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					 Kelly Reagan
 Fleet Administrator

City of Columbus
The Implications of Managing an Aging Fleet

      Kelly Reagan, Fleet Administrator
                 City of Columbus
           Division of Fleet Management
Columbus Fleet Management-
 Innovative and Progressive
        City of Columbus Statistics
•   Fleet Mgmt. services approximately 5600 pieces of
    vehicles/equipment
    –    3000 on-road (cars, trucks, SUVs, etc.)
    –    2600 off-road (construction equipment, tractors, mowers, etc.)
•   Primary customers include Refuse, Police, Fire, Transportation,
    Development and Rec and Parks
•   Approximately $32 million budget
•   Obtained ASE Blue Seal in 2008-2011 – largest municipality in US
    and only city in Ohio to obtain
•   Ranked as 16th Best Fleet and 7th Greenest Fleet in North America
    in 2010
             How Old IS our Fleet?
•   In 2010, over half of Columbus’ on-road vehicles had
    exceeded their useful life according to the City’s Vehicle
    Replacement Standard
•   19% of on-road vehicles had maintenance costs that
    exceeded acquisition costs
•   34% of on-road vehicles were older than 10 years
What our Fleet would look like if it were people…
    City of Columbus Replacement Standard
                        Useful Life      Useful Life
                          (years)          (years)
   Vehicle type         Front Line        Reserve              Miles

Administrative cars         7                N/A              100,000
(non-patrol)/station
wagons
Marked patrol cars          2                 2               150,000
Unmarked patrol cars        7                N/A              100,000
Motorcycles                 7                N/A               50,000
Vans/pickups                8                N/A              125,000
Light duty trucks           8                N/A              125,000
Medium duty trucks          8                N/A              100,000
Heavy duty trucks           10               N/A              100,000
Refuse trucks:
   Automated Side           6                N/A               N/A
Loader
   Front Box Loader         8                N/A               N/A
   Rear Loader              10               N/A               N/A
   Manual Side Loader       8                N/A               N/A
   Compactor Truck          8                N/A               N/A
   Knuckle-boom             8                N/A               N/A
Truck
   Flatbed                  10               N/A               N/A
Fire Apparatus:
  Engines                   8                 2                N/A
  Ladders                   12                3                N/A
  Rescues                   8                 2                N/A
  Medics                    4                 3                N/A
Sweepers                    5                 2                N/A
Large and specialty              Review on individual basis
equip.
    How was Replacement Plan Developed?

•    Industry standards
•    Consultation with City divisions
•    Realistic goals
                  What Goes First
•   Three criteria used to determine order of replacement:
    –   Age- over 10 years or useful life
    –   Maintenance history
        •    Do maintenance costs exceed acquisition cost?
    –   100,000+ miles
•   Underutilized report generated every 2 years
    –   Discussion with divisions
    –   Justification reporting
    –   Typically leads to 50-100 units being decommissioned or reassigned
    Use Data to Drive Decisions

•   Use data in budget discussions with both division
    heads and Finance Department
•   Data should drive the vehicle replacement budget
    each year
 Sometimes (okay, a lot of times) Data
Doesn’t get you the Replacement Budget
              you Need….
But Things Can Turn Out Better Than They Seem…
    It IS Possible to Keep Expenses Down with an Aging Fleet


•   Become the best by: Training and testing employees in
    nationally recognized certifications - ASE & EVT
•   In Columbus, 83% of employees hold at least 1 (one)
    ASE – 73 employees hold 543 ASE Certs on the floor
•   46 ASE Master certifications
•   33 employees hold 89 EVT Certifications
        •   4 Master Fire Apparatus Technicians
                       Columbus ASE Techs

                                 Automotive Service Excellence Technicians
              100%
              90%                                                               83.3%
                                        77.4%                 80.7%
              80%    75.6%
                                                                                         Target, 75%
              70%
% Certified




              60%                                                                        54.8%

              50%
              40%
                                                                        26.1%
              30%                               22.6%
              20%            15.4%

              10%
               0%
                        2007               2008                   2009             2010

                               Total            Master Certifications           Target
                             Columbus EVTs

                               Emergency Vehicle Technicians
              90%
                                                                           80.5%
              80%
              70%
              60%
% Certified




              50%                   41.5%                44.4%
                    39.6%
              40%
              30%
                                                                                   17.1%
              20%
                                                                 8.9%
              10%
                        0.0%                0.0%
              0%
                      2007             2008                 2009             2010

                                   Total           Master Certifications
Commit more dollars to Training
•   In 2009, Columbus Parts’ expenses decreased by
    14% or $470,000 from the prior year
•   For every $1 invested in training, we saved
    $13.50 in parts expenses
•   How??
    –   More training = greater proficiency on shop floor
    –   STOP changing out parts for the sake of changing out parts-
        no more “parts changers”
    –   Technicians become better diagnosticians
Increased Training = Increased Talent
    Decreasing Expenses in Supplier Services

•   “Withdraw Internally” – increase training and
    testing to reduce outsourced work
•   Assess your operation’s skill set
    –   “What work that is now being sent out can be brought back in-
        house?”
    –   “How can we control and manage a reduction of expenses and
        still maintain performance?”
•   Share the vision with employees- job security
     Columbus’ Service Savings

•   In 2009, Columbus experience a reduction of
    more than $868,000 or 34% in services
•   For every training/testing dollar invested, $24.81
    in service expenses were recovered or saved
        Overall Columbus Savings
•   Overall, Columbus saw a decrease of more than
    22% from 2008-09 in parts and service
    expenditures, even with an aging fleet
•   Combined savings of more than $1.34 million
•   Training budget of $35,000
    –   Every $1 spent on training and testing in 2009 = $38.31 saved
        in parts and service expenditures
   Reduced Annualized Expenditures
                                   ANNUAL FLEET BILLINGS

$6,000,000

$5,000,000
$4,000,000

$3,000,000
$2,000,000

$1,000,000
      $-
                    2007               2008                2009            2010      2011-YTD
       *2010 Service - adjusted for $350K - ladder repair-accidents


                 PARTS               SERVICE               Power (PARTS)          Power (SERVICE)
Remember, Good Customer Service is Your Ultimate Goal…
Questions?
      Kelly Reagan
     (614) 645-6254
kwreagan@columbus.gov

				
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