16 - Laserfiche WebLink

The following cost comparison demonstrates the cost of the Lease Program compared to purchasing vehicles over five years. Number Purchase + Lease + Year of Maintenance Maintenance Differential Vehicles 1 42 $997,368 $217,577 $779,791 2 20 $441 ,900 $327,577 $114,323 3 14 $343,000 $405,577 $-62,577 4 21 $483,000 $515,577 $-32,577 5 12 $288,000 $577,577 $-289,577 TOTAL 109 $2,553,268 $2,043,885 $509,383 First Year Cost of Vehicle Leasing First Year Cost of Lease Program First year annual payment $217,577 Aftermarket outfitting $100,300 Total $317,877 Estimated resale value of current vehicles ($116,000k Total first year estimated lease amount $201,877 For years one and two, Enterprise is estimating vehicle trade-in value of $116,000 and $60,000 respectively ($176,000 total) which be applied to reducing the cost of the vehicle lease. Trade-in values for years three through five are unknown at this time but information indicates they will be in excess of other trade-in options. After the fifth year, the lease program accounts for the return of equity to the City represented by the sale of the leased vehicles. The equity estimates are based on the expected sale price of the vehicles. The overall estimated fleet cost savings over a ten (10) year Lease Program is $717,055, which takes into consideration purchase versus lease costs and maintenance and fuel costs. The recommended Master Lease Agreement with Enterprise Fleet Management is identical to a recent Request for Proposal issued by the State of California Office of Court Construction and Management, a Division of the Administrative Office of the Courts for fleet management. This cooperative purchasing agreement for Fleet Leasing and Management Services is through The Interlocal Purchasing System known as TIPS and was awarded to Enterprise Fleet Management as a result of a competitive bid process. Other jurisdictions such as the Cities Gardena, Anaheim, El Cerrito, Long Beach, Santa Ana, Richmond and Newport Beach have also utilized this same proposal and vendor. As a result of this public bid process, it meets the City's criteria for purchasing through a cooperative purchasing agreement that provides assurance of a low bid thus eliminating the need for the City to conduct its own bid process. The City Attorney's Office has reviewed the cooperative purchasing agreement and the proposed Master Equity Lease Agreement resulting in two addendums to the Page 3 of 4