NYC Posts Record Fleet Revenue with Strong Resale Values

The New York City Department of Citywide Administrative Services (DCAS) Fleet reported it brought in record revenue for the second year in a row. For fiscal-year 2021, the fleet operation brought in $15.75 million in revenue between the sale of used vehicles and pursuit of restitution when private vehicles damage fleet vehicles. This was a $3 million increase from its previous record last year; it was a $5.1 million or a 48% increase from FY19, according to the DCAS fleet newsletter.

The increase was driven by greatly improved returns per vehicle on online auction sales. The average sale per vehicle went up to $5,257, a 36% increase from the previous record last year. 

Each year, DCAS sells a wide variety of units including sedans, SUVs, pickups, vans, trucks, and off-road equipment. Hybrid cars and garbage trucks are among the best-selling items. The per-unit increase reflects trends that have been publicly reported in the broader used car market as the fiscal pressures from COVID-19 and the microchip shortage have led more buyers to the used vehicle market.

This year’s auction program was also supported by the implementation of Mayoral Executive Order 41, which required a 1,000 vehicle on-road fleet reduction by June 30, 2021. Implementation of the fleet reduction helped maintain total vehicle sales despite a large decrease in vehicle buying tied to COVID-19 and citywide savings initiatives.

DCAS is now completing its 10th year of online auctions, a program first implemented in 2012 as part of the fleet consolidation and shared services initiative. It expects to announce a new contract for these services later in 2021.

The DCAS Claims Unit met its annual target at $738,000 in claims revenue despite the loss of staffing resources due to COVID-19 and the move to remote work.