MOUNT VERNON — City council members got their first look at a proposal that proponents say would save taxpayers hundreds of thousands of dollars over the next decade.
The proposal would shift dozens of city vehicles from a buy-and-hold model to a leasing program.
Brett Yutzy of Enterprise Fleet Management said a lease program moves the city from a reactive approach to a proactive fleet management strategy.
“Rather than reacting to breakdowns and unexpected costs, the city gains a predictable plan that can be reviewed and adjusted accordingly,” he said.
The goal is to replace vehicles on a five-year planned life cycle, and then leverage the equity in the fleet today using a lease program.
A fleet analysis showed an average age of 8.5 years for 87 vehicles. The city holds the vehicles for an average of 12 years.
“While many of these vehicles continue to operate, the age of the fleet is beginning to create some challenges,” Yutzy said. “Thirty-six percent of the fleet is more than 10 years old.”
He said an aging fleet increases maintenance expenses, lowers resale values and generates less equity when replaced.
“From a safety standpoint, we’ve also identified a number of vehicles that predate many of the driver-assisted and safety technologies that are standard today,” Yutzy said.
Newer technologies include backup camera, electronic stability control, rear automatic braking, and other advancements that are common on today’s equipment.
Additionally, Yutzy said inconsistent capital replacement budgets challenge the city and often forces it to replace vehicles only when they become difficult or expensive to operate.
Leasing can reduce maintenance, fuel costs
Under the proposed program, the city would replace 47 vehicles over the next five years. Replacement criteria is the vehicles’ age or odometer reading.
The city would sell the current vehicles and lease the replacement vehicles. Sale proceeds would go toward future lease costs.
Police cruisers and other heavily customized vehicles, such as 1-ton cab chassis trucks with $20,000 to $30,000 in after-market equipment, are not part of the plan.
However, Yutzy said Enterprise could design a separate program for those vehicles later.
Yutzy said switching to a lease program would drop maintenance costs from about $67.83 per vehicle per month to a fixed $47.54.
The city can handle maintenance in-house or use local shops on Enterprise’s program.
Estimated fuel costs could drop by roughly 20% with newer, more efficient vehicles.
Yutzy said the city could generate about $293,000 from the sale of 24 older vehicles in the first year, compared to roughly $197,000 in new lease payments.
Yutzy projected that over 10 years, the city could see about $329,000 in positive cash flow. However, he said the impact levels off to roughly $3,000 in annual savings once the program is fully phased in.
“The financial benefit of this approach is it’s fixed. You guys know exactly what your budget is going to be each year,” Yutzy said.
“But perhaps most importantly, this approach transforms the vehicle replacement from large, sporadic capital requests into a more manageable and sustainable long-term funding strategy.”
Yutzy: Leasing reduces administrative burden on staff
Yutzy noted newer vehicles mean improved reliability, less downtime, better fuel efficiency, lower maintenance requirements, lower costs and access to modern safety technology.
Additionally, he said city gains access to enhanced reporting, fleet analytics, maintenance oversight, inventory visibility, recall tracking, budgeting support and annual strategic reviews.
“This gives leadership greater transparency and control by reducing administrative burden on staff,” he said.
According to Yutzy, Enterprise provides leasing program for more than 50 government entities. He said government is the company’s fastest-growing segment.
Neighboring municipalities that lease through Engerprise include Hebron, Marysville, Lancaster and Delaware, Licking and Franklin counties.
Council members gave a second reading on the proposal and will hold another committee meeting at its Sept. 14 meeting.
Mount Vernon council renames park in honor of former councilman John Francis
Francis served on city council from 2011 to 2023. He was the catalyst behind a chronic nuisance abatement ordinance and a driving force in educating residents about drugs.
Habitat for Humanity of Knox County announces Homecoming 2026 and bourbon raffle
The event will bring together Habitat supporters, volunteers, homeowners, community partners and friends for an evening centered around Habitat’s mission of bringing people together to build homes, communities and hope.
Museum celebrates Mount Vernon native Paul Lynde on his 100th birthday
The Knox County Historical Society and Madcap Living History invite the community to the Knox County Historical Museum for an entertaining and historical presentation titled “A Centenarian in the Center Square: Paul Lynde Turns 100.”
