By Jack Chavez

(May 27, 2021) The Worcester County Commissioners heard a presentation on May 18 to enter into a leasing agreement with Enterprise Fleet Management that would upgrade the county Sheriff’s Office’s vehicle fleet and save the county more than $2.2 million over 10 years.

More than one in five 5 light- and medium-duty vehicles in the department’s 85-vehicle fleet are a least 10 years old and nearly half are at least six years old, according to a presentation from Enterprise Fleet consultant Bailey Elliott.

“We want to lower your costs while avoiding a loss of productivity,” Elliott said.

Currently, the county owns every vehicle in the department’s fleet.

By lowering the acquisition rate from nine years to five years, Elliott estimated that the county could reduce the monthly maintenance cost from $275 to $73 per vehicle, an annual savings of $205,000.

The open-ended lease suggested by Enterprise — a lease defined by a payment at the end of the term based on the difference between the residual and fair market value of the fleet — would focus on replacing 18 of the oldest vehicles first, which range in age from 10 to more than 20 years old.

It would take nine years to cycle out the current fleet with newer vehicles at the current acquisition rate, or the rate at which the county replaces an older vehicle with a newer one, Elliott said.

Commissioner Chip Bertino asked whether the contract could become a burden on the county if the economy took a nosedive.

“Depending on the economy, we need the flexibility to move things around, to defer things,” Bertino said. “That’s just reality. Is this lease something that would provide us with that flexibility?

Elliott said the contract, which the county could leave at any time, would do so.

“The overall word to describe our program is flexibility,” Elliott said.

The cost analysis presented by Elliott included a fuel rate formula that indicates 20 percent of maintenance cost would go to fueling the fleet. Bertino and Commissioner Ted Elder both questioned the number, considering the constant fluctuation of fuel prices, and asked Elliott to clarify.

“We use a combination of price per gallon, annual miles and miles per gallon, per vehicle,” Elliott answered.

Elder replied that he didn’t think the county administration had analyzed the formula in comparison to the fuel that the county has actually used, which County Administrator Harold Higgins confirmed.

Elliott explained that the fuel numbers presented to the commissioners came from information provided to Enterprise by Sheriff’s Office Lieutenant Mark Titanski.

“We have a (budget) line item of fuel costs for these vehicles and I’m curious as to how (your numbers) match up with them,” Elder said.

“If there’s any discrepancy … I’m always happy to redo this with new information,” Elliott said.

Making a switch to more modern vehicles would also significantly reduce the amount of money that is spent on gas, as more fuel-efficient options to the county today.

The commissioners did not make a decision at the end of the presentation.

“I’m sure we’ll be in touch with you one way or the other,” Commissioner President Joe Mitrecic said.

Enterprise has several similar fleet management partnerships with government entities around Maryland, including sheriff’s offices in Talbot, Dorchester and Wicomico County.