FLEET MANAGEMENT FUND



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FLEET MANAGEMENT FUND Mission Statement "The mission of the Fleet Management Fund is to provide necessary vehicles and equipment as well as repairs and mainenance on these vehicles and equipment to various departments and divisions within the City organization. This function is essential in order that the City may meet the needs of its citizens." This internal service fund centralizes the expenditures for maintenance and replacement of vehicles for all participating departments. Each City department makes annual payments according to the types of vehicles leased. 217

FLEET REPLACEMENT FUND City Focus Area: All FY 07-08 Actual FY 08-09 Actual FY 09-10 Estimate Target Departmental Goal: To provide a variety of vehicles and equipment, as well as fuel, preventative maintenance and all necessary repairs to ensure that each department has the vehicular resources required to serve the needs of the citizens. To provide each department/division with an adequate number of vehicles. Total number of active vehicles and equipment 700 748 748 748 Average # of vehicles/equipment available per day 665 705 711 711 % of vehicles/equipment available per day 95% 94.2% 95% 95% To provide prompt turnaround time on vehicles and equipment. Average # of work orders completed in 24-hours 3,740 2,857 3,150 3,150 % of work orders completed in less than 24-hours 85% 59.7% 70% 70% To continually improve compliance of Preventative Maintenance program through aggressive follow-up with departments. Average # of PM s completed in scheduled time window 1,149 1,509 1,275 1,275 % of PM s completed in scheduled time window 77% 80% 85% 85% Move the City closer to a green fleet through the purchase of more fuel efficient vehicles in the coming years. Total number of alternative fueled vehicles/equipment 189 214 220 220 % of alternative fueled vehicles/equipment 27% 28.6% 29.4% 29.4% This is a select representation from the goals, objectives, and performance measures managed by the Fleet Replacement Fund 218

Fleet Replacement Fund FY 07-08 FY 08-09 FY 08-09 FY 09-10 FY 08-09 Expenditures by Section Finance 5,060,112 5,552,471 5,917,156 5,112,660 Nondepartmental 8,450 9,450 9,450 9,450 Debt Service 2,258,974 2,258,767 2,258,767 2,259,998 Total 7,327,536 7,820,688 8,185,373 7,382,108 Expenditures by Category Personnel 578,014 648,519 648,519 623,735 Benefits 172,008 187,827 187,827 178,342 Operating 1,130,961 196,116 200,866 206,516 Capital Outlay 3,253,773 2,091,450 2,447,612 1,174,800 Nondepartmental (66,194) 2,438,009 2,441,782 2,938,717 Debt Service 2,258,974 2,258,767 2,258,767 2,259,998 Total 7,327,536 7,820,688 8,185,373 7,382,108-5.6% Authorized Positions 15 15 15 14 (1) The Fleet Maintenance Fund budget realized an approximate 6% decrease over FY 2008-09 adopted levels. This decrease is primarily the result of the elimination of one (1) vacant Auto Mechanic position and the fact that the fund will not be needing to purchase any non-vehicle rolling stock for FY 2009-10. The budget provides for the replacement of 10 patrol cars, one ID van, 9 unmarked vehicles, 2 refuse packer trucks, one refuse flatbed truck, 5 pick-up trucks, 2 flatbed trucks, 2 utility trucks and one tandem axle dump truck. Across-the-board reductions for the one-time decrease in the City's contribution to deferred compensation and increased employee participation in health insurance premium costs is also included in the Fleet budget. 219

Personal Computer Replacement Fund This internal service fund provides for the scheduled replacement of desktop computers and laptop docking stations in order to fully realize the benefits of improving technology and assures that the organization's workforce has the tools available to maximize productivity. FY 07-08 FY 08-09 FY 08-09 FY 09-10 FY 08-09 PC Replacement 391,367 503,885 532,752 346,700 Reserve for Replacement - - - 100,896 Total 391,367 503,885 532,752 447,596-11.2% Projected lease payments will provide $447,596 to the replacement fund in the adopted PC Replacement Fund allowing for the purchase of all scheduled replacements and new additions to the fund. The lease payments represent 100% of desktop PC's and selected laptops, which are being incorporated into the fund. Scheduled in the FY 2009-10 adopted budget is the replacement of one IT server and replacement of computer equipment in City police patrol fleet vehicles. 220

Debt Service Fund This service/reserve fund was established in FY 2004-05 to set aside resources to meet current and future debt service requirements on general long-term debt. FY 07-09 FY 08-09 FY 08-09 FY 09-10 FY 08-09 Water & Sewer Bond Principal - 3,268,615 3,268,615 3,606,532 Water & Sewer Installment Principal - 3,022,043 3,022,043 820,000 Water & Sewer Bond Interest - 813,819 813,819 986,118 Water & Sewer Installment Interest - 3,995,498 3,995,498 791,120 Water & Sewer Fiscal Agent Fees - 74,500 74,500 65,616 Bond Principal 2,250,118 2,938,885 2,938,885 1,883,468 Installment Principal 2,155,649 2,913,848 2,913,848 3,573,072 Bond Interest 455,993 1,701,195 1,701,195 1,113,972 Installment Interest 2,563,642 3,056,780 3,056,780 4,709,898 Fiscal Agent Fees 138,915 20,311 20,311 12,955 Bond Issuing Costs 58 40,000 40,000 - Debt Service Reserve - - - 2,370,042 Financial Legal Services - 40,000 40,000 - Allocated Costs - 91,896 91,896 124,000 Total 7,564,375 21,977,390 21,977,390 20,056,793-8.7% A total of $20,056,793 will be reserved to cover current and future debt obligations associated with the Capital Improvement Program in the General Fund for FY 2009-10. The fund also reflects General Obligation and Installment Financing debt in the amount of $6,269,386 that cannot be transferred to the Cape Fear Public Utility Authority, however, offsetting revenue from the Authority will cover this obligation until it is retired. 221

Convention Center Operations Fund This operating fund was established in FY 2007-08 to set aside resources to meet annual operating expenditures associated with the construction and operation of the Convention Center. FY 07-08 FY 08-09 FY 08-09 FY 09-10 FY 08-09 Operating - 94,135 94,135 278,135 Installment Interest - - 6,181,274 2,967,011 Fiscal Agent Fees 4,500 - - 6,500 Total 4,500 94,135 6,275,409 3,251,646 3354.2% The Convention Center Operations Fund budget for FY 2009-10 includes operating costs associated with the administration and ongoing coordination and management involved in the project by City staff, as well as the debt service on the center and parking facility. 222