What can organizations do to increase efficiency for work-related transportation needs?
This is a question Lancaster’s City Hall has been leaning into this year by reviewing its vehicle fleet. The review is aligned with the Municipal Operations Climate Action Plan, which was adopted by City Council in 2019.
In a collaborative effort between various departments, including Public Works, Community Planning and Economic Development (CPED), Neighborhood Engagement and Administrative Services, City Hall collectively developed and refined a fleet sharing model and is midway through a pilot phase.
The initiative is expected to save the city — and taxpayers — at least $48,000 a year. To learn more about it, I interviewed Matt Metzler, Deputy Director of Public Works for the City’s Construction & Operations Division.
Interview with Matt Metzler, Deputy Director of Public Works
How did the process of reviewing the city fleet start?
In 2023, the city began working with Enterprise Fleet Management for procurement and replacement of the city’s fleet vehicles. As part of the Enterprise Fleet Management service, we have telematics in the vehicles, and are able to obtain a large quantity of data on the vehicles in real time. This data includes, but is not limited to: location, engine status, fuel level, speed, seatbelt status, utilization percentage, idle times, engine faults, tire pressure and more.
What has been the role of this data-driven approach?
The data related to vehicle utilization showed that the city’s practice of individually assigning vehicles left many vehicles idle for periods throughout the work day, as well as when employees are off on paid time off.
Studying this data indicated we should be able to reduce the fleet at City Hall from 26 to 20 and potentially down to 14 to 16 vehicles without any disruption to services.
Additionally, a Fleet Share model would allow additional employees to have access to city vehicles to perform their work, rather than needing to submit for mileage reimbursement.
Phase 1 of the implementation was the reduction from 26 to 20 vehicles, and is expected to last 90 to 120 days. After Phase 1, all relevant data will be analyzed to see if further reductions are warranted.
Collecting input and collaboration across City departments has been key. Can you tell a bit more about that?
Working collaboratively, members from multiple departments formed a working group, and worked through the planning and implementation phases of the project to transition from the assigned vehicle model to the Fleet Share model.
The team was careful to discuss all concerns and scenarios during the planning phase to ensure the implementation was well thought out, and as a result the implementation has been a success with very few issues or hiccups to contend with.
Measures were put into place to ensure success, such as providing secure storage for belongings, modifying parking credentials for personal and city vehicles in collaboration with Lancaster’s Parking Authority, adding electric vehicle charging stations, and drafting policies and procedures to ensure all users are on the same page about the program.
What are the results so far?
The first two weeks of the Phase 1 pilot have been a success. At any given time, approximately six to 10 vehicles remain available for use by any staff member who may need a vehicle on short notice, and the reservation system through Fleetster is working well, with no significant issues reported.
Staff are reserving vehicles up to a week in advance for their appointments and inspections, and when an employee is on paid time off, a vehicle is no longer tied up because it is assigned to an employee, but rather is now available for other staff to utilize.
Can you tell more about the estimated cost savings?
In addition to increasing government efficiency, the reduction in those six vehicles is a significant cost savings, as it eliminates those lease payments, insurance policies, parking passes, and maintenance costs. We are expecting this paradigm shift will result in savings of $8,000 per vehicle per year on average.
As the program continues, we will be able to track utilization rates, and based on the opinion of our consultants and industry standards, it is likely we will be able to further reduce the number of vehicles in the Fleet Share until we find the sweet spot that balances demand (staff needs) and supply (fleet vehicles). Furthermore, adding active transportation mode options such as (e-)bikes is being looked into.
In sum, we want to lead by example and be good stewards of public funds. Proactively looking how we manage our city fleet, by making sure it is efficient and aligned with our transportation needs, is part of that.
Bryant Heng is a Bloomberg Harvard City Hall Fellow studying how Lancaster City can make transportation better. Learn more here.