54-9-8: VEHICLE/EQUIPMENT REPLACEMENT BEST PRACTICES:

   ∙    Each Department along with the Fleet Division Director will evaluate their fleet vehicles to determine which vehicles need to be replaced in accordance with established City replacement policies. Departments should evaluate their entire fleet to identify vehicles meeting the City’s established replacement criteria, or vehicles with excessive repair, maintenance, or operating costs. Departments should utilize all available data on their fleet vehicles, including internally tracked data in evaluating vehicles for replacement.

   ∙    Conduct Fleet Right Sizing Evaluation. Departments along with the Fleet Division Director will perform a fleet “rightsizing” or optimization evaluations to help determine their appropriate fleet size and composition. Factors to consider in sizing a department fleet (in terms of both overall number of vehicles and vehicle type) are the department mission and whether the need will be short-term (perhaps met by rentals or “pool” units) or long-term (perhaps met by lease or purchase). When conducting a “rightsizing” or optimization evaluation, one of the main factors considered should be whether current vehicles are being fully utilized; if a vehicle is not, then the vehicle should be considered for reassignment or disposal. In analyzing fleet composition, departments should evaluate the vehicle application, number of passengers typically carried, special needs of the operator, and any limiting factors (i.e., towing, payload, seasonal use) of current vehicles.

   ∙    Develop a Fleet Assessment Report. The Fleet Division will document findings derived from the Vehicle Needs Evaluation and Right Sizing Evaluation in a report from each department. The report should outline recommendations for replacement or disposal of existing fleet vehicles/equipment and identified needs for new fleet assets. The report should include details of the analyses performed, policies and criteria and/or best practices used in developing recommendations that meet the objective of moving towards an electrified fleet or reducing fleet as outlined in Mayoral goals.

   ∙    Vehicle utilization and minimum use guidelines apply only to vehicles with a Primary Purpose and are established to ensure that departments are getting the optimal use for their vehicles. The minimum mileage target for vehicles (sedans, pick up, carryalls, vans and other vehicles intended primarily for carrying passengers including Law Enforcement personnel) is 5,000 miles annually. The Fleet Division Director shall develop and distribute department-specific annual reports, based on reported fleet data, to flag vehicles that have accumulated less than the minimum mileage for the designated reporting period. This minimum mileage amount may be amended by the Fleet Division Director. The Fleet Division Director may establish other suitable minimum use criteria for specific departments when appropriate.

   ∙    The intent of this requirement is to call attention to vehicles that may not be fully utilized. It is not to direct departments to drive vehicles solely for the purpose of putting mileage on them to attain a minimum mileage level. A six-month report will assist departments evaluating their vehicle utilization to ensure that all vehicles are being effectively used and identify vehicles that may not meet the annual utilization requirement.

      °   The following vehicles are exempt from the minimum use criteria:

      °   Vehicles with a manufacturer’s Gross Vehicle Weight Rating (GVWR) of more than 8,500 pounds, construction heavy equipment (Road and Bridge), vehicles purchased with federal, state, or local grants; and vehicles granted waivers by the Fleet Division Director.

      °   Departments will have 60 days after the Fleet Division Director’s end of fiscal year report date to submit written justification for retaining vehicles that fail to meet minimum mileage criteria. Extensions may be granted by the Fleet Operations Division Director for departments to justify special use vehicles not identified in the exemptions list.

         ∙    Department’s justification information may include, but is not to be limited to:

         ∙    How does the vehicle help accomplish the core mission of the department?

         ∙    What services are provided through use of the vehicle?

         ∙    What is the primary function of the vehicle and how does this relate to the core function of the department?

         ∙    Is the vehicle complex-bound (Golf Course, Sport Park etc.)? If so, how many trips per day or days per month is the vehicle used?

         ∙    How many passengers per month are carried?

         ∙    How many trips per month are logged?

         ∙    What is the cost to rent a comparable vehicle for the same number of days or trips compared to the cost of ownership?

   ∙    Replacement following these guidelines is intended to minimize fleet capital and operating costs.

   ∙    Establish clear replacement criteria for each type of fleet vehicle maintained by the department based on the guidelines provided.

   ∙    The Fleet Division Director may make exceptions to the replacement guidelines on a case-by-case basis. For example, vehicles may be replaced sooner if they incur excessive maintenance or repair costs or may be retained longer if they have unusually low maintenance costs. Specialized equipment, such as heavy-duty equipment, may require the use of customized replacement guidelines.

   ∙    Vehicle procurement will follow Sustainability Policy, City Policy and Procedures Manual section 56-5-3-2: Vehicle Procurement

   ∙    Vehicle procurement will follow Resolution 45 of 2020