Review of Police Vehicles Purchased from ND State Contracts

Tuesday, December 12, 2017 - 3:30pm

This notice pertains to entities that purchased police vehicles using North Dakota state contracts with Nelson Auto Center. 

The State of Minnesota investigated possible fraud related purchases of police vehicles from Nelson Auto Center through Minnesota state contracts for years 2012 to 2017.  As a result of the Minnesota investigation, the former fleet manager of Nelson Auto Center was charged with five felonies related to overcharging law enforcement agencies in police vehicle purchase transactions.

The Minnesota investigation/audit revealed that some agencies had been double-billed for equipment as add-on equipment, even though that equipment was included in the base price of the police vehicle.  It was also discovered that some agencies were billed for equipment that was not received with the police vehicle. 

The North Dakota Office of Management and Budget and the North Dakota Department of Transportation State Fleet strongly recommend that local government and local law enforcement agencies review all police vehicle purchases from Nelson Auto Center for the years 2013-2017. 

North Dakota state contract specifications and prices included some add-on equipment in the base price.  Review purchase orders, window stickers and invoices to ensure agencies were not double-billed for included equipment, billed for add-on equipment not received, or were billed in a manner inconsistent with the actual police vehicle received. 

If you have any questions or find any billing discrepancies related to police vehicles purchased using North Dakota state contracts, please contact the ND State Procurement Office at 701.328.4912.  

The following documents will be available until June 30, 2018.  Please right-click and save any documents you may need.

2013 Police Vehicle Contract

2014 Police Vehicle Contract

2015 Police Vehicle Contract

2016 Police Vehicle Contract

2017 Police Vehicle Contract

Letter to Local Law Enforcement

Nelson Auto Center Sales Report by Entity