stockrooms. The General Accounting Office (GAO) also found that GSA lacks effective control over store inventories, management oversight of store operations, and control over shopping plates issued to Federal agencies. Furthermore, GAO found that GSA stores mispriced supplies, which caused customer overcharges and inventory variances; failed to reorder out-of-stock supplies; stocked defective supplies; and experienced security problems. This lack of control provides the potential for future fraud in GSA's program. Although the program is intended to eliminale agency retail outlets, GAO found that such outlets were major GSA store customers; several of these agency retail outlets were in the same buildings as GSA stores. GAO recommends that GSA completely reevaluate its program and work closely with the Office of Management and Budget to eliminate unnecessary agency retail outlets. Photographs, tables, and a list of abbreviations are supplied. A GSA regional map, supplemental photographs, and agency comments are appended. (Author abstract modified)