Wednesday, September 2, 2015

Fleet savings termed "disappointing"

Posted By on Wed, Sep 2, 2015 at 12:42 PM

Strand: Hoping for better results going forward.
  • Strand: Hoping for better results going forward.
News that the city's fleet maintenance contract with a private company, Serco, cost the city more in 2014 than the previous year when city workers did the job was a let down for City Councilor Tom Strand.

"When I saw that audit, obviously I was disappointed, because we were hoping to have some significant savings and now there's some questions about that," Strand tells us.

Strand says he'll dig deeper but predicts a lack of savings could impact the 2016 budget.

As reported in our story in today's edition, the city paid $112,199 more last year for fleet, but all that could change going forward, according to Ryan Trujillo, contract compliance manager. Via email, he tells the Independent:

"We are confident that we will meet the projected savings of $4.2MM over a 5-year period," he says. "It was projected for the City and CSU to collectively lose $56k in year one (2014), largely due to the one-time expense of severance and benefits. We were within 1.2% of the projections after year one. Per the original projection, savings were anticipated to be realized in years 2 through 5. The City and CSU will continue to collaborate and look for ways to optimize our fleet operations."

Read the audit here:

We asked a couple of other Council members for a reaction to the audit but haven't heard back, we'll update this post if and when we do.

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