U.S. Office of Management & Budget Sets Minimum Federal Fleet Replacement Standard

May 16, 2012

WASHINGTON – The U.S. Office of Management and Budget (OMB) issued new guidelines last week for federal agencies that directs them to wait to replace a vehicle at a minimum of 60,000 miles or at least three years.

The OMB added that it has already identified millions of dollars in savings by purchasing bulk fuel, reducing the fleet’s size, and adding hybrids.

The OMB also set new travel rules, ordering federal agencies to reduce spending on travel by 30%, requiring Deputy Secretaries to review any conference where an agency’s spending could exceed $100,000, and prohibiting agencies from spending more than $500,000 on a conference unless the agency’s Secretary approves a waiver.

The travel limits come in the wake of outrage over a GSA conference in 2010 where that agency spent roughly $800,000 on an event in Las Vegas for 300 GSA employees (you can see a video from the GSA's Acting Administrator Dan Tangherlini explaining what happened here).


  1. 1. Tom Baylis [ May 17, 2012 @ 12:55PM ]

    Too little (but never too late) is my first impression. What were their minimum replacement guidelines before this change to 3 yrs/60K? Most of us in local government agencies surpassed those guidelines long ago. We're now replacing sedans and light duty vehicles at 12 years/125K (except patrol vehicles, 5 yrs/100K), and we're still very pleased with our residual values when sold at auction.

  2. 2. Greg Basich [ May 17, 2012 @ 01:08PM ]

    From what I've read elsewhere, this standard isn't so much new as it is actively being enforced. After the blow-up over the GSA's spending, I get the feeling that the White House is putting all federal agencies on notice about minimum fleet replacement cycles.


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