Fuel Management

Low Fuel Prices Help Reduce Fleet Costs

February 22, 2016

File photo
File photo

Fuel prices continue to slide, and government fleets are benefitting from the reduced costs. The latest data from the U.S. Energy Information Administration (EIA) shows the national regular retail gasoline cost (including taxes) is $1.72 per gallon while national average for on-highway diesel fuel is $1.98.

Around the country, government agencies are benefiting from lower gas prices.

For the City of San Diego, fleet fuel costs could end up being $2.8 million less than planned, which would help the city end the year with a surplus, CBS8  reported.

Sarpy County in Nebraska has only spent 37% of its fuel budget more than halfway through its fiscal year, KETV reported. In nearby City of Council Bluffs, Iowa, locked-in fuel prices mean the city isn’t saving in fuel costs, but the city’s fleet supervisor believes it will all even out when prices rise.

Also in Nebraska, Lancaster County departments have spent $455,000 on fuel during the first six months of the fiscal year out of a $1.4 million fuel budget, according to the Lincoln Journal Star. Likewise, the City of Lincoln, Neb., has spent just $315,000 during the first half of the fiscal year of the budgeted $1.8 million. At the city, user departments will benefit from this savings.

The Naperville Park District in Illinois paid 28% less for fuel in 2015 than it did in 2014, and officials are hoping the trend continues for this fiscal year, according to the Naperville Sun.

If fuel prices continue to be low, the City of Olean, N.Y., expects to spend about $120,000 in fuel for the fiscal year ending May 31 of its budgeted $175,000, the Olean Times Herald reported.

In Kansas, the Butler County Sheriff’s Office spent $88,000 less on fuel and lubricant costs than it had budgeted, KWCH reported. This money goes back into the general fund or is used to purchase new fleet vehicles.

In Juneau County, Wisc., the Highway Commission spent just $230,000 out of a budgeted $385,000 in fuel costs in 2015, according to WiscNews.

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