LMHA estimates saving more than $247,000 in first year after implementing a managed fleet program.

BACKGROUND

Location: Toledo, OH

Industry: Housing Authority

Total vehicles: 60 vehicles

THE PROBLEM

With an aging fleet that was large and underutilized, the Lucas Metropolitan Housing Authority (LMHA) found that as maintenance costs were steadily increasing, the reliability of their vehicles was steadily decreasing.

THE SOLUTION

LMHA worked with Enterprise Fleet Management to find an optimal Total Cost of Ownership for its vehicles. An initial plan was established to cycle out vehicles at regular intervals, and LMHA saw large gains from the sale of the under-utilized portion of their fleet, which freed up funds to be used in other areas. The agency also took advantage of Enterprise’s Full Maintenance program, which increased efficiency and simplified their budgeting process. Additional funds were saved during the vehicle acquisition process since Enterprise negotiated directly with the manufacturer.

THE RESULTS

Since partnering with Enterprise on a managed vehicle program, LMHA reduced long-term expenses by 44 percent and saw total savings of $247,605 in the first year. With the reduction of fleet-related expenses, the agency’s cash flow improved. As a result of its fleet program, LMHA was able to acquire newer vehicles that not only improved the agency’s image but also increased employee satisfaction.

Coming from 25 years of government experience, I have found that every entity with a fleet of vehicles, at a minimum, needs to conduct this analysis with Enterprise Fleet Management to see where money is being spent and where money can be saved.

Terri Mayle, Director of Finance

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