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File #: 21-3409   
Type: Orange County Transit District Item Status: Passed
File created: 4/21/2021 In control: Finance and Administration Committee
On agenda: 5/12/2021 Final action: 5/24/2021
Title: Review of Oversight Controls and Contract Compliance Related to the Bridgestone/Firestone Tire Lease and Services Agreement No. C-9-1354, Internal Audit Report No. 21-506
Sponsors: Gabriel Tang, Janet Sutter
Attachments: 1. Transmittal, 2. Staff Report, 3. Attachment A
Date Action ByActionResultAction DetailsMeeting DetailsVideo/Audio
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Title

Review of Oversight Controls and Contract Compliance Related to the Bridgestone/Firestone Tire Lease and Services Agreement No. C-9-1354, Internal Audit Report No. 21-506

 

Overview

The Internal Audit Department of the Orange County Transportation Authority has completed a review of oversight controls and contract compliance related to the Bridgestone American Tire Operations, LLC, tire lease and services agreement. Based on the review, the procurement of tire lease and services was handled in accordance with Orange County Transportation Authority procurement policies and procedures, and payments are properly reviewed and authorized by Orange County Transportation Authority staff. However, Bridgestone American Tire Operations, LLC, has not provided minimum staffing levels required by the contract, did not provide documents required to be submitted upon contract award, and was unable to provide certain required documents upon request. Additionally, contract requirements for torque re-check of new tires installed on ACCESS buses has not been implemented. Orange County Transportation Authority management has also not implemented monitoring controls to ensure contract compliance.

 

Recommendation(s)

Direct staff to implement four recommendations provided in the Review of Oversight Controls and Contract Compliance Related to the Bridgestone/Firestone Tire Lease and Services Agreement No. C-9-1354, Internal Audit Report No. 21-506.