Audit of Graebel Atlanta Movers' Billings to FDIC's Atlanta Office

(Audit Report No. 98-011, January 26, 1998)


The FDIC Office of Inspector General (OIG) has completed an audit of Graebel Atlanta Movers' billings for moving services provided to the Federal Deposit Insurance Corporation's (FDIC) Atlanta Office. The objective of the audit was to determine whether Graebel's billings to the FDIC were allowable and adequately supported under the terms and conditions of its contracts and other related agreements.

Graebel billed the FDIC $472,628 for services provided during 1996. Except for unallowable and unsupported charges totaling $9,243, Graebel's billings were generally supported, allowable, and in accordance with the terms and conditions of its contract.


We recommended that the Atlanta Office's Regional Manager, Division of Administration, take the following actions:

(1) Disallow $4,917 of Graebel's regular labor charges that were in excess of its
approved tender agreement rates or billed in error (questioned costs).

(2) Disallow $1,939 of Graebel's overtime labor charges that should have been
billed at regular hourly rates (questioned costs).

(3) Disallow $700 of Graebel's billings for transportation charges that were in
excess of the transportation rates in Graebel's national agreement with FDIC (questioned costs).

(4) Disallow Graebel's billings for vault storage and truck rental totaling $1,687
that were not adequately supported (questioned costs, all of which was unsupported).

(5) Consider OIG's suggestions for strengthening controls over future moving- services contracts.

Management Response

On January 9, 1998, the Regional Manager, Division of Administration, Atlanta Office, provided a written response to a draft of this report. The response agreed with the recommendations and provided the requisites for management decisions for the five recommendations.

Based on the audit work, the OIG will report questioned costs of $9,243 in its Semiannual Report to the Congress.

Last Updated 11/26/99 contact the OIG