Air Clearance Process
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1994-06-27
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Abstract:Introduction. The method of transportation for DoD cargo shipments should be the mode that satisfactorily meets DoD requirements at the overall lowest cost to the government. Transportation officers were responsible for determining the mode of shipping cargo, whether surface or air, based on supply priorities and required delivery dates, as established by requisitioners. During FY 1992, the Military Departments spent approximately $359.3 million to airlift cargo shipments aboard Government aircraft from the continental United States to overseas destination. Additionally, The Military Departments spent approximately $35.8 million to transport shipments made under Government bills of lading aboard commercial aircraft. Objectives. One audit objective was to determine whether the Military Departments and the Defense Logistics Agency have implemented effective air challenge programs to restrict the unnecessary use of air transportation for DoD shipments. Other objectives were to evaluate the feasibility of directly charging requisitioners for the cost of air transportation; to follow up on a recommendation in Inspector General, Department of Defense, Report No. 88-041, "Express Cargo Movement Within the Department of Defense," October 20,1987, concerning standard weight threshold challenge criteria for air eligible cargo; and to determine if shipments made under Government bill of ladings aboard commercial aircraft had effective air challenge procedures. We also evaluated applicable internal controls. Audit results. During FY 1992 DoD reported successfully challenging and downgrading cargo shipments to surface transportation and realized a cost avoidance of $49.3 million. However, improvements were still needed in the air clearance process. DoD shipping organizations sent about 33 percent of the cargo to Air Mobility Command aerial ports without first obtaining air clearance approval from the Military Departments' airlift clearance authorities. As a result, DoD unnecessarily expended an additional $27.1 million to airlift cargo to overseas destinations during FY 1992 (Finding, Part II) The DoD is instituting a two-tier pricing policy for air and surface transportation in FY 1995. The Defense Logistics Agency was in the process of establishing uniform policies for air challenge thresholds. Also, over 99 percent of the shipments on commercial aircraft were valid air cargo.
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