[FY 2025 Budget Workshop: Fleet Management]
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GABBY CAYMAN'S OFFICE, AND BRAD WITH COUNCIL MEMBER MARY ANNE HUFFMAN'S OFFICE AND YOUR VICE CHAIR.AND MY VICE CHAIR, UM, AWAY FOR A SECOND, RUSSELL, UM, WITH, UH, MY VICE CHAIR MARIO CASTILLO'S OFFICE.
AND I THINK THAT COUNCIL MEMBER CASTILLO IS ALSO HERE AND WILL BE JOINING US, AND I'M SURE OTHERS WILL JOIN AS IT GETS GOING.
AND I'D LIKE TO WELCOME, UM, A DIRECTOR OF GARY GLASSCOCK AND FINANCE DIVISION MANAGER RAY CRUZ, TO PROVIDE THE FLEET MANAGEMENT DEPARTMENT'S BUDGET PRESENTATION.
FLORA IS YOURS, DIRECTOR, THE FLEET MANAGEMENT DEPARTMENT.
UH, RAY CRUZ IS WITH ME TODAY.
RAY WORKS IN THE FINANCE DEPARTMENT, BUT ALSO SERVES AS THE CHIEF FINANCIAL OFFICER FOR FLEET MANAGEMENT.
TOGETHER WE'LL BE PRESENTING THE DEPARTMENT'S PROPOSED OPERATING BUDGET FOR FISCAL YEAR 2025.
AND I WANNA MAKE A, A, A QUICK ANNOUNCEMENT.
I'VE BEEN SUFFERING FROM ALLERGIES FOR THE LAST ONE OR TWO WEEKS, SO IF THERE'S ANYTHING I NEED TO REPLETE, PLEASE DON'T HESITATE TO STOP ME.
SO, IN TODAY'S PRESENTATION, WE'LL PROVIDE INFORMATION ON THE DEPARTMENT'S ALIGNMENT WITH THE CITY'S STRATEGIC PRIORITIES, AND WE'LL LAY OUT THE DEPARTMENT'S PLANNED EXPENSES AND REVENUES RELATIVE TO OUR EIGHT DEPARTMENT PROGRAMS. NEXT SLIDE, PLEASE.
WITH REGARD TO THE CITY'S FOREST STRATEGIC PRIORITIES, FLEET MANAGEMENT IS PRIMARILY ALIGNED WITH THE CITY'S INFRASTRUCTURE STRATEGY WE PROVIDE FOR THE FLEET ASSETS AND THE MOTOR FUEL NECESSARY FOR OPERATION OF ALL CITY DEPARTMENTS, INCLUDING PUBLIC WORKS AND THE AIRPORT.
WE DO, HOWEVER, TOUCH ON EACH OF THE OTHER PRIORITIES FOR THE GOVERNMENT THAT WORKS STRATEGY, WE STRIVE TO BE AS EFFICIENT AS POSSIBLE TO MINIMIZE CLIENT DEPARTMENT COSTS FOR THE PUBLIC SAFETY STRATEGY.
WE SERVICE ALL EMERGENCY RESPONSE AND PUBLIC HEALTH VEHICLES.
ADDITIONALLY, ALL FLEET MANAGEMENT STAFF MEMBERS ARE TIER ONE EMPLOYEES.
SO AS EMERGENCIES OCCUR, WE CONTINUE TO REPORT TO WORK AND PARTICIPATE IN THE CITY'S RESPONSE FOR THE, UH, QUALITY OF LIFE STRATEGY.
WE SUPPORT THE SOLID WASTE HEALTH AND PARKS DEPARTMENTS, AS WELL AS THE HOUSTON FORENSIC SCIENCE CENTER AND HOUSTON FIRST.
THIS TABLE PROVIDES A BUDGET, HISTORY, AND PROPOSED SPENDING PLAN FOR EACH OF OUR EIGHT PROGRAMS. IN THE TOTALS ROLE, YOU'LL SEE, SEE THAT FOR FISCAL YEAR 25, WE ARE REQUESTING A LITTLE MORE THAN $109 MILLION, WHICH IS AN ADDITIONAL 3.9 MILLION AS COMPARED TO ESTIMATES FOR THE CURRENT YEAR.
OUR EIGHT PROGRAMS ARE ARRANGED IN DESCENDING ORDER BASED ON EXPENSE VALUES.
THE THREE PROGRAMS LISTED AT THE TOP OF THE TABLE, FLEET OPERATIONS, FUEL MANAGEMENT, AND OUTSIDE SERVICES ACCOUNT FOR 88% OF OUR TOTAL BUDGET.
I'LL PROVIDE A LITTLE MORE DETAIL ON EACH OF OUR EIGHT PROGRAMS LATER IN THE PRESENTATION.
FLEET MANAGEMENT OPERATES WITH A REVOLVING FUND.
OUR REVENUES COME FROM OUR CLIENT DEPARTMENTS AND ARE ALWAYS EQUAL TO OUR EXPENSES.
FROM THIS TABLE, YOU'LL SEE THAT ONLY THE FLEET OPERATIONS, FUEL MANAGEMENT, AND FLEET SHARE PROGRAMS GENERATE REVENUE FOR THE DEPARTMENT.
THESE THREE PROGRAMS COVER THE EXPENSES OF THE FIVE OTHER FLEET PROGRAMS. NEXT SLIDE PLEASE.
MOVING TO PROGRAM DESCRIPTIONS, FLEET OPERATIONS INCLUDES THE MECHANIC, SERVICE RIDER AND SUPERVISORS.
IN EACH OF OUR 24 GARAGES, WE SERVICE MORE THAN 13,000 VEHICLES AND EQUIPMENT UNITS.
ALMOST 80% OF ALL FLEET MANAGEMENT EMPLOYEES ARE ASSIGNED TO FLEET OPERATIONS.
LABOR SPARE PARTS, ALONG WITH MATERIALS AND SUPPLIES ARE THE PRIMARY EXPENSES FOR THE PROGRAM.
THE PROPOSED BUDGET IS 5% GREATER THAN CURRENT YEAR.
THIS INCREASE IS A RESULT OF FUNDING POSITIONS THAT ARE CURRENTLY VACANT.
PERFORMANCE TARGETS SET FOR FLEET OPERATIONS INCLUDE ON-TIME PREVENTIVE MAINTENANCE AND VEHICLE AVAILABILITY.
THESE ARE TWO MEASURES AMONG MANY THAT WE HAVE FOR THE PROGRAM.
ON THE SLIDE, YOU'LL SEE THAT, UH, PM ON TIME PERFORMANCE HAS, UH, HAS SLIPPED A BIT, AND I WANTED TO POINT OUT THAT WE'VE CHANGED THE WAY WE MEASURE
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THIS, UH, PARTICULAR, UH, UH, ITEM.WE NOW COUNT EARLY PMS AS A MISS.
PREVIOUSLY THEY WERE COUNTED AS ON TIME EARLY IS CERTAINLY BETTER THAN LATE, BUT IT'S NOT AS EFFICIENT AS WE'D LIKE TO BE.
ALSO, WE EXPERIENCED SOME ISSUES IN FORECASTING OUR PM PROGRAM BECAUSE OF MILEAGE ISSUES.
OUR PMS ARE BASED ON MILES, OR IN THE CASE OF HEAVY EQUIPMENT HOURS OF OPERATION.
OUR MILES THAT WE'RE COLLECTING ARE NOT AS ACCURATE AS WE'D LIKE THEM TO BE BECAUSE THEY'RE ALL MANUALLY ENTERED AT THE FUEL PUMPS AT EACH OF OUR 67 FUELING SITES.
LOTS OF HUMAN, UH, ERROR GOES INTO THIS.
WE ARE WORKING ON A PROJECT NOW THAT, UH, WE HOPE TO BRING BEFORE YOU WITHIN THE NEXT, UH, EIGHT WEEKS THAT WILL AUTOMATE THE COLLECTION OF MILEAGE.
AND WE FEEL THIS WILL REALLY WORK TO ENHANCE OUR, UH, PROGRAMS AS WELL AS DRIVE EFFICIENCIES WITHIN SOME OF OUR CLIENT DEPARTMENTS.
UM, OUR VEHICLE AVAILABILITY NUMBER IS SLIGHTLY LOWER THAN TARGET, AND THIS IS PRIMARILY THE RESULT OF VACANCIES.
WE HAVE LOTS OF VACANCIES AMONG OUR, UH, MECHANIC RANKS.
AND, UH, AND WE'LL TALK ABOUT THAT A LITTLE LATER IN THE PRESENTATION.
THE FUEL MANAGEMENT PROGRAM IS RESPONSIBLE FOR THE INVENTORY AND DISTRIBUTION OF AUTOMOTIVE FUELS.
WE OPERATE 67 FUEL STATIONS AND OVERSEE THE CITY'S FUEL CARD PROGRAM.
WE ALSO SUPPLY FUEL FOR EMERGENCY OPERATIONS.
THE BIG EXPENSE ITEMS FOR FUEL MANAGEMENT ARE THE COST OF THE FUELS AND THE COST ASSOCIATED WITH FUEL TRANSPORTATION.
WE USE BOTH IN-HOUSE STAFF AND CONTRACTORS FOR STATION MAINTENANCE AND FUEL DELIVERY.
THE, UH, 1% EXPENSE VARIANCE THAT YOU SEE IS BASED ON DEPARTMENT OF ENERGY PROJECTIONS FOR FUEL COSTS IN THE UPCOMING YEAR, PERFORMANCE TARGETS SET FOR FUEL MANAGEMENT INCLUDE FUEL STATION COMPLIANCE WITH REGULATORY REQUIREMENTS AND STATION UPTIME.
WE'RE CURRENTLY ON PATH TO ACHIEVE THOSE TARGETS.
THE OUTSIDE SERVICES PROGRAM OVERSEES THE PROCESSING OF CONTRACTED VEHICLE AND EQUIPMENT REPAIR WORK.
WE TYPICALLY SEND OUR HEAVY COLLISION AND MECHANICAL WORK TO OUR CONTRACTORS, WHICH ALLOWS OUR GARAGES TO FOCUS ON THE QUICKER MOVING LIGHTER WORK.
THE 6% COST VARIANCE IS PRIMARILY THE RESULT OF HIGHER CONTRACTOR PRICES AND MORE WORK BEING SENT TO CONTRACTORS.
WE ARE LOOKING TO CONTRACT AT LEAST 18% OF OUR WORK BASED ON EXPENSES.
OUR PREFERENCE WOULD ACTUALLY BE TO INCREASE THIS NUMBER, BUT WE'RE LIMITED BY CONTRACTOR CAPACITY.
OUR CONTRACTORS ARE HAVING THE SAME ISSUES, FINDING MECHANICS THAT, UH, THAT WE ARE PERFORMANCE TARGETS FOR OUTSIDE SERVICES INCLUDE THE PROMPT PROCESSING OF PURCHASE ORDERS AND INVOICES, LIMITING AGE CONTRACTOR REPAIRS, AND VENDOR CONTACTS.
SO ALL OF THESE PERFORMANCE MEASURES ARE SET WITH THE OBJECTIVE OF MINIMIZING CONTRACTOR REPAIR TIME.
ONE OF THE BIG ISSUES THAT WE DEAL WITH IS THAT OUR CONTRACT RATES ARE TYPICALLY LESS THAN THE PRIVATE CUSTOMER.
AND SO AS WE SEND WORK OUT, OUR CONTRACTORS ARE FACED WITH THE SAME MECHANIC SHORTAGES THAT WE ARE.
AND WHAT WE SEE OR SUSPECT HAPPENING IN A LOT, IN A LOT OF CASES IS OUR WORK WILL GET PUT ASIDE SO THAT THE CONTRACTOR CAN ADDRESS THE HIGHER PAYING PRIVATE WORK.
SO OUR STAFF HERE, THESE MEASURES ARE ALL DEAL WITH CHASING THOSE PARTICULAR ISSUES DOWN.
UM, ANOTHER THING THAT WE'RE WORKING ON TO, UH, TO HELP ALLEVIATE THE SITUATION, UH, AND WE'RE WORKING WITH, UH, WITH SPD IS TO INCREASE THE NUMBER OF CONTRACT AWARDS, UH, THAT WE HAVE FOR EACH VEHICLE TYPE.
TRADITIONALLY, THE CITY HAS USED, SAY FOR FORD VEHICLES, ONE FORD CONTRACTOR, IT'S JUST NOT WORKING ANYMORE.
WE NEED MULTIPLE FORD CONTRACTORS TO ADDRESS THE WORK THAT WE HAVE.
THE EXECUTIVE OVERSIGHT PROGRAM INCLUDES MY OFFICE.
WE PROVIDE THE STRATEGIC PLANNING, PROJECT DEVELOPMENT AND GOAL SETTING FOR THE DEPARTMENT BASED ON CUSTOMER INPUT.
FLEET MANAGEMENT IS A SUPPORT DEPARTMENT.
WE'RE ALWAYS LOOKING FOR IMPROVEMENTS IN OPERATING EFFICIENCY THAT WE CAN PASS TO OUR CUSTOMERS IN COST SAVINGS.
THE BUDGET SET FOR EXECUTIVE OVERSIGHT INCLUDES LABOR COST AND THE INNER FUND CHARGES TO FLEET MANAGEMENT BY OTHER CITY DEPARTMENTS SUCH AS HUMAN RESOURCES, GENERAL
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SERVICES AND IT EXPENSES FOR FY 25 ARE EXPECTED TO REMAIN FLAT IN COMPARISON TO FY 24.THE PERFORMANCE MEASURES FOR THE PROGRAM INCLUDE IMPLEMENTATION OF ELECTRIC VEHICLES AND A REDUCTION IN FLEET SIZE.
UH, ADDITIONALLY RESPONSIBILITY FOR ALL DEPARTMENT PERFORMANCE MEASURES ROLL UP TO EXECUTIVE OVERSIGHT.
SO ONE THING I WANTED TO POINT OUT HERE, WE TWEAK SLIGHTLY THE, UH, PERFORMANCE MEASURE, UH, THAT, UH, THAT ADDRESSES THE ELECTRIC VEHICLES.
FORMALLY IT WAS ELECTRIC VEHICLES PURCHASED, BUT WE HAVE EXPERIENCED SOME ISSUES WITH MANUFACTURERS CANCELING OUR PURCHASE ORDERS.
AND SO, UH, UM, LAST YEAR WE WERE POSTING THESE NUMBERS BASED ON THE PURCHASE ORDERS ISSUED AND THE QUANTITY OF, OF VEHICLES ASSOCIATED WITH EACH PURCHASE ORDER.
BUT AGAIN, WE'VE EXPERIENCED, UH, MANY SITUATIONS WHERE THOSE PURCHASE ORDERS EITHER GET CANCELED OR PERHAPS THE DELIVERIES GET REDUCED BECAUSE OF, UH, SUPPLY CHAIN ISSUES, UH, THAT ARE DESCRIBED BY THE MANUFACTURERS.
SO WE'VE INSTEAD, UH, CHANGED IT TO DELIVERED.
SO WHAT WE'RE TALKING ABOUT HERE ARE, UH, ELECTRIC VEHICLES THAT ACTUALLY ROLL THROUGH THE GATE AND ARE, UH, ULTIMATELY DEPLOYED BY THE DIFFERENT, UH, CITY DEPARTMENTS.
UM, SO THIS PARTICULAR KPI IS INCLUDED BECAUSE IT IS A TARGET OF THE CLIMATE ACTION PLAN.
BUT, UH, ONE THING I WANTED TO MAKE CLEAR IS THAT, UH, THERE ARE SOME COMPETING NEEDS.
I MEAN, YOU'VE HEARD, UH, CHIEF PENA TALKING ABOUT AMBULANCES AND, UH, AND AMBULANCES ARE A BIG CONCERN OF OURS AS WELL BECAUSE WE WORK ON THEM, RIGHT? SO AS WE SPEAK NOW, WE HAVE 26 AMBULANCES IN ACTIVE SERVICE WITH MORE THAN 400,000 MILES OF OPERATION ON THEM.
WE HAVE ONE WITH MORE THAN 500,000 MILES.
THE AVERAGE USAGE FOR OUR AMBULANCE FLEET RIGHT NOW IN TERMS OF MILES IS 246,000, RIGHT? SO THAT'S CERTAINLY CONCERNING.
UH, ALONG WITH THE WHAT, UH, CHIEF PENA MENTIONED LADDER TRUCKS.
THE, UH, THE CURRENT AVERAGE AGE OF OUR LADDER TRUCKS FLEET IS 15 YEARS.
OKAY? AND THEN WE'VE ALSO GOT, UH, UH, AS YOU HEARD, CONCERNS FROM CHIEF SATTERWHITE ABOUT PATROL VEHICLES.
UM, WE, WE, WE CAN NEVER REALLY HAVE ENOUGH.
IT SEEMS LIKE, UM, THE, UH, REFUGE TRUCKS DIRECTOR WOLF FALK HAS LAID OUT A PLAN FOR IMPROVING SERVICE, AND WE ARE BEHIND IT A HUNDRED PERCENT.
BUT WITH THAT COMES A NEED FOR AT LEAST 36 MORE OF THE AUTOMATED REFUSE TRUCKS TO PROVIDE THE LEVEL OF SERVICE THAT, THAT HE'S LOOKING AT.
SO, UH, MY POINT IN ALL THIS IS THAT THERE ARE LOTS OF COMPETITING, UH, NEEDS THAT, UH, THAT WE FACE HERE.
OUR PARTS MANAGEMENT PROGRAM HANDLES THE PURCHASE INVENTORY AND DISTRIBUTION OF SPARE PARTS.
THE GROUP ALSO ADMINISTERS THE DEPARTMENT SERVICE AND SUPPLY CONTRACTS.
THE 4% BUDGET, LA VARIANCE THAT'S SHOWN IS DRIVEN BY LABOR COSTS OVER TIME IS BEING INCREASED BY 6%, AND WE ARE FUNDING A VACANT POSITION.
PERFORMANCE TARGETS SET FOR PARTS MANAGEMENT INCLUDE INVENTORY ACCURACY, INVOICE PROCESSING, AND PARTS AVAILABILITY.
THE ASSET MANAGEMENT PROGRAM HAS A WIDE RANGE OF RESPONSIBILITIES.
THESE INCLUDE OVERSIGHT OF OUR DATA COLLECTION AND REPORTING SYSTEM MAINTENANCE, FORECASTING, CAPITAL PLANNING AND PURCHASING, AND THE PROCESSING OF VEHICLE ONBOARDING, REGISTRATION AND DISPOSAL.
THE PROGRAM'S PRIMARY EXPENSES ARE LABOR AND SOFTWARE MAINTENANCE.
THE PROPOSED FY 25 BUDGET FOR THE PROGRAM IS 3% LESS THAN CURRENT YEAR DUE PRIMARILY FROM ELIMINATING A CONTINGENCY, UH, EXCUSE ME, CONTINGENCY FUND.
ASSET MANAGEMENT PERFORMANCE TARGETS ARE MEASURES OF PROMPTNESS.
THEY INCLUDE VEHICLE ONBOARDING AND DISPOSALS PROCESSED WITHIN TWO WEEKS, AND VEHICLE PROCUREMENT PACKAGES SUBMITTED TO THE PROCUREMENT GROUP WITHIN SIX WEEKS OF QUOTE.
THIS PARTICULAR, UH, GROUP WILL OVERSEE THE PROJECT THAT I MENTIONED EARLIER WHERE WE PLAN TO EMPLOY, UH, VEHICLE TELEMATICS.
THIS WILL HELP US TO AUTOMATE THE COLLECTION OF THE, UH, MILEAGE THAT I SPOKE ABOUT, AND WILL ALSO PROVIDE SOME OTHER BENEFITS, UH, RELATIVE TO EACH OF THE, UH, REQUESTS MADE BY OUR CLIENT DEPARTMENTS.
UH, DEPARTMENTS ARE LOOKING TO, UH, SCHEDULE THEIR VEHICLES OUT, PERHAPS IN A MORE INFORMED WAY, AND THIS PARTICULAR PROJECT
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WILL PROVIDE FOR THAT.UM, I DID WANNA ALSO MENTION THAT THIS PARTICULAR GROUP, WE RECENT, RECENTLY CALLED IN THE, UM, OUR MAINTENANCE SOFTWARE PROVIDER TO HAVE THEM TAKE A LOOK AT OUR SYSTEM AND TO MEASURE HOW WELL WE UTILIZE ALL THE ASPECTS OF OUR MAINTENANCE REPORTING SYSTEM.
AND SO WE CAME BACK WITH A GRADE OF ABOVE AVERAGE.
UM, OUR GOAL AND IMPLEMENTING THIS NEW TELEMATICS PROJECT IS TO GET US TO THE ELITE LEVEL.
SO WE FEEL PRETTY COMFORTABLE THAT WE'RE MOVING IN THE RIGHT DIRECTION.
UM, WE NEXT HAVE SCHEDULED OR IN PROCESS OF SCHEDULING A REVIEW OF OUR PROCESSES, UH, HOW WE PROCESS, WORK ORDERS, THAT SORT OF THING, ASSIGN LABOR SCHEDULING JUST TO GET AN OUTSIDE THIRD PARTY LOOK, UH, AT WHAT WE'RE DOING, AND ALSO ANY RECOMMENDATIONS ON WHERE WE COULD POTENTIALLY, UH, IMPROVE.
SO WE HOPE TO HAVE THAT COMPLETE WITHIN THE NEXT THREE MONTHS AND ARE LOOKING FORWARD TO, UH, TO THE RESULTS OF THAT PARTICULAR REVIEW.
THE HUMAN CAPITAL MANAGEMENT PROGRAM IS RELATIVELY NEW TO OUR DEPARTMENT.
SECURING THE AVAILABILITY OF SKILLED LABOR IS A CRITICAL PATH FOR DEPARTMENT SUCCESS.
WE, ALONG WITH THE ENTIRE AUTOMOTIVE INDUSTRY, ARE STRUGGLING WITH MECHANIC VACANCIES.
THE HUMAN CAPITAL PROGRAM OVERSEES OUR RECRUITING AND RETENTION, OUR TECHNICAL TRAINING, QUALITY ASSURANCE, AND POLICY AND PROCEDURE ADMINISTRATION.
THE PRIMARY EXPENSE OF THE HUMAN CAPITAL GROUP ARE LABOR AND CONTRACTED TRAINING.
THE 21% VARIANCE IN EXPENSES IS THE RESULT OF TWO ADDITIONAL TRAINER POSITIONS AND MORE CONTRACTED TRAINING.
WE EXPECT TO HAVE 7.2 FTES IN TRAINING EVERY BUSINESS DAY OF THE UPCOMING FISCAL YEAR.
WITH THIS PARTICULAR BUDGET, WE'LL BE TRACKING THE NUMBER OF TRAINING HOURS, RECRUITING EVENTS, VACANCIES AND INTERNS TO MEASURE THE IMPACT OF PROGRAM EFFORTS.
AND SO WE'VE REALLY BEEN TURNING ON THE TRAINING.
WE UNDERSTAND THAT, UH, UH, WITH OUR CURRENT SITUATION, WE HAVE TO GROW OUR OWN WORKFORCE AS WELL AS DO A GOOD JOB OF RECRUITING AND RETENTION IN ORDER TO, UH, TO SUSTAIN OUR OPERATION.
UM, AT PRESENT, 49 OF OUR 248 MECHANIC VA UH, POSITIONS ARE VACANT.
WE DO HAVE, HOWEVER, UH, 13 THAT ARE BEING WORKED UP NOW.
WE'RE REALLY EXCITED ABOUT THAT.
WE THINK, UH, WE HAVEN'T HAD, UH, AN INFLUX LIKE THAT IN QUITE SOME TIME.
AND SO WE'RE THINKING THAT THIS PROGRAM IS, IS, UH, IS PAYING OFF NOW.
UH, LOTS AND LOTS OF JOB FAIRS, LOTS AND LOTS OF OUTREACH TO THE, UH, DIFFERENT SCHOOL DISTRICTS, TO THE COMMUNITY COLLEGES TO MAKE SURE PEOPLE KNOW WE'RE HERE, THAT WE'RE LOOKING AND THAT, UH, WE'RE PROVIDING GOOD OPPORTUNITIES.
UH, ANOTHER PROGRAM THAT WE HAVE THAT WE'RE REALLY PROUD OF IS OUR HIGH SCHOOL INTERN, UH, PROGRAM.
WE'RE GOING INTO HIGH SCHOOLS AND, UH, LOOKING FOR STUDENTS IN THE AUTOMOTIVE, UH, UH, EDUCATION, UH, UH, CURRICULUM.
UM, WE'VE, UH, WE'VE, WE'VE HAD STUDENTS, UH, FROM HOUSTON, UH, INDEPENDENT SCHOOL DISTRICT AS WELL AS A LEAF AND ALDE, UH, SINCE FY 2011 OF OUR 24 INTERNS HAVE STUCK, AND, UH, SIX OF THOSE HAVE BEEN PROMOTED.
SO IT'S BEEN A, A VERY EFFECTIVE RECRUITING TOOL FOR US.
AND, UH, AND IT ALSO, AGAIN, GETS, GETS THE COMMUNITY OF WHERE THAT, THAT WE'RE HERE AND, UH, AND THAT WE'RE AVAILABLE.
AND, UH, AND FOR THESE STUDENTS, WHAT IT DOES IS PROVIDE THEM WITH AN OPPORTUNITY TO LEARN A, A, A GOOD PAYING TRADE WITHOUT INCURRING ANY STUDENT DEBT.
AND SO, UH, SO WE THINK WE'RE MAKING SOME DIFFERENCE IN THE COMMUNITIES AS WELL.
THE FLEET SHARE PROGRAM MANAGES THE CITY'S MOTOR POOL.
POOL VEHICLES ARE AVAILABLE TO ALL CITY DEPARTMENTS WITH A RESERVATION SYSTEM.
FLEET SHARE EXPENSES INCLUDE LABOR VEHICLE MAINTENANCE AND RESERVATION SOFTWARE.
THE 18% VARIANCE IS A RESULT OF AN INCREASE IN THE NUMBER OF POOL VEHICLES WITH MORE VEHICLES COME, ADDITIONAL COST FOR MAINTENANCE AND RESERVATION SOFTWARE, ALONG WITH HIGHER FEES FOR PARKING AND TOLL TAGS.
SO USAGE HAS REALLY SHOT UP THIS YEAR.
WE'RE ACTIVELY ENCOURAGING DEPARTMENTS TO USE FLEET SHARE INSTEAD OF PURCHASING VEHICLES.
UH, ANYTIME WE CAN GET A SHARED VEHICLE USE, WE BECOME MORE EFFICIENT.
UM, WHEN WE LOOK AT, UH, ADMINISTRATIVE CARS THROUGHOUT THE CITY, WE SEE LOW ANNUAL MILEAGE
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RATES, UM, ANYWHERE FROM SIX TO 10,000 MILES.UM, AND SO WHAT WE'RE TRYING TO DO IS MOVE SOME OF THOSE SLOWER MOVING VEHICLES, THOSE USES OR APPLICATIONS INTO FLEET SHARE SO THAT WE CAN GET BETTER VALUE, UH, FROM THE ASSETS THAT WE'RE PAYING FOR.
SO, UH, WE'VE MOVED, UH, AGAIN, FROM, FROM 5,000 HOURS AND OF COURSE, THAT 5,000 HOURS IS COMING OUT OF THE, THE PANDEMIC, FEWER PEOPLE AT WORK.
BUT, UH, BUT WE'VE INCREASED TO 42,000 AND WE'RE FEELING PRETTY STRONGLY AT THIS POINT THAT WE'LL REACH THE, UH, 50,000 MARK BEFORE THE END OF THE FISCAL YEAR.
WE JUST ADDED NEW PICKUPS TO THE POOL.
THEY'VE, THEY'VE BEEN, UH, VERY WELL RECEIVED, LOTS OF USAGE, AND SO WE'RE REALLY, UH, REACHING OUT TO ALL THE DEPARTMENTS TO FIND OUT EXACTLY WHAT THEY NEED, WHAT THEY'RE LOOKING FOR, AND THEN TRYING TO PROVIDE THAT SO THAT, AGAIN, WE CAN BECOME, UH, MORE EFFICIENT.
HERE'S A BREAKDOWN OF OUR EXPENSES BY CATEGORY.
THE PIE GRAPH ON THE LEFT SHOWS THAT ROUGHLY 35% OF OUR PROPOSED BUDGET WILL GO TOWARD LABOR, WHILE 65% WILL BE SPENT ON SERVICES AND SUPPLIES.
THE PIE GRAPH ON THE RIGHT IS A BREAKDOWN OF OUR SERVICE AND SUPPLY EXPENSES.
WE'RE ALLOCATING APPROXIMATELY $30 MILLION TO FUEL $22 MILLION FOR PARTS AND TIRES, AND 11 MILLION FOR OUTSIDE REPAIR SERVICES.
THE BALANCE WILL COVER OFFICE SUPPLIES, SOFTWARE, EMPLOYEE UNIFORMS IN OUR RESTRICTED ACCOUNTS, AND THOSE THAT RESTRICTED ACCOUNTS ARE LAID OUT IN THE TABLE AT THE BOTTOM LEFT OF THE SLIDE.
HERE'S A BAR GRAPH DETAILING OUR REVENUE SOURCES.
GENERAL FUND DEPARTMENTS PROVIDE APPROXIMATELY 76% OF OUR REVENUE, WHILE 21% COMES FROM THE ENTERPRISE DEPARTMENTS, PRIMARILY PUBLIC WORKS AND THE AIRPORT SYSTEM.
THE REMAINING 3% IN REVENUE INCLUDES GRANTS AND SPECIAL REVENUE FUNDS.
AS PREVIOUSLY STATED, THE FLEET MANAGEMENT DEPARTMENT OPERATES WITH A REVOLVING FUND.
OUR REVENUES ARE ALWAYS EQUAL TO OUR EXPENSES.
AND WITH THAT, I'LL TAKE ANY QUESTIONS THAT YOU MAY HAVE.
THANK YOU, DIRECTOR, VICE MAYOR, PRO TEM, PAT.
UM, DIRECTOR, THANK YOU FOR THE PRESENTATION.
AS YOU KNOW, A COUPLE OF YEARS AGO, UM, THE FIRE DEPARTMENT STARTED LEASING CERTAIN VEHICLES INSTEAD OF PURCHASING THEM, AND THERE WERE SOME ISSUES WITH THAT PROGRAM, BUT, UM, HAVE WE LOOKED AT LEASING ANY OTHER VEHICLES, UM, FOR THIS UPCOMING FISCAL YEAR? SO, SO THERE'S, THERE'S TWO DIFFERENT TYPE OF LEASES THAT WE, THAT WE, UH, LOOK AT HERE.
SO THERE'S A SHORT TERM, WHICH, UH, THE COUNCIL JUST VOTED ON, UH, INCREASING THE FUNDING FOR THAT PARTICULAR AGREEMENT.
UH, AND THEN THERE'S THE LONG TERM THAT WAS UTILIZED BY THE FIRE DEPARTMENT.
UM, IN, IN OUR ANALYSIS, WE CANNOT MAKE THAT WORK FINANCIALLY.
AND ONE OF THE BIG REASONS IS THAT THE MARKET HAS CHANGED AND HAS CHANGED CONSIDERABLY.
SO AT THE TIME THE FIRE DEPARTMENT, UH, UH, ENTERED INTO THAT AGREEMENT, THE MARKET FOR USED VEHICLES HAD SHOT WAY UP.
AND THE, THE PRICES FOR NEW VEHICLES HAD STAYED FAIRLY CONS PRE PANDEMIC.
UM, AND SO THE IDEA WAS AS YOU GET RID OF THAT VEHICLE AFTER A YEAR'S USE, YOU COULD SELL IT AND, AND, UH, AND RECEIVE A PURCHASE PRICE THAT WOULD COVER YOUR EXPENSES FOR THE LEASE.
NOW, THERE WERE SOME ISSUES THAT ULTIMATELY, UH, UH, HAPPENED THERE, THAT REPLACEMENT VEHICLES IN, IN EVERY CASE WERE NOT AVAILABLE.
AND, UH, AND THERE, THERE WERE SOME, SOME, SOME PROBLEMS, I THINK ALSO WITH THE RESALE VALUE ON SOME OF THOSE VEHICLES.
BUT, UH, ULTIMATELY SINCE THEN, UH, AS WE ALL KNOW, UH, NEW CAR PRICES HAVE SHOT WAY UP.
AND SO THAT'S CHANGED THAT BALANCE NOW.
AND, UH, THE IMPORTANT THING TO THINK ABOUT WHEN, WHEN YOU LOOK AT CITY VEHICLES IS THE AVERAGE LIFE IS SOMEWHERE IN THE NEIGHBORHOOD OF 10 TO 12 YEARS.
AND SO WE DO A STRAIGHT LINE DEPRECIATION THE FIRST FIVE YEARS, AND THEN THE MAINTENANCE COSTS FOR THE REMAINING TIME REALLY AREN'T THAT HIGH.
I MEAN, YOU'RE TALKING ON AVERAGE MAYBE FOR YOUR AVERAGE SEDAN, UH, MAYBE FOUR TO 500 A YEAR FOR PREVENTIVE MAINTENANCE WORK.
SO IF YOU CONSIDER A LEASE VEHICLE OVER THAT SAME 10 YEAR PERIOD, YOU'RE PAYING EVERY YEAR, RIGHT? SO YOU DON'T GET THAT BREAK AFTER THE DEPRECIATION.
AND THAT'S WHERE WE CAN'T MAKE IT WORK DOLLAR WISE.
NOW, WE HAVE HAD SOME CONVERSATIONS WITH SOME OF OUR CLIENT DEPARTMENTS WHO THINK THAT GO USING THAT
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PARTICULAR PROGRAM COULD BE A RECRUITING AND RETENTION, UH, TOOL.AND SO, SO, UH, UM, THAT'S BEING CONSIDERED AS WELL.
BUT, UH, WE HAVE NOT ENTERED INTO ANY LEASE AGREEMENTS SIMILAR TO THE, TO THE FIRE, UH, UH, SINCE THEN.
AND, AND SO WE'RE STILL KINDA LOOKING AT IT AS A PILOT PROJECT.
WE'RE NOT RULING IT OUT, WE'RE JUST SAYING AT PRESENT, WE JUST CAN'T MAKE THE NUMBERS WORK.
I'LL, I'LL TAKE THAT BUDGET AMENDMENT OFF OF MY LIST THEN, SINCE I DO THAT ONE EVERY SINGLE TIME.
UM, BUT IF THAT DOES CHANGE BACK IN THE DIRECTION OF IT SAVING MONEY, IT'S DEFINITELY SOMETHING THAT I WOULD LIKE TO LOOK INTO FURTHER.
'CAUSE I KNOW THAT, YOU KNOW, ALL OF OUR VEHICLES ARE SO OLD AT THIS POINT, OR A LOT OF THEM ARE THAT, THAT GETTING THAT NEW CAR EVERY YEAR, EVERY COUPLE OF YEARS WOULD REALLY HELP IN SOME DEPARTMENTS.
SO IF THOSE NUMBERS CHANGE BACK, IT WOULD BE HELPFUL TO LOOK AT THAT AGAIN.
AND, AND ONE THING TO, UH, IMPORTANT THING TO POINT OUT THERE IS, IS YOU'RE RIGHT, THERE ARE, WE DO HAVE A LOT OF OLD VEHICLES, AND IN SOME CASES IT'S REALLY A CONCERN, LIKE IN THE, THE EMERGENCY, UH, RESPONSE DEPARTMENTS.
IN OTHER CASES, THE REASON THOSE VEHICLES ARE OLD IS BECAUSE THEY HAVEN'T ACHIEVED THE THRESHOLDS FOR REPLACEMENT, RIGHT? SO THEY, THEY'RE JUST, THEY DON'T HAVE A WHOLE LOT OF MILES ON THEM, SO IT REALLY DOESN'T MAKE SENSE, UH, FINANCIALLY TO REPLACE 'EM.
BUT THEY SIT OUT IN THE, UH, UH, OPEN, GET UV DAMAGE AND THEY START LOOKING A LITTLE, A LITTLE ROUGH, BUT, UH, BUT FUNCTIONALLY THEY, THEY'RE STILL FINE.
AND, UH, GOOD AFTERNOON DIRECTOR.
UH, JUST A FEW QUESTIONS FOR YOU.
SO IN REGARDS TO SLIDE EIGHT, OUTSIDE SERVICES, UM, UNDER PERFORMANCE, THE SECOND ONE SAYS, PERCENTAGE OF CITY VEHICLES AT EXTERNAL VENDOR REPAIR FACILITY OVER EIGHT MONTHS.
DO I UNDERSTAND THAT TO MEAN THAT FOR FY 24 FI 5% OF ALL OF THE CITY'S VEHICLES HAVE BEEN WITH A, WITH, WITH AN EXTERNAL VENDOR FOR AT LEAST EIGHT MONTHS? NO, SIR.
IT'S, IT'S 5% OF THE VEHICLES THAT ARE REQUIRING REPAIR.
AND TYPICALLY WE, THOSE WILL BE, UM, THE, THE, THE MOST COMMON OCCURRENCE ARE, UH, FIRE TRUCKS THAT HAVE BEEN DAMAGED IN ACCIDENTS.
SO IN MOST CASES, THOSE ARE CUSTOM BUILT VEHICLES AND THE PARTS ACTUALLY HAVE TO BE MANUFACTURED.
AND SO IT'S REALLY NOT A SITUATION WHERE THE WORK IS TAKING EIGHT MONTHS.
IT'S, UH, MORE THAN EIGHT MONTHS TO RECEIVE ALL THE PARTS NECESSARY TO COMPLETE THE REPAIRS.
NOW YOU'VE GIVEN US SOME INFORMATION ABOUT FUEL COSTS, AND I FORGET WHAT SLIDE IT'S ON IT, SLIDE SEVEN, I THINK.
AND THIS ENCOMPASSES UNLEADED GASOLINE, DIESEL, AND JET FUEL.
UH, I DID NOT SEE ANY COST ASSOCIATED WITH THE, THE ELECTRIC VEHICLES KEEPING THEM CHARGED UP AND READY TO GO.
HOW, HOW DO YOU VALUE WHAT THAT COSTS? SO THAT COST IS HELD BY THE FINANCE DEPARTMENT, I BELIEVE, UNDER ENERGY MANAGEMENT, BUT WE ARE TRACKING THAT.
UM, AND, UH, WHAT, UH, WHAT WE'RE SEEING, UM, RIGHT NOW, NOW I'VE GOT IT HERE SOMEWHERE.
THE ELECTRIC VEHICLES ARE COSTING US A LITTLE OVER TWO AND A HALF CENTS PER MILE FOR THE ELECTRICITY THAT'S NEEDED TO REFUEL THEM.
IF THAT, IF THAT ANSWERS YOUR QUESTION.
AND WHAT'S, WHAT'S THE COST FOR THE GAS VEHICLES, IF YOU KNOW? SO THE GAS VEHICLES ARE, WE'VE BUDGETED, WHAT WAS IT, 2 78, SORRY, LET IT, 2 74 FOR UNLEADED A GALLON TWO 70 AND DIESEL.
DIESEL TWO DIESEL HAS BEEN BUDGETED AT TWO 90, I'M SORRY, 2 92 90 PER GALLON.
AND I WANNA ASK YOU ABOUT THE JET FUEL, UM,
SO IN REGARDS TO SLIDE 12, THAT'S A WHOLE LOT OF TRAINING HOURS THERE, 15,000, HOW MANY EMPLOYEES DOES THAT ENCOMPASS ALL THAT TRAINING? WE ARE AT WHAT, 3 89 I BELIEVE TOTAL.
BUT, BUT OUR FOCUS IS REALLY ON OUR MECHANIC GROUP.
SO, SO THERE WILL BE SOME ADMINISTRATIVE TRAINING THAT'S PROVIDED TO ALL DEPARTMENT EMPLOYEES, BUT WHAT WE'RE REALLY LOOKING TO PUSH IS THE TECHNICAL TRAINING TO OUR MECHANICS.
I'LL GO BACK IN THE QUEUE IF, OKAY.
UM, SO YOU'VE, YOU MENTIONED IT'S DIFFICULT TO HIRE AND KEEP MECHANICS BECAUSE THEY MAKE MORE IN THE PRIVATE SECTOR.
IS THAT RIGHT? AND EVEN THE PRIVATE SECTOR,
[00:30:01]
I THINK YOU SAID THEY HAVE TROUBLE FINDING MECHANICS? IT'S, IT'S, IT'S A, IT'S A, UH, UH, DEMAND ISSUE.THERE'S JUST NOT ENOUGH MECHANICS TO GO AROUND.
AND, UH, UM, WE ACTUALLY INCREASE THE TOP RATE FOR MECHANICS HOPING THAT THAT WOULD, UH, UH, IMPROVE OUR ATTRACTIVENESS.
AND, UH, AND IT DID A LITTLE, UM, BUT THERE'S JUST, UH, UH, THERE'S JUST NOT ENOUGH PEOPLE IN THE MARKET ANYMORE TO SATISFY ALL THE NEED.
CAN JUST GENERALLY, HOW DO, HOW DO THE SALARIES WE PAY COMPARE WITH THE PRIVATE SECTOR? UM, WE'RE PAYING, I THINK OUR, OUR TOP RATE IS, I WANNA SAY, AND, AND I'M GOING OFF OF MEMORY HERE, I WANNA SAY A LITTLE MORE THAN $27 AN HOUR.
AND, UH, IT'S, UH, IT'S, IT'S FAIRLY IN LINE WITH PRIVATE, BUT, UH, ONE THING THAT PRIVATE DOES THAT, THAT WE DON'T DO IS WORK ON WHAT I'LL TERM A, A FLAT RATE SYSTEM.
SO IT'S BASED ON HOW MANY HOURS, UH, ARE ASSIGNED TO A PARTICULAR JOB.
SO LET'S SAY YOU'RE IN, AND I'M JUST, UH, ARBITRARILY ARBITRARY EXAMPLE, LET'S SAY YOU WANT TO REPLACE A WINDSHIELD WIPER, AND GENERAL MOTOR SAYS YOU CAN DO THAT IN TWO HOURS, THAT PARTICULAR JOB.
IF A MECHANIC HAPPENS TO DO IT IN ONE HOUR, THEY STILL GET PAID TWO HOURS.
SO THAT'S WHERE THE, THE, UH, UH, COMPETITIVENESS WITH THE, WITH THE DEALERS COME IN.
UM, BUT THERE ARE PLENTY OF SHOPS AROUND TOWN THAT, UH, THAT PAY ON AN HOURLY RATE JUST LIKE WE DO.
UM, AND, UH, BUT, BUT WE'RE ALL IN THE SAME SITUATION, STRUGGLING TO FIND, UH, PEOPLE.
THANK YOU, UH, BRAD WITH COUNCIL MEMBER HUFFMAN'S OFFICE.
UH, DO YOU KNOW THE DIFFERENCE IN MAINTENANCE COST FOR THE LIFE OF A FUEL VEHICLE VERSUS A, UH, A HYBRID VEHICLE VERSUS AN ELECTRIC VEHICLE? IS IT THE, ABOUT THE SAME? IS THERE ANY DIFFERENCE? SO WE, WE DON'T HAVE ENOUGH DATA YET ON THE ELECTRIC AND HYBRID VEHICLE TO REALLY, TO REALLY PROVIDE YOU WITH, WITH A CONFIDENT, UH, RESPONSE THERE.
UH, WE WILL SAY INTUITIVELY THAT THERE ARE A LOT FEWER MOVING PARTS ON AN ELECTRIC VEHICLE.
SO, SO INTUITIVELY YOU WOULD THINK THAT THERE'S LONG TERM, THERE'S GOING TO BE MUCH LESS IN THE WAY OF MAINTENANCE.
NOW THE ONE WILD CARD THERE IS THE BATTERY.
SO THOSE BATTERIES ARE EXTREMELY EXPENSIVE.
AND SHOULD THAT BATTERY FAIL BEFORE THE, UH, END OF LIFE FOR THE VEHICLE, THEN, UH, ULTIMATELY THE ELECTRIC VEHICLE WOULD BE MORE EXPENSIVE.
NOW, UH, SOME OF THE MANUFACTURERS NOW ARE WARRANTY THE LIFE OF THE BATTERY, UH, THROUGH THE VEHICLE'S LIFE.
AND SO, SO WE'RE LOOKING AT THAT.
BUT THESE ARE STILL UNKNOWNS BECAUSE THE, THE, UH, ELECTRIC VEHICLES JUST HAVEN'T BEEN IN SERVICE LONG ENOUGH TO REALLY PROVIDE DATA FOR, UH, FOR, AGAIN, FOR, FOR, UH, A NUMBER THAT WE WOULD BE COMFORTABLE WITH.
AND YOU, FLEET MANAGEMENT HANDLES ALL THE VEHICLES NOW, RIGHT? YES, MA'AM.
THERE'S NO DEPARTMENT THAT HAS THEIR OWN VEHICLE THING, MA'AM.
AND, UM, TALK TO ME A LITTLE BIT ABOUT HOW YOU WORK WITH PROCUREMENT ON, ON PURCHASING VEHICLES.
SO WE'VE ACTUALLY MADE, UH, UH, QUITE A FEW CHANGES OVER THE LAST YEAR.
UH, WE WORKED WITH THE, UH, UH, CHIEF PROCUREMENT OFFICER, JED, AND, UH, AND KIND OF STREAMLINED THE PROCESS.
SO, UH, WHAT WE'LL DO IS TALK TO THE DEPARTMENTS, OUR CLIENT DEPARTMENTS.
AND SO THE PROCESS STARTS OFF WITH A REQUISITION AND, UH, AND WE WILL TAKE THAT REQUISITION AND THEN, UH, SOLICIT QUOTES FOR IT.
AND THEN WE PROCESS THE PACKAGE UP TO THE POINT OF THE RCA.
AT THAT POINT, WE, UH, UH, TURN IT OVER TO SPD, WHO WILL TAKE A LOOK AT ALL OF OUR PACKAGE TO ENSURE EVERYTHING'S CORRECT.
THEY'LL COMPLETE THE RCA AND THEN PRESENT IT ON THE, UH, COUNCIL AGENDA.
SO THE BULK OF IT'S REALLY HANDLED IN FLEET.
AND, UM, HOW MANY TAKE HOME VEHICLES DO, DO WE HAVE? HOW, WHAT'S OUR TOTAL NUMBER OF VEHICLES AND HOW MANY ARE TAKE HOME? SO THERE, SO THERE, WE'VE GOT A LITTLE MORE THAN 13,000 VEHICLES, BUT THAT ALSO INCLUDES HEAVY EQUIPMENT IN, AT THE AIR AIRPORT AIRPORT, POOLING EVERYTHING.
SO WE WERE ACTUALLY JUST TALKING ABOUT THAT RIGHT BEFORE WE CAME OVER.
SO WE ARE AWARE, AND WE, I'M SAYING, UH, FLEET, WE ARE AWARE OF 275 TAKE HOME VEHICLES, BUT THOSE ARE PRIMARILY, UH, BETWEEN THREE DEPARTMENTS.
AND THAT INCLUDES, AND ALMOST ALL OF
[00:35:01]
'EM ARE IN, IN PUBLIC WORKS.UH, A FEW WITHIN FLEET AND A FEW WITHIN DEPARTMENT AND NEIGHBORHOODS.
THERE ARE TWO OTHER DEPARTMENTS THAT DON'T PROVIDE US WITH THAT INFORMATION FOR SECURITY REASONS.
THOSE INCLUDE THE, UH, POLICE DEPARTMENT AND FIRE DEPARTMENT.
WE KNOW THEY'VE GOT QUITE A FEW, UH, AND WE SUPPORT THEM IN, IN, IN ALL OF THAT.
UH, BUT WE ARE NOT AWARE OF THEIR EXACT NUMBERS.
AND YOU MENTIONED ABOUT THE AMBULANCES WITH THE REALLY HIGH, UM, MILEAGES.
WHAT, WHAT IS THE NORMAL, WHAT, WHAT'S THE LIFE OF AN AMBULANCE? HOW MANY MILES? WE, WE'VE SET A, A USEFUL LIFE BENCHMARK OF FIVE YEARS AND 150,000 MILES.
AND WE'VE REACHED OUT, UH, UM, TO, TO OTHER CITIES AND, UH, AND WE THINK WE'RE PRETTY MUCH IN THE BALLPARK THERE.
UM, SO, SO, UH, AND WE HAVE 26 THAT ARE IN USE NOW WITH OVER 400,000.
AND ONE WITH OVER 500,000 MM-HMM
HOW MANY TOTAL AMBULANCES DO WE HAVE? UH, AT LAST COUNT WE'VE GOT ONE 60, ALTHOUGH WE ARE, UH, MOVING SOME OUT THAT HAVE, UH, HAVE, UH, ACTUALLY THEY'VE, THEY'VE BEEN WRECKED.
WE'VE BEEN USING THEM FOR PARTS.
AND SO WE'VE, WE'VE GOT 'EM DOWN TO LOOKING LIKE OIL CARCASSES AND SO IT'S TIME FOR THEM TO GO.
WELL, I DON'T SEE ANY OTHER COUNCIL MEMBER OR STAFF IN THE QUEUE.
UM, THANK YOU, DIRECTOR GLASCOCK RAY, GREAT TO SEE YOU.
THANK YOU FOR ALL THE GOOD WORK THAT THE FLEET MANAGEMENT DEPARTMENT DOES BEHIND THE SCENES.
JUST MAKING THIS CITY ROLL THROUGH ALL.
NO, DID YOU GET MY LITTLE THING? UM, UM, REALLY APPRECIATE YOUR HARD WORK AND GOOD WORK ON THE BUDGET.
AND WE DO HAVE A COUPLE PUBLIC SPEAKERS IF Y'ALL WANNA STEP BACK AND WE'LL LET THE PUBLIC SPEAKERS COME.
UM, I DO SEE MONICA OROZCO, THANK YOU VERY MUCH FOR COMING.
UM, YES, I'M MONICA ROCO, AS YOU SAID, I KNOW SOME OF YOU, UM, THIS SUMMER I'M A STUDENT LEADER WITH ENVIRONMENT TEXAS, AND I'LL BE REPRESENTING THEM TODAY.
I'M HERE TO DISCUSS THE, THE TRANSITION TO EV VEHICLES, AS YOU ASKED ABOUT EARLIER, BECAUSE HOUSTON'S CLIMATE ACTION PLAN SET A GOAL TO CONVERT THE ENTIRE NON-EMERGENCY LIGHT DUTY MUNICIPAL FLEET TO 100% ELECTRIC VEHICLES BY 2030.
BUT ACCORDING TO FLEET MANAGEMENT, THIS CITY CURRENTLY OWNS JUST 137 BATTERY ELECTRIC VEHICLES OUT OF A FLEET THAT RANGES BETWEEN 30 504,000.
SO FOUR YEARS INTO THE 10 YEAR PLAN, WE'RE AT LESS THAN 4% OF OUR GOAL.
DIRECTOR GLASCOCK TOLD THE HOUSTON CHRONICLE THAT IT WILL BE VERY DIFFICULT TO HIT THE 2030 GOAL, AND THIS PROPOSED BUDGET MAKES IT EVEN HARDER.
I KNOW THAT YOU GUYS, MANY OF YOU ARE COMMITTED TO, UM, BOLD CLIMATE ACTION FOR THE CITY.
SO THIS IS A NICE REMINDER TO KIND OF TAKE BACK THAT COMMITMENT, UM, AND PURSUE THIS, THIS TRANSITION BECAUSE AS, AS MENTIONED AND AS ASKED ABOUT, IT'S A MISSED OPPORTUNITY TO SAVE MONEY ON FUEL WHILE CUTTING AIR POLLUTION AS WELL.
IF WE, IF WE HELP MAKE THAT TRANSITION.
BUYING, FUELING AND MAINTAINING GAS AND DIESEL FUELED VEHICLE FLEET VEHICLES IS A BIG EXPENSE FOR THE CITY AS WE SAW, ESPECIALLY WHEN GAS PRICES ARE HIGH.
SHIFTING TO ELECTRIC VEHICLES CAN SAVE MONEY FOR TAXPAYERS BY SIGNIFICANTLY REDUCING FUEL AND MAINTENANCE COSTS, WHILE ALSO IMPROVING AIR QUALITY, WHICH OBVIOUSLY IS A LONG-TERM FINANCIAL BENEFIT TO THE CITY.
LAST YEAR ENVIRONMENT, TEXAS RELEASED A REPORT CALLED ELECTRIC VEHICLES SAVE MONEY FOR GOVERNMENT FLEETS THAT FOUND HOUSTON AND OTHER CITIES IN TEXAS.
AND THE STATE GOVERNMENT COULD SAVE $863 MILLION IF THEY COLLECTIVELY TRANSITION THEIR LIGHT DUTY FLEETS TO ELECTRIC WHEN THEY RETIRE OLDER VEHICLES.
WHILE THIS TRANSITION WOULD REQUIRE SIGNIFICANT UPFRONT INVESTMENT, AS WELL AS WHAT WAS MENTIONED WITH THE HIGH COST OF BATTERIES, HISTORIC FUNDING AVAILABLE FROM THE INFLATION REDUCTION ACT, INCLUDING SAVINGS OF UP TO $7,500 PER LIGHT DUTY VEHICLE, OR $40,000 PER HEAVY DUTY VEHICLE FOR PURCHASES OF EVS BY GOVERNMENT OR PRIVATE FLEETS AND STATE INCENTIVES SUCH AS THE TEXAS COMMISSION ON ENVIRONMENTAL QUALITIES CLEAN FLEET PROGRAM CAN HELP PAY FOR IT.
I URGE THE COUNCIL TO DEVELOP A BUDGET PLAN TO ENSURE THAT WE CAN HIT THE A HUNDRED PERCENT GOAL BY 2030, STARTING WITH A BIG INCREASE IN EV'S PURCHASE IN FY 25.
YOU HAD A LOT OF GOOD FACTS IN THERE AND, UM, STATISTICS.
IF YOU WOULDN'T MIND EMAILING THAT TO ME, THAT'D BE GREAT.
NEXT WE WILL HAVE HERMAN IVANEZ.
[00:40:01]
HERMAN IVANEZ, I'M WITH THE HOUSTON CLIMATE MOVEMENT.I'M THE CHAIR FOR GOVERNMENTAL AFFAIRS.
UM, DITTO WITH EVERYTHING THAT SHE SAID, BUT, UH, I'M CONCERNED ABOUT, UM, SOMETHING THAT THE DIRECTOR SAID.
ESSENTIALLY, WE'VE LOST MONEY THAT WAS BUDGETED IN SINCE 2021, WHERE HE CAME ON TO PURCHASE THOSE VEHICLES, UM, BECAUSE THEY WEREN'T AVAILABLE.
SO I THINK THERE'S A RECONCILIATION FROM PRIOR BUDGETS THAT SHOULD BE, UM, ALLOTTED TO, UM, THE DIRECTOR TO MAKE THOSE THOSE PURCHASES AND TRY TO CATCH UP.
UH, LIKE, LIKE THE PREVIOUS, UM, UH, SPEAKER SAID, YOU KNOW, WE'RE TRY TRYING TO MAKE THAT GOAL AND IT'S IMPORTANT.
UM, WE CAN SEE THE LAST TWO WEEKS, HOW, HOW IMPORTANT.
IT'S, THAT'S ALL I HAVE TO SAY.
THANK YOU VERY MUCH AND THANK YOU FOR ALL YOUR CONTRIBUTIONS TO CLIMATE ACTION.
WE'VE ALSO, UM, SUBMITTED THE QUESTIONS THAT YOU SUBMITTED ON, ON SHAREPOINT TO THE DEPARTMENT, SO GETTING ANSWERS ON THOSE.
OKAY GUYS, I THINK WE HAVE COME TO AN END TO THE BUDGET WORKSHOPS.
I SEE NOBODY ELSE IN THE QUEUE, ANY OTHER PUBLIC SPEAKERS OUT THERE ONLINE.
REALLY WANNA THANK MY STAFF, JORDAN FRAZIER AND ESPECIALLY YES.
AND RUSSELL ATHERTON MANN, HE HAS REALLY WEIGHED IN MY VICE CHAIR.