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HomeMy WebLinkAboutCouncil Packet - 12/14/2020 Council Work Session December 14, 2020 Time indicated below Meeting will be held virtually via Zoom. Visit httpsJ/cityofwaterlooiowa.com/register and register to receive the Zoom meeting information. Please contact the City Clerk's Office at 319-291-4323 with questions. Roll Call. Approval of Agenda, as proposed or amended. 4.40 p.m. Discussion of leasing vehicles for the Police Department. Submitted By: Chief Joel F. Fitzgerald, Sr., Ph.D. ADJOURNMENT Kelley Felchle City Clerk CITY OF WATERLOO Council Communication Discussion of leasing vehicles for the Police Department. City Council Meeting: 12/14/2020 Prepared: 12/10/2020 REVIEWERS: Department Reviewer Action Date Police Department Felchle, Kelley Approved 12/9/2020 - 3:31 PM ATTACHMENTS: Description Type ❑ Handout Backup Material ❑ City of Waterloo Presentation.pdf Backup Material ❑ City of Waterloo- Fleet Analysis .xlsx Backup Material ❑ City of Waterloo- Best In Class- Right Type, Right Backup Material Term.pdf ❑ City of Waterloo- 2021 GMC Sierra 1500 SLE Crew Backup Material Cab 4x4- Right Type, Right Term.pdf SUBJECT: Discussion of leasing vehicles for the Police Department. Submitted by: Submitted By: Chief Joel F. Fitzgerald, Sr., Ph.D. Recommended Action: Summary Statement: Expenditure Required: Source of Funds: Policy Issue: Alternative: Background Information: IftWATEFL POLICE f) - A T r�i F N T Over the past several years the City has not utilized a sensible vehicle replacement schedule for the Waterloo Police Department (WPD). The WPD has thrifty-two (32) marked patrol vehicles and twenty- three (23) unmarked vehicles utilized for investigations.The average patrol vehicle logs between 25,000- 30,000 miles per year, and should be replaced at a rate of 8 to 9 patrol vehicles per year to maintain a fleet that is under 100,000 miles, sensitive to depreciation, and considers the tremendous workload placed upon Fleet Services. For the past several years the Department vehicle purchases have been underfunded resulting in our inability to take advantage of a forward-thinking/best practices replacement policy. Because of the lack of funding for marked units the WPD reduced, delayed or eliminated any planned replacements of unmarked vehicles. We have now reached a point where these vehicles and their replacement must be prioritized. These vehicles are used by Investigators and Administrators in all manners of City business, including responding to emergencies, transporting victims and witnesses, conducting background investigations, crime scene work, traveling to Federal Court and administrative duties. Moreover, the safety of the officers, city image and branding, and our responsibility for victims and witnesses needs to be a priority. The average mileage of the Investigative fleet of 23 vehicles is over 90,OOOmi, with 11 of them having at or over 100,000 miles. As one might imagine, the wear, tear, maintenance and downtime are drains on the city budget. Below are the vehicles by model year: 2004—1 vehicle 2012—1 Vehicle 2005—1 Vehicle 2013—2 Vehicles 2007-4 Vehicles 2014—1 Vehicle 2008—1 Vehicle 2015—2 Vehicles 2009—3 Vehicles 2017—2 Vehicles 2010—2 Vehicles 2018—1 Vehicle 2011-2 Vehicles The age of these vehicles pose an even larger concern. The vehicles are parked outside and exposed to Iowa weather and that also affects their appearance and functionality. Most of these vehicles do not have safety features that compete with newer models, including modern airbag systems, back up sensors, and cameras. Many suffer from cosmetic erosion and rust, but the real concern becomes uncalculated maintenance issues that result in vehicle downtime and increased workload on the garage staff; duties that would allow staff to dedicate more time on heavy duty, more costly, city-owned fleet and marked police vehicles. Here are some photographs of our existing vehicles demonstrating the rust and erosion. Although the pictures are limited,they represent a consistent theme among unmarked WPD vehicles: G Genuine R Relationships I Inspire F Future F Friendships I In N Neighborhoods IftWATEFL POLICE r) - A T r�i F N T li{ ar a r _r { Officers reported a multitude of ongoing mechanical issues including continual dead batteries, front end grinding, engine knocking, fan issues, unsafe rattling at higher speeds, check engine lights displaying internal problems, poor tires, and window issues; all problems consistent with aged and high-usage cars. Unfortunately, they are not always taken to the garage to be fixed because the vehicle fleet is in such disrepair officers are often left with nothing else to drive. The aforementioned example presents even further operational efficiency issues. The WPD proposes a financially sensible and proactive solution, vehicle leasing. If we work with Enterprise, a sole source government approved provider in Iowa, to sell the existing fleet with the G Genuine R Relationships I Inspire F Future F Friendships I In N Neighborhoods IftWATEFL POLICE r) - /-I. T rel F N T exception of the 5 newest vehicles (which would be utilized as reserve vehicles) we can replace the remaining fleet within a month with new, safe, vehicles to conduct police operations. Our proposal includes leasing 25 vehicles on a 1 year schedule; affording us the immediate turnover required to prevent malfunctions and Iowa weather from decreasing the fleet resale value. Leasing also provides a less costly and potentially more profitable model for our City. As the vendor will explain, by leasing trucks the city will terminate leases in a positive cash flow position on each vehicle. The uncalculated additional value comes as a result of the drastic reduction in the workload on the City Garage. The vendor can give you average cost savings, but it is obvious that, in removing the older high mileage vehicles from the fleet, and replacing them with leased vehicles, a time and workload saving results. If approved, this change should result in faster turnaround on many of the important vehicles operated by the City, including ambulances,snow plows,sand/salt trucks and garbage vehicles.The lease agreement and mileage allowance also reduces the oil change frequency to one oil change per vehicle, with any remaining mechanical problems being covered under an extensive warranty. If you wish to reduce the cost further, oil changes could be outsourced, cutting the labor costs even further, because they would no longer conduct total maintenance checks on vehicles less than one year. A real-world (local) example is the City of Mason City, Iowa, which entered into a lease agreement with Enterprise. After communicating with their Financial Director, Kevin Jacobson, CPA, we discovered even more encouraging news.Jacobson said, Mason City has been using Enterprise now since March of this year. We are on a plan to have 20 vehicles leased after a five year cycle. We are currently in our 2nd FY of getting leased vehicles and anticipate the next four within a couple weeks.....I have found Enterprise to be extremely easy to work with and very helpful on all points involved in the lease. The City has found that the benefit of doing the lease is we have consistency in one type of vehicle. They also take our old vehicles in and sell them for us and apply that credit to future lease payments. As far as a setback, in one instance at the City, we have a vehicle leased that rarely gets used...I would suggest to use the lease for vehicles you will be using on a constant basis. After reviewing all of this information we believe the leasing option is the fiscally responsible option for us in regards to the Investigator and Administrative Staff. It eliminates vehicle replacement schedules, saves a large capital expense, while earning the city money at the conclusion of each annual lease agreement. Leasing reduces wasteful maintenance costs, critical downtime, and redirects mechanic hours to maintaining our marked vehicles and other city departmental fleet. This option also provides a functional, safe vehicle for the employees that proudly represent the City of Waterloo. Thank you for and consideration that you give to this matter. G Genuine R Relationships I Inspire F Future F Friendships I In N Neighborhoods 4*- WATERLOOPOLICE I) - - -. T rki F rhi G Genuine R Relationships I Inspire F Future F Friendships I In N Neighborhoods pifz:�S FLEET MANAGEMENT r � d i ■��� r tom'r1�-YI N ■�� -r+Nr�iir��Y � S r i > + �7� r 1 RIM - -- _ _ - - .' „-� �.�:?R�-�°:7 r .i -�.-�fe -����`}:.��. :��i��cF,d a• -.3" •'�% ',r;a;'vr ,iY,�w;r`:t'�,_';,.� - `"*+"i.�.-�.ti„ � ,e _ -,sr i� +r _- ,a4;• 6-' _.�:.,'a,'�. ,'`d..`.9�r _ .rte a �r�' '<�„� ..-__�a+w - � +r' - ,.=:�.�-4-. - - --.s%s.. --:3?-s - .-:✓ -'!G...:i - ,:` :' :eah'�!%.� �..��u:.�� �i,�' t_— r Y s^. ,.:Y,• �a. - �-fir"- - '.-cY _ �� �1 �:.�.s '. a� F d - ->c' .:c. ��.. � .��- �.. •`sem-> �.: aF-� . , N CONFIDENTIAL AND PROPRIETARY 2016 Ente • Management, ENTERPRISE FLEET MANAGEMENT OVERVIEWV11terpriWse 550,000 STRUCTURAL STRENGTH Vehicles BUILT ON 60 YEARS OF SATISFIED CUSTOMERS54 278,000 LOCAL OFFICES Vehicles ; ; ; Vehicles LOCATIONS 1957 2001 2011 2018 00 5501000 + EMPLOYEES MANAGED FLEET FLEET MANAGEMENT Sourcewell All CONFIDENTIAL AND PROPRIETARY ©2016 Enterprise Fleet Management, Inc. ENTERPRISE HOLDINGS SUPPORTS LOCAL GROWTH Iowa : $77 Million Annual Economic Impact Enterprise Holdings, the world's largest car rental company as measured by revenue and fleet, is supporting Iowa through investments in jobs and partnerships with critical community resources, as well as involvement in local community organizations. In fiscal year 2018 (closed July 31, 2019), Enterprise Holdings' Iowa impact included some of the following key contributions: $ 70 , 3M IN STATE & LOCAL TAX REVEN U ES MILLION IN COMPANYWIDE PURCHASES FROM LOCAL owl NO SUPPLIERS Enterprise Holdings $ 104315 $ 94600 employs more than 389 employees at 37 RAISED BY EMPLOYEES AND IN DONATIONS BY THE ENTERPRISE MATCHING CONTRIBUTIONS FORHOLDINGS FOUNDATION . LOCAL locations in Iowa alone. THE UNITED WAY'S LOCAL CHAPTERV CHARITIES AND NOT FOR PROFIT ORGANIZATIONS CONFIDENTIAL AND PROPRIETARY ©2016 Enterprise Fleet Management, Inc. Government Partners- 1I11 • III Vehicles MANAGEMENT City of C -- M A /Ifit _ ' NORTHEAST IOWA CITY ei��)�tw NORCROSSLN COMMUNITYCOLUGE n �GI , ~ a place to imagineI Q}.i A BEAUTY AND E.aG-55 FST Iy5 ��T IV - �ARS QyUYWpp., r,ITY op • �,� 9 CnAST L�� O� �FIMr�f�lEJ1ETH * LEASANTON �_ r�U ,�� o4�E ��y l `kQURASICON h R LAK City of Loveland • '!= �`�� Lenexa - /'11111 Y11� � r. � � a`/ , l�illil .: CITYo NAPA All-AmericaCity °; PHq� • + tSFw Y Il .,,. v 5 MER av R MCFr + OF TH]g�� EL10RA yy CINE- �� =� � ��� •�O� �`�N� �'QA072A"I�9��_! ICHIGA �r4'UP F�4`g� U� �� J .f '�garFn oscs>A��a 1 THE 4 Q4..._R�4 om, COHe,y� E O �� f1�ClLONY Q�o0.perf�'�F� ASB UQG� CIBIA • - ary br rhe Luce -ti' =�' ;O U- 'J 5P C - �' TSD F58R� �� REDO NS MAbIJF RqAj• v CITY OF ��� .aV"`9 • � � � _ k SAN JOSE r - ROCK ISLANQ CAPITAL OF SILICON VALLEY ILLINOIS CONFIDENTIAL AND PROPRIETARY CALIFORNIA ©2016 Enterprise Fleet Management, Inc. DELIVERING SOLUTIONS. DRIVING RESULTS. TELEMATICS ACQUISITION ACCIDENT/ FUNDING RISK MANAGEMENT DRIVER • - VEHICLE SAFETY RESALE FLEET MANAGEMENT qowwi—! LICENSE, TITLE MAINTENANCE AND REGISTRATION 0 0 PROGRAMS AFTERMARKET VEHICLE CUSTOMIZATION *FUELPROGRAMS CONFIDENTIAL AND PROPRIETARY ©2016 Enterprise Fleet Management, Inc. TODAY'S 1 FLEET MANAGEMENT Tasked to do more with less Fiscally Stressed Limitations on Revenue Sources Difficulty finding room in operating budget COVID-19 revenue impact CONFIDENTIAL AND PROPRIETARY ©2016 Enterprise Fleet Management, Inc. TYPICAL GOVERNMENT FLEET PROFILE FLEET MANAGEMENT Aged Vehicles 8.5 Years 10 Years (23 PD units) Low Annual Mileage 6,000 annual miles Average Annual Miles 11,223 Average Odometer 90,190 ► Multiple Departments with Multiple Plans & Budgets Capital Budget drives Fleet Replacement CONFIDENTIAL AND PROPRIETARY ©2016 Enterprise Fleet Management, Inc. SAFETY lZenterprise 2007 012 017 Electronic Stabilit Forward Collision • Front/Side crash test Control Warning n • Anti-lock brakes g Lane Departure • s � WarningBlind Spot Warning Airbags • Rear Video Offset-crash test L �o�s t ' TOP SAFETY PICK 5-Star Safety Ratings More Stars.Safer Cars. TOTAL COST OF OWNERSHIP EZ= FLEET MANAGEMENT ADMINISTRATIVE, TAX TOTAL COST OF AND REGISTRATION $3BUY & HOLD FOR 6%% INSURANCE $5,000 9% DEPRECIATION $18,556 DRIVER$D805 NTIME 35% $ 535527 7% NON-SCHEDULED - -� REPAIRS $3,243 6% SCHEDULED MAINTENANCE $4,888 Assumes 10 year holding period 9% at 10,000 miles per - , Source: Internal Data FUEL Total amount is determined without consideration $14,705 for Income Tax, time value of money (present 28% value) concepts or inflation. Assumes a holding period of 10 years at 10,000 miles per year. CONFIDENTIAL AND PROPRIETARY ©2016 Enterprise Fleet Management, Inc. ACQUISITION FLEET MANAGEMENT Selection7&b Vehicle Order Timing A Aftermarket Process • Model lowest cost of • Order Timing to lower invoice Managing the logistics of ownership (TCO) with cost and sell at the right time getting vehicles in and out of maximum efficiency Replacement planning service and the aftermarket • Analyze multiple holding meeting every Spring process patterns MOBILITYWORK5 h 09-1101111MM0 (a ADRIAN STEEE raHIEF MAKING THE WORLO ACCESSISLE _00 SONCE1848 SUPREME WE WILL COORDINATE DELIVERY PROCESS, HANDLE ALL AFTERMARKET & PAPERWORK CONFIDENTIAL AND PROPRIETARY ©2016 Enterprise Fleet Management, Inc. 1 Sol EZ= FLEET MANAGEMENT m"" • . • . Option • Equity lease • Ideal for clients with strong • Walk-a-way lease • Flexible term cash position • Fixed term • No mileage restrictions • Pay down lease upfront to a . Mileage restrictions • No abnormal wear and tear $1 book value or to projected residual book value Abnormal wear and tear clauses clauses • No abnormal wear and tear • Lessee responsible for book charges or mileage • No responsibility for vehicle value at term restrictions resale at term • Lessee keeps vehicle equity • EFM is title holder until term • Most appropriate for cars at term for vehicle management and SUV's and mileage services predictability CONFIDENTIAL AND PROPRIETARY ©2016 Enterprise Fleet Management, Inc. - s EQUITY LEASE Funding FLEET MANAGEMENT Open Ended Lease Details INITIAL VEHICLE COST $24,400 • No over-mileage charges - 7 • No wear and tear penalties 2020 Ford F-250 Reg Cab • No penalties to terminate lease at any time Term: 60 months Annual Mileage: 10k • Ownership lease-similar to traditional bank financing $420/ • Lessee participates in the vehicle's equity MONTH • Flexibility to adjust the reduced book value Flexible Options At Lease Term ESTIMATED RESALE • Purchase vehicle at the Reduced Book Value VALUE: $17,500 • Replace vehicle (ability to roll equity to decrease REDUCED BOOK replacement vehicle's initial cost) VALUE: • Extend the lease term $6,100 • Turn in and do not replace vehicle $11,400 EQUITY CONFIDENTIAL AND PROPRIETARY ©2016 Enterprise Fleet Management, Inc. Key • • • • Maintenance costs are up Typical Government Agency to 70% higher Replacement Window ' Fuel costs are 25% - 30% higher or more depending on vehicle type • Resale values are 70% - Optimal Time 80% lower at your typical to Replace replacement interval vs. optimal • Replacing vehicles at optimal time is cost usually neutral or less total cost — than to hold Maintenance CONFIDENTIAL AND PROPRIETARY ©2016 Enterprise Fleet Management, Inc. i 0 FLEET MANAGEMENT 2(121 GMC Sierra 15CO SLE 4x4 Crew 21321 Chevrdet 2021 Chevrolet 2U 21 Chevrolet 2021 Chevrolet 2(121 dodge Charger Cab 6.6 iL box 157 in. Equinox LS wl1FL Trareffse LSwd1FL Tahoe Special Malibu LS w1l FL 4dr SXT 4dr Rear-wheel WB All-wheel Drive ,41-vrheel drive Service Vehicle 4x4 Sedan Drive Sedan 12 Months 12,000 Miles 24 Months I l l I F 1 24,000 Miles 36 Months 36,000 Miles 48 Months 45,000 Miles 60 Months I l l I I I 60,000 Miles CONFIDENTIAL AND PROPRIETARY ©2016 Enterprise Fleet Management, Inc. COST-EFFECTIVE SHORT CYCLING FLEET MANAGEMENT 2021 GMIC Sierra 1500 SLE U4 Crew 6.6ft : - • V8 M- Lease Term 12 Months Delivered Price $33,838 Annual Lease Cost $7,308 Book Value At Term $28,356 Fair Market Value At Term $38,400 Projected Equity $10,044 Net Cost - $2,736 CONFIDENTIAL AND PROPRIETARY ©2016 Enterprise Fleet Management, Inc. VEHICLE DISPOSAL FLEET MANAGEMENT 11 , A, IN 2019, ENTERPRISE 1 REMARKETING • - 11 111 COMMERCIAL SALES qV000+ EXCEEDED AT AN AUCTIONSALES CHANNELS DIRECT 110m4% TO OVER DEALER BLACK • • VIIIIIIIIIIII Year Make o, 1FAH P2M K4EG 111791 2014 FORD Police Interceptor 127,584 S1,600 $4,500 $2,900 1F M 5 KBAROEG B96169 2014 FOR D Explorer Police SUV 129,772 $5,000 S6,750 $1,750 1FAH P2M K8EG 122132 2014 FORD Police Interceptor 129,019 $2,80D $4,475 $1,675 1G 1ZT51855 F243799 2006 CHEVROLET Malibu 73,489 $1,950 $2,10D $150 2FDJ37 H 2 LC031018 1990 FORD F-350 $3,200 1G CDT19875 82 73758 2005 CH EURO LET Col-orad o .$1,700 1FAFP53U45A292471 2005 FORD Ta Lira s S1,600 1FTNX21 L8YE B58817 2000 FOR D F-250 $1550 ;e Fleet Management, Inc. Fleet Planning Analysis- Objectives FLEET MANAGEMENT Lower Average Age of The Fleet • 61% of current Non- Emergency Response Vehicles is over 10 years old • Resale of the aging fleet is significantly reduced • Improve safety features across the entire fleet Reduce Operating Costs • New vehicles have significantly lower maintenance expenses • Newer vehicles have increased fuel efficiency with new technology implementations Maintain A Manageable Vehicle Budget • Challenged by inconsistent yearly budget • Current vehicle budget is underfunded CONFIDENTIAL AND PROPRIETARY ©2016 Enterprise Fleet Management, Inc. w wet Winter rise FLEET MANAGEMENT p F 5 nt�rprise Comparison Profile FLEET MANAGEMENT Customer: City of Waterloo, Iowa Profile: City of Waterloo, Iowa-Vehicle Mix(2)(373115) Right Vehicle • nalysis - Cost Per Mile 2021 Chevrolet1 •let 2021 Chevrolet1 • -t 2021 D•••- Charger Equinox LS w/1 FL Traverse LS w/1 FIL Tahoe Special Malibu LS w/1 FIL 4dr SXT 4dr Rear-wheel All-wheel Drive All-wheel Drive Service Vehicle 4x4 Sedan Drive Sedan ph 12 Months $0.36 $0.23 $0.45 $0.39 12,000 Miles AAJ 24 Months $0.53 $0.47 $0.39 $0.37 $0.34 24,000 Miles • Months $0.49 $0.51 $0.46 $0.38 $0.38 36,000 Miles 48 Months 48,000 Miles 60 Months $0.51 $0.53 $0.35 $0.55 60,000 Miles Proprietary and confidential. This document is provided for information only. The information contained herein is subject to change. These forecasting calculations are intended to provide illustrative examples based on the stated assumptions. The calculations may change due to changes in either economic or political landscapes. This information is not intended to provide guidance in areas such as income taxes or technical accounting interpretations. r�_nterpris Comparison Profile FLEET MANAGEMENT Profile: of •• Right Vehicle/Right Term - Operations Report Scenario Settings Term Increments 112 Right Vehicle Analysis (Cost Per Mile/Km) Terms 5 Right Term Analysis (by Vehicle) Terms 5 Vehicles (Equity Leases Only) Right Vehicle Right Term CVP Category YMMS Yes No None 2021 Chevrolet Equinox LS w/1 FL All-wheel Drive Yes No None 2021 Chevrolet Traverse LS w/1 FL All-wheel Drive Yes No None 2021 Chevrolet Tahoe Special Service Vehicle 4x4 Yes No None 2021 Chevrolet Malibu LS w/1 FL 4dr Sedan Yes No None 2021 Dodge Charger SXT 4dr Rear-wheel Drive Sedan Vehicle Sale Assumptions 12 24 36 48 60 2021 Chevrolet Equinox LS w/1 FL All-wheel Drive $18,050.00 $15,600.00 $14,200.00 $11,700.00 $10,450.00 2021 Chevrolet Traverse LS w/1 FL All-wheel Drive $27,000.00 $23,000.00 $20,000.00 $15,900.00 $14,900.00 2021 Chevrolet Tahoe Special Service Vehicle 4x4 $38,000.00 $34,900.00 $32,100.00 $29,100.00 $24,200.00 2021 Chevrolet Malibu LS w/1 FL 4dr Sedan $14,900.00 $13,400.00 $11,800.00 $10,750.00 $9,400.00 2021 Dodge Charger SXT 4dr Rear-wheel Drive Sedan $22,200.00 $21,300.00 $19,350.00 $17,400.00 $5,700.00 interpretations.Proprietary and confidential. This document is provided for information only. The information contained herein is subject to change. These forecasting calculations are intended to provide illustrative examples based on the stated assumptions. The calculations may change due to changes in either economic or political landscapes. This information is not intended to provide guidance in areas such as income taxes or technical accounting r�_nterpris Comparison Profile FLEET MANAGEMENT Profile: of •• Right Vehicle/Right Term - Operations Report Global Assumptions Annual Business Distance 12,000 Cost Of Fuel per Unit $2.25 Income Tax Rate 21.00% Fuel Inflation Rate 2.00% Cost Of Capital 4.19% Fuel Efficiency No Degrade No Sales/Use Tax Rate 0.0000 EFM Risk Management Program? Yes Service Charge $395.00 Monthly PD Rate $0.00 Interest Rate 3.1900% PD Termination Year 0 Interest Adder 0.0000% Monthly Liability Rate $0.00 Total Interest Rate 3.1900% Customer Monthly Insurance Rate EFM Tax Method Use Tax Daily Cost Of Downtime $1.00 Annual Cost Of Admin Time $0.00 Scenario-Specific Assumptions 12 24 36 48 60 Odometer at Scenario End 12,000 24,000 36,000 48,000 60,000 Depreciation Rate 3.4000% 2.6500% 2.1000% 1.6500% 1.3500% Fixed Management Fee (Equity Fixed) No No No No No Management Fee Fixed Rate (Equity Fixed) Management Fee Percent (Equity Fixed) 0.1200% 0.1200% 0.1200% 0.1200% 0.1200% EFM Full Maintenance Program? No No No No No FM Brake Sets 0 0 0 0 0 FM Tires 0 0 0 0 0 FM Adjust Markup $0.00 $0.00 J $0.00 $0.00 J $0.00 FM Contract Odometer 12,000 24,000 36,000 48,000 60,000 FM Rates 2021 Chevrolet Equinox LS w/1 FL All-wheel Drive $0.00 $0.00 $0.00 $0.00 $0.00 2021 Chevrolet Traverse LS w/1 FL All-wheel Drive $0.00 $0.00 $0.00 $0.00 $0.00 2021 Chevrolet Tahoe Special Service Vehicle 4x4 $0.00 $0.00 $0.00 $0.00 $0.00 2021 Chevrolet Malibu LS w/1 FL 4dr Sedan $0.00 $0.00 $0.00 $0.00 $0.00 2021 Dodge Charger SXT 4dr Rear-wheel Drive Sedan $0.00 $0.00 $0.00 $0.00 $0.00 MM Fee $7.00 $7.00 $7.00 Proprietary and confidential. This document is provided for information only. The information contained herein is subject to change. These forecasting calculations are intended to provide illustrative examples based on the stated assumptions. The calculations may change due to changes in either economic or political landscapes. This information is not intended to provide guidance in areas such as income taxes or technical accounting interpretations. nt�rpris� Comparison Profile FLEET MANAGEMENT Customer: City of Waterloo, Iowa Profile: City of Waterloo, Iowa-Vehicle Mix(373113) Right Vehicle Analysis - Cost Per Mile 2021 GMC Sierra 11 SLE 4x4 Crew .b . . ft. box 157 in. WB 12 Months 12,000 Miles 24 Months $0.25 24,000 Miles • Months $0.37 36,000 Miles 48 Months $0.42 48,000 Miles • 0 Months $0.41 60,000 Miles Proprietary and confidential. This document is provided for information only. The information contained herein is subject to change. These forecasting calculations are intended to provide illustrative examples based on the stated assumptions. The calculations may change due to changes in either economic or political landscapes. This information is not intended to provide guidance in areas such as income taxes or technical accounting interpretations. I. i Comparison Profile FLEET MANAGEMENT • 6.6 ft. box 157 in.W13 Customer: City of Waterloo, Iowa Profile: of •• , Iowa-Vehicle Mix(373113) Right Term Analysis - Cost Per Mile r�12 Months - Months 36 Months 48 Months . Months 0 eqwp. 5r12,000 Miles 24,000 Miles 36,000 Miles 48,000 Miles 60,000 Miles Vehicle Price $33,838.00 $33,838.00 $33,838.00 $33,838.00 $33,838.00 Down Payment $0.00 $0.00 $0.00 $0.00 $0.00 Aftermarket Equipment $0.00 $0.00 $0.00 $0.00 $0.00 Amount Financed $33,838.00 $33,838.00 $33,838.00 $33,838.00 $33,838.00 Monthly Depreciation $456.81 $456.81 $456.81 $456.81 $456.81 Monthly Mgmt. Fee $40.61 $40.61 $40.61 $40.61 $40.61 Monthly Interest $84.32 $77.04 $69.75 $62.47 $55.18 Monthly Payment $581.74 $574.46 $567.17 $559.89 $552.60 Upfront Taxes $0.00 $0.00 $0.00 $0.00 $0.00 All Taxes/ Months $19.17 $18.54 $18.33 $18.23 $18.17 Monthly Maintenance $19.31 $26.71 $67.87 $68.93 $70.08 Monthly Insurance $0.00 $0.00 $0.00 $0.00 $0.00 Fuel Economy 19.50 19.40 19.30 19.15 19.00 Monthly Fuel $115.38 $116.84 $118.32 $119.91 $121.57 Monthly Admin & Downtime $0.02 $0.04 $0.12 $0.12 $0.12 Monthly Cash Outlay $735.62 $736.59 $771.81 $767.08 $762.53 Cash Outlay Cost per Mile $0.74 $0.74 $0.77 $0.77 $0.76 Est. Resale Value - Service Charge $38,005.00 $34,605.00 $31,905.00 $28,605.00 $27,305.00 Balance at End of Term $28,356.24 $22,874.49 $17,392.73 $11,910.98 $6,429.22 Est. Equity $9,648.76 $11,730.51 $14,512.27 $16,694.02 $20,875.78 Est. Equity/Month $804.06 $488.77 $403.12 $347.79 $347.93 Monthly Cost with Equity ($68.44) $247.82 $368.69 $419.28 $414.60 Term Cost per Mile ($0.07) $0.25 $0.37 $0.42 $0.41 incomeProprietary and confidential. This document is provided for information only. The information contained herein is subject to change. These forecasting calculations are intended to provide illustrative examples based on the stated assumptions. The calculations may change due to changes in either economic or political landscapes. This information is not intended to provide guidance in areas such as or • • interpretations. nt�rpris� Comparison Profile FLEET MANAGEMENT Customer: City of Waterloo, Iowa Profile: City of Waterloo, Iowa-Vehicle Mix(373113) Right Vehicle/Right Term - Operations Report Scenari • Settings Term Increments 112 Right Vehicle Analysis (Cost Per Mile/Km) Terms 5 Right Term Analysis (by Vehicle) Terms 1 5 Vehicles (Equity Leases • Right Vehicle Right Term - • • Yes Yes None 2021 - 11 SLE 4x4 Crew Cab • • ft. box 157 in. WB Vehicle Sale Assumptions 12 24 36 48 . 1 2021 GMC Sierra11 SLE 4x4 Crew . • • • ft. box 157 in. WB $38,400.00 ; III11 $3Z 300.11 $29,000.00 ; /I II Proprietary and confidential. This document is provided for information only. The information contained herein is subject to change. These forecasting calculations are intended to provide illustrative examples based on the stated assumptions. The calculations may change due to changes in either economic or political landscapes. This information is not intended to provide guidance in areas such as income taxes or technical accounting interpretations. r�_nterpris Comparison Profile FLEET MANAGEMENT Profile: City of Waterloo, Iowa-Vehicle Mix(373113)dd Right Vehicle/Right Term - Operations Report Global Assumptions Annual Business Distance 12,000 Cost Of Fuel per Unit $2.25 Income Tax Rate 21.00% Fuel Inflation Rate 2.00% Cost Of Capital 4.19% Fuel Efficiency No Degrade No Sales/Use Tax Rate 0.0000 EFM Risk Management Program? Yes Service Charge $395.00 Monthly PD Rate $0.00 Interest Rate 3.1900% PD Termination Year 0 Interest Adder 0.0000% Monthly Liability Rate $0.00 Total Interest Rate 3.1900% Customer Monthly Insurance Rate EFM Tax Method Use Tax Daily Cost Of Downtime $1.00 Annual Cost Of Admin Time $0.00 Scenario-Specific Assumptions 12 24 36 48 60 Odometer at Scenario End 12,000 24,000 36,000 48,000 60,000 Depreciation Rate 1.3500% 1.3500% 1.3500% 1.3500% 1.3500% Fixed Management Fee (Equity Fixed) No No No No No Management Fee Fixed Rate (Equity Fixed) Management Fee Percent (Equity Fixed) 0.1200% 0.1200% 0.1200% 0.1200% 0.1200% EFM Full Maintenance Program? No No No No No FM Brake Sets 0 0 0 0 0 FM Tires 0 0 0 0 0 FM Adjust Markup $0.00 $0.00 J $0.00 $0.00 J $0.00 FM Contract Odometer 12,000 24,000 36,000 48,000 60,000 FM Rates 2021 GMC Sierra 1500 SLE 4x4 Crew Cab 6.6 ft. box $0.00 $0.00 $0.00 $0.00 $0.00 MM Fee $7.00 $7.00 interpretations.Proprietary and confidential. This document is provided for information only. The information contained herein is subject to change. These forecasting calculations are intended to provide illustrative examples based on the stated assumptions. The calculations may change due to changes in either economic or political landscapes. This information is not intended to provide guidance in areas such as income taxes or technical accounting