Fleet Management Final Presentation

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Governor's Office Agency 1 Fleet Duties

Agency 2 Fleet Duties

Purchase Track Maintain Dispose Motor pool

• • •

DOAS Office of Fleet Mgt. Statewide

Purchase Track Maintain Dispose Motor pool

5,235 Passenger

Track Monitor Compliance Report

3,078

15,744

Individually assigned with < 14,000 miles per year

Individually Assigned

Unassigned

Non-passenger

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1600 Number of Vehicles

1,427

730

Information for managing fleet is scattered and inconsistent Agency-based vehicle management information systems operate separately Responsibility fragmented !

4,505 Assigned

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Sedans

1400

Other

1200 1000 800 600 400 200 0 10

30

50

70

90

110

130

150

170

190

210

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Miles (000)

• •

No centralized plan for making optimal disposal/replacement 2.6 million commute miles reported in 2003

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Average age of fleet 8.5 years

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No accurate statewide information on maintenance costs

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Utilize Fleet Anywhere (FA) system across all agencies Current Problem

• Fleet Anywhere (FA) purchased – not fully utilized • No central tracking system • No measurement of statewide fleet utilization • Cannot determine annual operating cost by vehicle type

Vision • Utilize existing FA system to track all state vehicles leading to lower operating costs, increased utilization, lower procurement costs, and improved fuel and maintenance contracts

Discussion/Rationale • FA provides reports, keeps maintenance histories, tracks usage, and captures all associated costs • Utah’s FA reduced cost by 26% over 4 years • Georgia owns 25,000 FA licenses – DOT holds 13,000 – Remaining 12,000 not fully utilized • Partial FA functionality used by GBI, Dept. of Public Safety, and Corrections

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Potential Maintenance Cost Reductions for GA Fleet (based on Utah Fleet results)

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Evaluate total cost of vehicle ownership past economic life 3 #" #

Current Problem

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• Average age of GA fleet is 8.5 years vs. Utah’s 3.6 years • 60% of Georgia fleet > 6 years (12,712) • Costs for additional 2.5 years: ~$3,000 per vehicle • Excess cost is potentially $15M annually

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Vision

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• Change budget process to support vehicle replacement policy based on operating cost

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Discussion/Rationale

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Average Optimal Disposal Point 2000

Sedans

1800

• Fleet Anywhere provides vehicle specific data for analysis of when to surplus a vehicle

• Evaluate cost to maintain vs. purchase vs. lease –Develop financial analysis tool

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Other

1600

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1400 1200 1000

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• Private sector business practice –Evaluate vehicle lifecycle analysis on individual basis –Consider criteria beyond age or mileage

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1992

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1982

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Centralize authority to Office of Fleet Management Current Situation

Current Problem

Governor's Office

• Inconsistent and inefficient approach to managing vehicles • Operating costs, utilization, and policy compliance vary widely across agencies

Vision • One statewide fleet with one set of standards for procurement, assignment, utilization, maintenance, and disposal that yields lowest possible cost per mile

Agency 1 Fleet Duties Purchase Track Maintain Dispose Motor pool

• 3-5 year business plan

• Create one statewide vehicle pool • Empower Office of Fleet Management to manage and enforce fleet policy

Purchase Track Maintain Dispose Motor pool

DOAS Office of Fleet Mgt. Statewide Track Monitor Compliance Report

Future Vision

Discussion/Rationale • Create a protected internal service fund for vehicle purchase and maintenance

Agency 2 Fleet Duties

Governor's Office Agency 1 Fleet Duties Lease from OFM

Agency 2 Fleet Duties Lease from OFM

DOAS Office of Fleet Mgt. Statewide Track Monitor compliance Report Purchase Track Maintain Dispose Motor pool 2

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Modify and enforce vehicle assignment and commuting policy Current Problem • 4,505 individually assigned vehicles • Excessive commuting miles

– 870 employees reported commuting miles – 2.6 million miles/year

Discussion/Rationale • Virginia implemented in 1989 – –

Prior to policy, hundreds of commuting employees By 2003, only 60 commuting employees

• Eliminate agency head exception • Modify “on call” exception to reflect – – –

On-call 24 hours First responder History of being called >10 times over 6 months

• Charge and reimburse employees for commuting miles at IRS rate of $0.375/mile

Population 7.2M (2001)

870 Commuting Vehicles

Vision • Statewide compliance with assignment and commuting policy • Eliminate unnecessary assigned vehicles

Virginia

Georgia

Population 8.4M (2001)

60 Commuting Vehicles

Ratio: 14.5 : 1 870 X 2900 miles per commuter (GA) 60 X 2000 miles per commuter (VA) 2003 Commute Miles per Employee (% $$$% $$$

2.6 million

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120,000

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Source: GA Dept of Administrative Services, Office of Fleet Management 2003 Audit of State Fleet; VA, BearingPoint interview with William M. Colavita, VA Dept. of Transportation, Office of Fleet Management. -

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Potential annual savings of $25 million when fully implemented (based on historical data from Utah)

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