Bright Ideas: Replacement
Some bright ideas include a replacement plan based on priority, annual calculations of replacement points, and a cash-only plan.
Cedar Rapids Replaces Based on Priority
The City of Cedar Rapids, Iowa, has implemented a replacement plan that controls its capital resource management. The plan looks at actual data to determine what vehicles and equipment are most costly and need to be replaced first for the greatest impact on budgets and operating costs. "Now we have a credible process that focuses on data and assists us in making decisions that are in the best interest of our city," said Dennis Hogan, fleet services manager.
Minnesota Manages Lifecycles
Before a vehicle is acquired for the Minnesota Department of Natural Resources, an annual use expectation and replacement plan (lifecycle) is established. Rates are set to ensure all annual operating costs are funded and replacement dollars in place at the end of its expected use. According to Dave Schiller, CAFM, department fleet, safety and materials manager, "A basic premise is that managing lifecycles to successfully time replacement is key to achieving our core values of safety, cost efficiency, and environmental responsibility." Every new unit provides a performance improvement opportunity, according to Schiller. Fleet reduced downtime, accidents, number of spares, and overall costs. Challenges of wide annual-use ranges are overcome by formulas pairing age/use parameters.
San Bernardino County Assigns Points
Vehicle replacement-point analysis (lowest average annual lifecycle cost by class) and customer charge rate calculations are performed annually in San Bernardino County, Calif. The goal is balancing the most cost-effective vehicle age to funds required to purchase a new vehicle, according to Roger Weaver, CAFM, CPFP, CPM, director of fleet management. "We charge customers a monthly replacement fee to build those funds. The fund is currently fully funded at $7.7 million," said Weaver. "Our current calculated replacement point for full-size sedans, for example, is 5.5 years and the average age is 4.5 years, slightly better than ideal due to recent early turn-ins and selling the oldest vehicles in the class."
San Diego Uses Cash-Only Replacement System
In 2009, the City of San Diego Fleet Services Division, led by John Alley, CAFM, deputy director and Government Fleet's 2010 Public Sector Fleet Manager of the Year, implemented an approved cash-only vehicle replacement and financial plan for FY10 of 476 vehicles and $34 million.
More Operations

How Salem, Oregon, Turned Culture Change Into a No. 1 Fleet Ranking
Fleet availability reached 98.95% after Salem empowered employees and used performance data to guide years of steady improvement.
Read More →
EV Shifts, Salem’s Rise and GFX 2027
From hybrids and extended-range electric vehicles, to the changes that helped Salem, Oregon, become the No. 1 Leading Fleet.
Read More →
BRINC Drones Adds Free Wildfire and Smoke Tracking as Agencies Across America Battle Active Fires
New map layers give public safety agencies real-time fire detections and smoke conditions integrated directly into LiveOps at no additional cost.
Read More →
Hidden in Plain Sight: Fleet Compliance Risks
Your fleet may have the right policies, but are they being followed consistently? This practical guide highlights six hidden compliance risks that can undermine public sector and shared fleet operations and shares proven approaches to improve oversight, drive accountability, and maintain audit readiness.
Read More →
Dealing With Workplace Fraud in Fleets
Workplace fraud in government organizations can result in significant financial losses, but understanding its causes and implementing effective controls can help mitigate the risk.
Read More →
Mercury Associates Returns to Independent Ownership
New owners John Martin, Brad Smith, and Daniel Reichmann plan to expand Mercury’s analytical capabilities while continuing to grow the CFMO program.
Read More →
Fleet Technology Targets Inspections, EV Procurement, and Parts Sourcing
How new technology is addressing routine operational challenges, from vehicle inspections to cooperative purchasing.
Read More →
Murfreesboro Fire Rescue Orders Three New Aerial Ladder Trucks
As Murfreesboro's population grows, its fire fleet is growing with it. Three new aerial ladder trucks will replace existing frontline apparatus and equip a new ladder company planned for Station 12.
Read More →
Fleetio Launches PartsTech Integration, Helping Fleets Save up to 15 Minutes on Each Purchase Order
Integration brings parts sourcing and ordering into one connected Fleetio workflow to reduce administrative work.
Read More →
What’s Holding Your Fleet Back?
Catch up on the week with news around creating a more structured operation, examining an outdated garage, and more.
Read More →

