Critical Audit of Port of Seattle Construction Management

On December 20, 2007, the Washington State Auditor's Office released a 334 page performance audit of the Port of Seattle's Construction Management program.

Six major findings in the audit are summarized as follows:

1. Port construction management lacks cost controls and accountability.
2. The Port circumvents competition requirements in violation of its own policies and sometimes in violation of state law.
3. Port policies and Port management’s interpretations of its policies result in a lack of transparency and thwart Commission oversight of construction management activities.
4. Port construction management records are incomplete and disorganized.
5. The Port fails to enforce basic contract requirements, resulting in delays, extra costs, and an inability to defend against claims.
6. Port construction management is vulnerable to fraud, waste and abuse.
   

The audit was part of the State Auditor's Office was conducted under the authority of citizen-approved Initiative 900.

A copy of the audit report may be found at the following website address: http://www.sao.wa.gov/Reports/AuditReports/AuditReportFiles/ar1000008.pdf