GF Blue logo
MenuMENU
SearchSEARCH

Gas Price Run Up Has Government Fleet Managers Reeling

SALEM, OR — Daniel Clem's gasoline bill was more than $905,000 last year. Clem is the fleet manager for Oregon's Department of Administrative Services, which is responsible for more than 3,000 vehicles assigned to various state agencies, according to the News-Register.

by Staff
September 21, 2005
2 min to read


SALEM, OR — Daniel Clem's gasoline bill was more than $905,000 last year. Clem is the fleet manager for Oregon's Department of Administrative Services, which is responsible for more than 3,000 vehicles assigned to various state agencies, according to the News-Register. But that's not even half the state fleet. Counting the sedans, vans, pickups, and SUVs in separate fleets, including those of ODOT and the Department of Forestry, the state of Oregon owns about 7,000 light-duty vehicles. The Department of Administrative Services sees only part of the state’s gasoline bill. Nonetheless, that part offers a useful snapshot of out-of-control oil prices. During the 2003-04 fiscal year, the department billed state agencies $709,000 for all types of fuel: unleaded, biodiesel, diesel, and compressed natural gas. So the increase to $905,000 for the fiscal year ending June 30 marked a 28 percent rise in a single year. Prices have soared since then. By the time the current fiscal year ends in mid-2006, the total may run well into seven figures. There's no magic formula for estimating future fuel costs, especially when the state budgets on a two-year rather than one-year cycle, Clem said. The best officials can do is take into account historical mileage and pricing trends. Yamhill County's task isn't quite as daunting, as it budgets one year at a time. Still, it means venturing into the realm of the unknown and unknowable. “We began working on the budget in early February, and at that time contacted several fuel vendors to ask them what their predictions would be,” said Russ Heath, fleet manager for Yamhill County's 218 vehicles. “All of them thought if we based our fuel cost projections at $2 per gallon for regular unleaded gasoline and diesel, we would be okay for another year or so.” That's $2 wholesale, not retail. And it sounded high, as the county was only paying $1.28 for diesel and $1.39 for unleaded at the time. But when the county replenished supplies earlier this month, diesel was wholesaling for $2.13 and unleaded for $2.08. And fuel prices have skyrocketed ever since.

Topics:Operations

More Operations

a GRAPHIC OF A TABLET WITH VEHICLES AND GF LOGO.
Operationsby Nichole OsinskiJune 19, 2026

How Government Fleets Are Turning Connected Vehicle Data Into Practical Decisions

Public sector fleets are using connected technology to improve visibility, but the bigger challenge is building the processes to act on the information it provides.

Read More →
A RoadFlex graphic for fleets.
Operationsby News/Media ReleaseJune 16, 2026

RoadFlex Brings Fuel Tax Compliance and Audit-Ready Reporting to Government, Public Works Fleets

New capabilities aim to help public-sector and public works fleets streamline fuel tax exemptions, reclamation, reconciliation, and audit-ready reporting.

Read More →
2026 public fleet hall of fame inductees
Eventsby Staff WriterJune 10, 2026

2026 Public Fleet Hall of Fame Inductees Honored

This year's class includes leaders whose work has helped shape the public fleet industry.

Read More →
Ad Loading...
2026 GFX Honors Ceremony
Eventsby Staff WriterJune 10, 2026

David Renschler Receives 2026 Legendary Lifetime Achievement Award

Andy Campbell of Sourcewell, which partnered with Government Fleet in presenting the award, recognized Renschler.

Read More →
Ross Jackson Jr winning public sector fleet manager of the year
Eventsby Staff WriterJune 10, 2026

Ross Jackson Jr. Named 2026 Public Sector Fleet Manager of the Year

His leadership, innovation, and commitment to excellence earned him one of the industry's top honors.

Read More →
 the GFX main stage.
Operationsby Staff WriterJune 4, 2026

Public Fleet Professionals Set to Converge as GFX Gets Underway

Known as the largest gathering of public fleet professionals in the nation, GFX will feature in-depth training sessions, emerging fleet technologies, and access to leading suppliers and service providers.

Read More →
Ad Loading...
A blueprint with tool graphics and text about technicians.
Operationsby Nichole OsinskiJune 1, 2026

The Technician Pipeline: Finding, Keeping, and Promoting Techs Within the Operation

A look at where to find good talent, what fleets are doing to incentivize those techs to stay within the fleet, and what promotion looks like for a technician within the public sector.

Read More →
a youtube graphic of fleet images.
OperationsJune 1, 2026

5 Public Fleet Stories Worth Revisiting Before GFX | The May Dispatch

Public fleet leaders are being asked to prepare for more, communicate better, and make decisions that hold up under pressure.

Read More →
White cargo van driving on a paved road with trees and greenery in the background.
SponsoredJune 1, 2026

Drive More Profit with Greater Fleet Uptime

Fleet downtime costs money. JASPER helps keep vehicles on the road with quality remanufactured components, fast nationwide delivery, and reliable solutions that boost uptime and profitability.

Read More →
Ad Loading...
fleetio coast pay
SponsoredJune 1, 2026

Are You Tracking Your Fleet's True Total Cost of Ownership?

Bobit Business Media surveyed 190 fleet professionals and found that while most fleets are tracking costs, fragmented systems and data gaps are keeping true TCO visibility out of reach. With rising pressure to control spend in an increasingly volatile environment, the gap between what fleets think they know and what the data actually shows is wider than you might expect. See how your peers are managing costs today and where the industry still has room to improve.

Read More →